Lakeland Dairies, the largest cross-border dairy processor on the island of Ireland, has announced that its turnover and profit fell in 2023 after a 'challenging year'.
The farmer-owned co-op said its turnover last year reduced to €1.6bn (£1.4bn) from €1.9bn (£1.6bn), blaming "the collapse in global dairy markets".
Lakeland Dairies collects over 2 billion litres of milk from 3,200 farms across 16 counties in Northern Ireland and the Republic of Ireland.
The cooperative has a portfolio of 240 different dairy products, which it exports to over 100 countries worldwide.
But it has also reported a fall in operating profits from €32.5m (£28m) in 2022 to €14.8m (£12.6m) in 2023.
The co-op’s group chief executive officer Colin Kelly said last year had been a “difficult year for the dairy industry”.
He said: “Nobody, from farmer to processor, was disappointed to see the back of a year that challenged us at all levels.
“Global markets collapsed, costs at farm and processor level remained stubbornly high, interest rates reached levels not seen for decades, and inflation impacted every one of us both inside our homes as well as inside the business."
Lakeland paid out nearly €800 million in milk payments to its farmers last year, which helped to “drive a balanced regional economy”.
