Ireland is known internationally for its high-quality food products, with brands such as Guinness and Kerrygold being recognized and sold around the world. But becoming a leader in branded food and ingredients didn’t happen overnight; So how did it come about?

“The country exports almost 90 per cent of its food production to key markets including the UK, EU and beyond,” says Dairy Industry Ireland director Conor Mulvihill. “Irish food products are known for their high quality, which is attributed to the country’s sustainable farming practices and grass-fed animals. Ireland’s food is highly respected around the world for its quality, safety and sustainability.

“The country’s grass-fed dairy products, in particular, are appreciated for their rich flavor and nutritional value, as evidenced by global brands such as Kerrygold and Baileys.”

Neal Johnston, business advisory partner at EY Ireland, says Republic’s commitment to sustainable and ethical production practices has further enhanced the global reputation of food exports by meeting the demands of consumers who prioritize environmental stewardship and traceability.

“The country’s innovations in agriculture and food technology continue to enhance its status as a major player in the international food export market,” he adds. “With world-famous and iconic products such as Irish whiskey and nutritional essentials such as baby food, Ireland adds significant value and prestige to its export portfolio and strengthens its position as a mark of quality in the global food industry.”

John Cotter, professor of finance at UCD Smurfit Executive Development, says Ireland is seen as a quality exporter of agricultural products, with a strong track record internationally with a reputation for being high quality, healthy and relatively pesticide-free. He points out that 15 billion euros worth of food and live animals will be exported from the state in 2022.

Despite Brexit, Britain remains the largest importer of food from the state; Mulvihill says this accounts for a third of the Republic’s food and drink exports.

“This strong trading relationship underlines the high demand for Irish products in the UK market, where Bord Bia research shows Irish food is the food most trusted by the British consumer,” he adds.

Cotter says Kerrygold has expanded its reach significantly in recent years: “Kerrygold is a product found on counters in stores all over the world. It is well positioned worldwide and is the market leader in Germany. Last year alone, Ornua, which produces Kerrygold, launched 20 new products. “In 2023, the company’s revenue was over 3 billion euros, of which Kerrygold accounted for 2 billion euros.”

However, the sector is not without its challenges. One of the problems it has encountered recently is inflation.

“There has been pretty high inflation in milk prices over the last few years,” says Cotter. “The price of butter is becoming more expensive and that is a challenge for any food or product supplier to either increase the price or try to absorb it in some way.”

Ireland has excellent branded products, says Mulvihill, citing Kerry Group’s Cheesestrings as an example. Tirlán, based in Kilkenny, Co Cork, Carbery and Lakeland, says companies like Dairygold “exemplify the excellence of Irish dairy by offering premium grass-fed dairy products, mostly for business-to-business markets and foodservice channels.” “We are successful in creating high-value products that appeal to health-conscious and environmentally conscious consumers.”

He adds that it has a long history of providing dairy bases such as skim milk powder, whey and lactose, as well as innovative ingredients such as protein isolates and hydrolysates to baby foods.

“Irish processors also supply all areas of milk protein and nutrition demand, such as clinical, sports and lifestyle nutritional products for people of all ages,” says Mulvihill. “Ireland is certainly embracing these opportunities but there is always room for further growth which needs to be supported and invested in.”

As for the future, Johnston says Ireland’s food industry can look forward to a “transformative journey” driven by the interplay of sustainability, technology, consumer behavior and economic factors.

“As we look to 2025 and beyond, these drivers paint an evolving blueprint for the industry moving forward,” he says. “Technological innovation is poised to reshape the industry. Precision agriculture, drone use, the internet of things, and artificial intelligence will likely become more prevalent, optimizing resource use and increasing crop yields.

“Food technology is expected to capture a growing share of investment, reflecting global dietary change, particularly in the area of ​​alternative proteins such as laboratory-grown meat and plant-based products.”