Annual Report 2014

Our Business

The Irish Dairy Board Co‑operative Limited (IDB, the Group, the Business or Parent Society) is an agri-food commercial co-operative which markets and sells dairy products on behalf of its members, Irish dairy processors and the Irish dairy farmer. We are Ireland’s largest exporter of Irish dairy products.

Our core purpose is to bring quality Irish dairy products to markets around the world. We do this by sharing the story of Irish farming and explaining how Irish dairy products are produced from the milk of grass-fed cows, the most sustainable dairy farming system in the world. By building markets for dairy products, we aim to increase the value of Irish milk and to deliver strong returns for Irish farmers.

Operating from 19 subsidiaries worldwide, we have sales and marketing teams working in-market across all four corners of the globe from Algiers to Beijing to Lagos and Moscow.

We are the proud owners of the Kerrygold brand. Our brand portfolio also includes Pilgrims Choice, Kerrygold Dubliner, Shannongold, and BEO, a popular milk powder sold in Africa.

With pre-packing and blending facilities located in Germany, the UK, the USA and the Middle East and extensive R&D experience, we are consistently exploring new formulation possibilities to enhance our ingredients range. We develop bespoke food ingredient solutions for many of the world’s major food manufacturers.

Our business is structured on three core platforms; Consumer Foods, Dairy Trading and Ingredients and DPI, a speciality food distribution company in the US. Group subsidiaries in the UK, Spain , Germany and North America pack, distribute and market a wide selection of branded products, dairy ingredients and speciality food items of both Irish and non-Irish origin.

Our Mission

Our purpose is to build sustainable routes to market for Irish dairy products, safeguarding the future prosperity of Irish dairy farmers. It is this mission that keeps us ‘on course’ toward the future that we describe in our vision.

Our Vision

IDB’s vision is to become a leading global dairy organisation, rewarding our customers, consumers and shareholders by delivering value through:

Outstanding People

An International Market Presence

World Class Brands & Ingredients

Customised Innovation

Dairy Trading Expertise

Growth Strategy for the Future

Our Business Transformation Strategy encompasses four core pillars. These are:

  • Operational Excellence
  • Value Added Growth
  • In-Market Expansion
  • Our People & Culture

This translates into five key areas of focus - Brand Growth, New Product Development, In-market Expansion, Capital Expenditure and M&A & Route to Market. This strategy is deeply embedded within our organisation and is successfully steering the business into a period of great growth and opportunity.

What We Do

Where it begins

Irish Dairy Farmers

Our Member Suppliers / Proccesors

It all begins with the Irish dairy cow. Irish grass-fed cows produce rich, creamy milk full of natural goodness.

The milk is delivered to the processor where it is transformed into quality dairy products that are full of taste and loved by consumers around the world.

Our Responsibilities

R&D, Packing, Branding & Marketing

Routes to Market

Distribution Channels

Farmer Returns

We listen to our customers, develop products to meet their needs and create brand and marketing campaigns that inspire and engage.

  • Consumer Insights
  • Innovation & NPD
  • Brand Design & Development
  • Technical & Operations
  • Legal, Regulatory & Financial services

We build and enhance sustainable, value-added routes to market.

  • Market Intelligence
  • Sales & Marketing
  • Dairy Trading
  • Volatility Management

Through our subsidiaries and our global network of agents and distributors, we deliver quality products to customers around the world, on time and within spec.

  • Supply Chain
  • Procurement
  • Logistics
  • Customer Service

We work hard to deliver a strong and sustainable return to the Irish dairy farmer.

  • Teamwork
  • Excellence
  • Dedication
  • Ambition

Some of Our Products

Our Structure

% Group Turnover

37%

The Consumer Foods division has responsibility for the international marketing and sales of the IDB’s consumer products portfolio including the Kerrygold and Pilgrims Choice brands. Markets are served through wholly owned subsidiaries in the UK, the US, Germany, the Middle East, China and Russia and by locally based distributors and agents in other key regions.

Key locations

UK, the US, Germany, the Middle East, China and Russia

Germany

UK

US

International

% Group Turnover

32%

The Dairy Trading & Ingredients division is responsible for the procurement of Irish dairy products and for the sale of dairy ingredients to end users. Operating out of Ireland, the division exports dairy ingredients to over 110 countries and it is supported by key subsidiaries in the UK, Spain, Saudi Arabia and the US.

Key locations

Ireland, the UK, the US, Spain and Saudi Arabia

Europe

US

Ireland

Middle East

% Group Turnover

31%

DPI Specialty Foods, is the third largest speciality food distributor in the US. The business operates from four strategically located distribution centres in the US.

Key locations

US

US

  • West
  • Intermountain West
  • Mid Atlantic
  • Dedicated Logistics

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