The proportion of Irish dairy farms with more than 100 cows has almost trebled over the last decade.

Just 12% of dairy farms had more than 100 cows in 2012 but that figure had grown to 34% by 2021.

This cohort of farmers is also producing the largest share of the country’s total milk pool.

Although 41% of Ireland’s total milk output is supplied by the 66% of dairy farmers with less than 100 cows, the remaining 59% is produced by the one-third of units with the largest herds.

The changed nature of the Irish dairy sector is further confirmed by the rising average herd size and declining number of smaller herds.

While a quarter of herds had less than 40 cows in 2012, this figure had dropped to 14% last year, with this group of farmers supplying just 4% of the overall milk pool. The average dairy herd size reached 93 cows in 2021.

These radical shifts in Irish dairying are outlined in the dairy enterprise factsheet, which is produced as part of Teagasc’s assessment of the figures included in the National Farm Survey (NFS).

The factsheet shows that profit margins in the country’s top one-third of herds last year was 35% higher than that achieved by the bottom third.

Net margins varied from 16.7c/l in the top one-third of herds, to 14.7c/l in the middle third, but fell to 10.8c/l for the bottom third. The average was 14.07c/l. The differential in performance levels was also reflected in the gross margins per hectare.

While the top one-third of farms recorded an average gross margin of €4,431/ha, this fell to €3,142/ha for the middle third, and dropped to €2,041/ha for the bottom one-third of farmers.

Average net margin

The average net margin per hectare in 2021 was €1,748, a 28% increase on 2020 when it stood at €1,368/ha.

Among the other interesting statistics included in the data for 2021 were:

  • Average milk sales per hectare rose by 4% to 11,827 litres.
  • Average duration at grass was up seven days to 241.
  • Average stocking rate was 2% higher at 2.10 livestock units per hectare.
  • Average milk production per cow was up 2% to 5,790 litres.
  • Average actual milk price (including fat and protein) rose by 14% to 40.11c/l.
  • Milk fat content average was 0.03% higher than 2020 at 4.22%.
  • Milk protein average was down 0.03% on 2020 to 3.54%.
  • Average milk solids per cow were up 2% to 447kg.
  • Average concentrates fed per cow was up 3% to 1,173kg.
  • Average concentrates per litre of milk fell by 8% to 0.2kg.
  • Nitrogen usage dropped 6% in 2021 to 173kg/ha.
  • Average somatic cell count was 4% higher than 2020 at 166,000 cells per millilitre.
  • The average Basic Payment Scheme on dairy farms was €17,333, which was a drop of 1%.