Irish Agriculture

Ireland has a global reputation for the quality of its agricultural products. The sector is a driving force for the Irish economy and is torn between ancient traditions, contemporary challenges and innovations.

The main characteristics and cultures of Irish agriculture

Irish agriculture is primarily livestock-based, with a particular emphasis on livestock, particularly cattle and sheep. The dairy sector is also a mainstay of the economy, with Ireland being renowned for the quality of its milk and its by-products such as butter and cheese. Thanks to a mild and humid climate, which is conducive to pasture farming, high-quality free-range livestock farming is possible. These conditions promote abundant pastures and provide ideal feed for livestock all year round.

Irish agriculture is distinguished by a strong focus on sustainability and the environment. In response to climate challenges and pressures from European markets, Ireland has implemented agricultural policies aimed at reducing greenhouse gas emissions, protecting soils and improving water quality.

Although livestock farming is dominant, Ireland also grows a variety of agricultural products. Cereals, mainly barley, wheat and oats, are grown for food production and as fodder for livestock. Potatoes, vegetables and fruit, as well as specialist crops such as sugar beet, are grown in some areas.

The economic contribution of this sector

Irish agriculture plays a central role in the country’s economy, although it has evolved over the years to meet economic and environmental challenges. In 2023, it represents approximately 6.9% of Ireland’s GDP of €520.9 billion. This figure reflects the importance of this sector despite the Irish economy becoming increasingly geared towards the technology and financial sectors.

Farm income from family farms is projected to be €19,925 in 2023, alongside a farm surplus of €2.9 billion, a dairy production value of approximately €3.5 billion and a cereal value of €344 million. These figures are down on the previous year 2023, reflecting a difficult year for Irish agriculture.

Challenges in Ireland’s agricultural sector

The productivity and profitability of Irish agriculture has been affected by a number of economic, environmental and social challenges.

The Irish climate, while favourable to some crops, is increasingly affected by extreme events such as heatwaves, floods and droughts. These conditions have a direct impact on agricultural yields as illustrated by the decline in cereal yields in 2023, where production fell by 20.9%. In addition, the increasing pressure to reduce greenhouse gas emissions from agriculture is weighing on Ireland. The agricultural sector is responsible for approximately 33% of the country’s total greenhouse gas emissions, making it one of the most polluting sectors. The Irish government and the European Union have put in place strict policies to promote sustainable agriculture. Also, the prices of agricultural products such as milk and cereals are extremely volatile, influenced by global factors such as fluctuations in commodity prices, the exchange rate, etc. The increase in production costs, particularly for animal feed, fuel and fertilisers, is weighing on farmers. All of these factors have contributed to the declines in revenues and yields observed in 2023.

How can this sector, which is vital to the Irish economy, adapt to increasing environmental and economic pressures while maintaining its competitiveness in the global market?