The value of food and drink exported from Ireland in 2013 grew by 9% or €849m to a record €9.99bn.
The results were presented in Dublin yesterday by Bord Bia’s chief executive Aidan Cotter, who said the value of exports had grown by 40% or €3bn in the past four years.
Dairy (+15%) and beef (+10%) both recorded double digit export value growth. Price increases, rather than volume growth, accounted for 70% of the expansion in both categories. The surge in international dairy prices after the New Zealand drought was a key driver in Ireland’s export growth.
Dairy exports reached a record €3.05bn. A notable growth category was “Prepared Foods”, with export value up 15% to an estimated €1.25bn last year. Sales of fat-filled milk powder, which is included in the “prepared foods” category, jumped 39% last year to €667m. This product, which is made at Glanbia Virginia and Aurivo Ballaghadereen, is experiencing strong sales growth.
Dairy products are now too expensive for many customers, resulting in buoyant demand for powders where some dairy fat is replaced with cheaper vegetable fats.
When fat-filled powders are added to the dairy category, it means that total dairy exports hit €3.7bn.
At €4.1bn and 42% of the total, the UK remains our most important food market. With ready access, a similar culture, growing population and Irish companies in strong positions, it was described by Cotter as “an opportunity too good to ignore”.
China was a notable growth destination for Irish food exports last year, with the value of exports up 43% to €390m. In value terms, it is now Ireland’s number two dairy market, our number three pork market and our sixth most valuable market overall.
Aidan Cotter said that 87% of Irish beef is now produced on Quality Assured farms, up from 78% at the start of the year.
Sector performance
Dairy
Beef
Sheepmeat
Pigmeat
Click here for analysis by Agribusiness Editor Eoin Lowry on the outlook for each sector.