Ornua’s CEO Conor Galvin has expressed disappointment that the Kerrygold brand is facing competition from lower-priced but still premium-branded Irish butters on shelves in the US.

“It is a challenge. I mean, it’s disappointing when you see one of these sold below the value of the Kerrygold. That’s not the way that we want to drive value into our industry,” Galvin commented at Dairy Day.

Kerry Dairy Ireland’s chief executive Pat Murphy claimed that his co-op’s milk that goes into a spreadable butter product offered on US shelves alongside Kerrygold is motivated by the processor wanting to “make sure that Ireland keeps its return, its market share there” in the face of competition from overseas. The potential for increased competition in the US grass-fed butter category was also referenced by global trade analyst Christophe Lafougere, who warned that New Zealand butter is going to “challenge you in the US with the same positioning for grass-fed butter”.

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