Irish dairy growth predictions cut by 16%

Processors are forecasting a 5% uplift in milk volumes between 2022 and 2030. However, this is much lower than initially expected.

Milk production increased by 16% from 2018 to 2022. However, this year, for the first time since milk quotas were abolished in 2015, milk production is expected to decline slightly, with current-year volumes likely to finish up down 0.3% versus 2022.

Lack of farm successors, changes to nitrates rules, and other environmental policies are responsible for a 16% cut to Ireland’s projected dairy growth in the next seven years, an independently conducted industry report has revealed.

The EY report states that the era of rapid dairy growth is at an end, forecasting a sluggish 0.6% compound annual growth rate up to 2030, with future progress to be driven by enhanced efficiencies rather than volume growth.