Irish milk production has fallen into decline for two consecutive months with the impact now expected to be felt across Europe.
Ireland is a significant player in the European dairy market, accounting for 6.3% of EU dairy exports last year. It is a particularly important supplier to the UK, where any drop offs in production will be felt most.
Irish milk volumes first tipped into decline in April with a 3.4% drop, before another 1.5% fall in May, according to figures published by CLAL.
The trend mirrors the UK where a decline in milk production is accelerating with a 3.1% fall in June compared to the previous year, AHDB said. The worst impact was towards the end of the month when heatwaves placed stress on cows and reduced yields.
In Ireland, heat stress has been less severe than in Great Britain but temperatures are still above summer norms. The little rain across Ireland has affected its predominantly grass-fed systems and will be filtering through to affect supply, AHDB said.
Why is Irish milk production down?
Fuel protests across Ireland in April led to further disruption, reportedly affecting feed supplies and milk collections, AHDB added, which noted a fuel subsidy has since been arranged for farmers, covering the months of March to July to reduce some of the impact.
Irish farmers, like many around the world, are still bearing lower prices as global milk supplies remain abundant. The EU has forecast a 1.6% rise for the whole of 2026 year although growth is forecast to slow in the latter months.
Teagasac, Ireland’s national agriculture body, expects average milk prices this year to be 20% lower than 2025 averages.
Bord Bia, the Irish state agency which promotes food, beverage and horticulture producers, provided additional context to the 2026 numbers by explaining that 2025 was a particularly favourable year for dairy.
“It’s easy to focus on the year-on-year comparison, but 2025 set an exceptionally high benchmark for Irish dairy production due to optimal grass growing conditions.
“It’s great to see that production in 2026 is tracking so closely behind that record year, while remaining well ahead of 2024, demonstrating the underlying resilience of Ireland’s dairy sector. We’re also seeing continued improvements in milk fat and protein levels, reinforcing the quality of the product.
“With our grass-based production model, strong sustainability credentials and reputation for quality, we’re confident about the long-term outlook for Irish dairy.”
