Ai Services: investing in the future of livestock sector

​Speaking at the meeting Ai Services’ group chief executive officer, Larry Burke reported that shareholders would again benefit from a distribution from profits in terms of interest on capital invested and also a dividend payment of 1.5% of the value of trade with the company.

While the sector faces significant challenges in relation to changing patterns of semen purchase with sexed semen and new technologies impact on the sales volume, the company remains committed to an investment program which will ensure Northern Ireland farmers can access the best available genetics and breeding programs.

“The changes required to meet climate change requirements and the current lack of profitability in the dairy sector present specific challenges and genetics have a critical part to play in both economic and environment sustainability,” according to Larry Burke.

“The focus for our customers is increasingly around fertility, feed efficiency, health, lifetime yield and milk components. With our links to some of the leading breeding programs in the world we can source the genetics to meet the evolving needs of our customers.”

Speaking on the company’s vision for the future AI Services Chair, Robin Irvine said: “ We are investing in our people – ensuring we have the skills and expertise to lead the business forward in terms of breeding technologies and quality systems.

"We will also invest in a major upgrade of the stud facilities at our headquarters at Ballycraigy which was originally built by the Department of Agriculture in the 1960’s. The new stud facility and laboratory is key to meet the demand for beef semen and developing markets throughout the UK and Ireland. It is also essential to support our dairy breeding program in the South of Ireland – supplying Eurogene, our subsidiary company which is the major provider of dairy semen in the South of Ireland.

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“The project represents a major vote of confidence in the livestock breeding sectors across the island of Ireland.

“Our new complex will allow us to manage larger number of bulls in conditions that reflect their welfare needs in full.”

Larry Burke again: “The project will take two years to complete because of the need to manage as smooth a transition as possible from the current to the new stud. All of this activity will be taking place on the existing site.

“Ballycraigy offers a number of strategic advantages,” Larry Burke further explained. “It is located between two major road networksand is adjacent to significant industrial development over recent years in proximity to the stud also means that the threat of disease entering the stud from nearby livestock farms has been greatly reduced.

“Ensuring that the high health status of Ballycraigy is maintained has, and always will be, of critical importance to the operation of our business.”

According to the Ai Services’ representative, the Ballycraigy investment will drive future growth within the business.

He said: “Ai Services has long been associated with the export of high quality cattle semen to the rest of the UK and beyond.

“The new stud and laboratory will allow us to further develop these opportunities.”

The decision to push ahead with the investment programme was fully ratified at Ai Services’ recent annual meeting.

The company, which was established in 1988, is owned by farmer shareholders and a number of Northern Ireland’s agricultural co-ops. It makes available a range of livestock breeding services to livestock farmers throughout Ireland with semen sales and technician service a key driver of the business.

“Ai Services recorded an increase in both turnover and profits during the last financial year,” Larry Burke explained.

“And we want to build on this for the future. These are exciting time for the livestock breeding sector. New technologies are speeding up the rate at which real and positive change can be effected at farm level.

“It is now clear that targeted breeding strategies will deliver real improvements in the sustainability levels recorded within livestock farming business, both from an economic and environmental perspective.

“And it’s all about improving the levels of efficiency achieved within dairy, beef enterprises. Ai Services will play a key role in making this happen.”

The recent annual meeting saw both Robin Irvine and Peter Conway re-elected as board members of Ai Services.

Robin Irvine was subsequently re-appointed as chairman of the company on a unanimous basis.