How big is the farm at Killowen?

We milk 200 cows here at the farm in Courtnacuddy outside Enniscorthy. We’re milking twice a day, with year-round calving ongoing. About 180 cows are milking all of the time. We use approximately 70% of the milk produced on the farm for our yoghurts. The balance of the milk produced goes to Glanbia for liquid milk or cheese.

When did you develop the yoghurt business on the farm?

We started the yoghurt business in 2003. At the time, my brother Nicholas was looking to do something different besides just milking cows because the price of milk was very low. We started out by converting some buildings beside the milking parlour to house the yoghurt processing equipment but we’ve since built a packing facility, cold room and extra storage for dry goods. And we’re continuing to expand with a new glass jar line and a new pot-filling machine going in soon.

How has the business grown?

The yoghurt business has grown organically from supplying local shops and supermarkets in Wexford, Kilkenny and Carlow to working with retailers all over Ireland. We now do private-label manufacturing for Dunnes Stores, SuperValu and Aldi, which has been great for us because it strengthens our relationship with the retailers. On the foodservice side, Pallas Foods is distributing our yoghurts to hotels and restaurants across the country.

Are you selling into export markets?

We’re constantly looking at export opportunities. It’s a small side of the business right now but it’s growing. We work with a foodservice company called Classic Fine Foods that has brought our products to the UAE, Singapore and Malaysia. In Dubai, we have a contract to supply the Burj Al Arab, the world’s only seven-star hotel.

Are you exporting to the UK?

The UK market has been very difficult to get traction in since the Brexit vote. We had a significant customer in the UK but we lost that contract almost immediately after the Brexit vote because suddenly everything had to be British-made. Because of the uncertainty of Brexit, it’s been very hard to make progress with UK customers.

How has the weather this year affected the business?

The weather has had its advantages and disadvantages. The drought this summer hit our grass growth, which meant milk production was down. But on the business side, we’ve had a great summer, especially on the foodservice side of things. All the hotels and restaurants in Ireland were very busy and orders were very high. It was our best July ever in terms of sales.

How competitive is the yoghurt category?

It’s very competitive. At least 70% of yoghurt sold in Ireland is imported so you’re competing with big companies such as Müller, Yoplait and Danone. Irish yoghurt producers have such a small stake in the domestic market that it’s driving us to export. Killowen will never be cheap and cheerful like the big brands because we’re a quality product and look for a premium. We’re also looking at other product options for our milk, such as making cream cheese or sour cream.