Select a leading Irish exporting food company as a case study to illustrate contribution to economic growth in their relevant sector and the changes in global food consumption within that food sector. Additionally based on 21^st Century Trends in the Global Food sector identify how the company is addressing these trends and how the predicted changes in future production processes and levels along with international economic and government strategies will impact on the company in the future.

Introduction:

I decided to do this assignment on Dairygold as I grew up on a dairy farm and I thought I would always end up as a dairy farmer but about 10 years ago my dad decided to change into the beef sector as our land wasn’t up to the task of dairy farming especially the way most of the farmers were expanding and at such a rate.

The big got bigger and the smaller either spent a mad amount of money expanding or diverted into the beef sector and got a side job with guaranteed income and my dad decided on the later

The dairy sector in Ireland has grown a lot in the last few years and continues to grow with a 22% expected increase in milk supplies between 2018 and 2025 according to Dairygold

Some background information on Dairygold:

Dairygold were established in 1990 after Mitchelstown and Ballyclough merged as the shareholders seen an opportunity to be stronger and they wanted to take advantage of the rich Golden valley farmland and produce premium dairy ingredients from there.

They are Irelands largest farmer owned co-operative and they established a strategic plan to develop opportunities abroad.

As the world’s population is projected to increase to nearly 10 billion in 2050 they have invested heavily in research, innovation and world leading facilities to produce premium ingredients.

Since the abolition of the quotas in 2015 they have a lot more milk through the gate which they want to make good use of and in turn offer better returns to the farmers supplying the milk and make better products for their customers.

They supply nutritional solutions for infants through to the active ageing.

Their 2017 figures are as follows:

Volume of milk supplies in liters 1.3 billion up 8.3%

Operating profit 32.4 million Euros up 85%

1,200 employees

7,000 shareholders

Money invested in the last 5 years is 162.1 million Eu

Net asset value is 335.5 million Euros

Revenue is 965.5 million Euros divided into:

76% dairy food ingredients 722.3 million Euros

23% agri business 220.3 million Euros

1% financial + property 11.9 million Euros

Dairygold product mix 2017: