UK: Record highs for Northern Ireland milk deliveries

Milk production in Northern Ireland makes up a significant chunk of the total UK milk pool, equating to 17% of the 2023/24 milk season. However, there are some key differences that impact the dynamics. Dairy farmers in Northern Ireland export around 80% of their products and are therefore even more exposed to the vagaries of global markets than in Great Britain. In GB, more milk goes into liquid processing, and more is on aligned retailer contracts which are based on the cost of production, offering some insulation from market driven price changes. This can be beneficial or deleterious depending on whether the global market is rising or falling. Northern Ireland’s milk deliveries have been trending above 2023 (and the 5-year average) since May. Most recently, August milk deliveries were up by 4.0% vs the same month in 2023. This contributed to a year to date (April-August) increase of 1.6% vs the same period in 2023, marking a record high. In contrast, GB deliveries in August saw ...