The Joint Oireachtas Committee on Agriculture, Food and the Marine will hear from representative of Sheep Milk Ireland Ltd. to discuss the development of the sheep sector tomorrow (Wednesday, March 8).

The sheep-milk producer will present how the establishment of a sheep-milk industry in Ireland can make a “significant improvement to the viability and resilience of the entire sheep sector”.

Business representatives will tell the committee that having spent countless generations focusing on sheepmeat and wool, Ireland must seriously look at the potential of milk.

This call comes as net margins on sheep farms have dropped by 81% to €7/ewe in 2022, with prospects of similar margins this year, according to the Irish Farmers’ Association (IFA).

The IFA will highlight the sector’s role before the committee and demand government support. Ireland is the fourth largest sheepmeat exporter worldwide, and the second largest exporter of sheepmeat in the EU.

Ireland’s sheep-milk potential

While the Irish dairy-cow sector “continues to deliver” for farming families, the business claims that the dairy-cow industry is “approaching peak production, and its natural limits in Ireland”.

Sheep-milk production is a major industry across the world and represents 1.5% of global milk production or 10.5 billion litres, making it a larger industry than for organic dairy, the business said.

Some 45% of world’s sheep milk is produced around the Mediterranean basin in countries such as Spain, France, Italy, Greece, and Turkey, with the main outlet being cheese production.

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However, production challenges in these regions, including due to drought and dependence on imported feed, have led to reduced production and increased milk prices.

Despite price rises, demand for the products continues to grow. Pecorino Romano commodity trades on the Milan Stock Exchange for €14.00/kg, compared to €4.60/kg for Cheddar, the Tipperary-based producer said.

The business notes that the main export markets for sheep milk cheeses, namely the US, the UK and Germany, are markets where Ireland is already particularly strong.

A feasibility study on the potential of such an industry in Ireland should be conducted by the Food Vision Beef and Sheep Group with its stakeholders, including Teagasc and Bord Bia, the business said.

Government support

Minister for Agriculture, Food and the Marine, Charlie McConalogue previously said that there are currently no research projects funded by the Department of Agriculture, Food and the Marine (DAFM) in relation to sheep milk production.

“The Irish sheep industry is predominantly focused on meat production with only a very small percentage of milking sheep, which are mainly focused on local sheep’s milk cheese production.

“And this is reflected in current government policy and strategies. However, the DAFM and agencies are happy to engage with any industry members seeking to develop this sector,” Minister McConalogue said.

In a large-scale Irish sheep-milk industry based on the family farm model, lambs could be naturally reared by the ewes for 30 days, and the milk could then be collected for the next six months, the business said.

There is an immediate demand for 5,000MT of Irish sheep cheese globally, which would equate to around 110,000 sheep, according to the producer.

Sheep Milk Ireland Ltd. has identified a market opportunity with one of Ireland’s dairy co-ops and will begin exporting a product in the second half of 2023. However, how quickly the industry can evolve depends on the level of government support.

New Zealand

Research from New Zealand – which recognised the production potential over the last number of years – shows economic and environmental opportunities for grass-based production systems.

Findings show that the income potential for sheep’s milk is comparable to dairy cows but with significantly less upfront capital expenditure, making it feasible for farmers with smaller land holdings, the business said.

New Zealand is expanding sheep-milk production, with major processors now involved in the industry focusing on delivering nutritional powders to predominantly Asian markets, according to the business.