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Northern Ireland's dairy sector sees 8.27% milk production growth (Jan-Apr 2025), reaching 975M litres, but warns of processing capacity strain.
NI Dairy Soars Record Growth, But Can Processors Cope
Northern Ireland's dairy sector has experienced continued growth into 2025. Picture: Cliff Donaldson

Northern Ireland’s milk production surges 8.27%, sparking optimism but raising infrastructure concerns.

Northern Ireland’s dairy sector has continued its impressive growth trajectory into 2025, solidifying its position as a powerhouse within the region’s agribusiness. According to statistics from DAERA (Department of Agriculture, Environment and Rural Affairs), raw milk production from January to April 2025 reached a remarkable 975 million litres. This represents a substantial 8.27% increase compared to the same period in 2024, signaling robust health and expansion within the dairy industry, despite broader challenges in other regions.

The sustained growth in Northern Ireland’s milk production is particularly noteworthy given some contrasting trends elsewhere. While the Great British milking herd has experienced a decline and a reduction in the number of farmers, Northern Ireland has managed to offset these challenges through significant improvements in farm productivity. This success is largely attributed to a strong focus on cow genetics and efficient farm management practices, allowing dairy farmers to produce more with existing resources.

The dairy sector remains the undisputed top agricultural performer in Northern Ireland, demonstrating its vital contribution to the regional economy. In 2024 alone, it contributed a staggering £1.1 billion to the gross agricultural output, highlighting its economic dominance. Provisional projections for June 2025 estimate Northern Ireland’s total annual milk output to exceed 2.6 billion litres, a significant 4% increase from 2023, driven by buoyant global demand and favorable farm gate milk prices.

While the surge in milk output is undoubtedly a positive indicator of the sector’s vitality and strong dairy economics, it is simultaneously creating new pressures. The article highlights that increased production is straining existing processing infrastructure, with some facilities struggling to keep pace with the sheer volume of supply. This burgeoning challenge could potentially lead to a reduction in milk prices for producers if processing capacity cannot expand to meet the growing demands.

This dynamic presents a critical juncture for the Northern Ireland dairy industry. While the year of growth reflects strong farmer performance and market demand, strategic investment in dairy processing infrastructure will be essential to capitalize fully on this upward trend. Ensuring that processing capabilities can match the rising milk supply is vital to maintaining stable milk prices and securing the long-term sustainability and profitability of the region’s leading agricultural sector.

Source: Farming Life: Year of growth for dairy sector

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