The dairy sector is warning that the impact of Covid-19 could result in milk prices being paid to farmers falling by as much as 20% this year, which would cost the economy the equivalent of 11,000 jobs.
A report commissioned by Diary Industry Ireland, which represents primary and secondary dairy processors, says that urgent measures are needed to support the dairy industry.
Covid-19 restrictions across Europe have meant the virtual closure of the food service industry, which is costing the sector hundreds of millions in exports.
The EY report committed by Dairy Industry Ireland finds that milk prices could fall by as much as 20%, which would reduce the diary output here by more than €2billion this year, the equivalent of almost 11,000 jobs.