AI – adoption outpacing confidence

It is now three years since ChatGPT was launched. In that short time, artificial intelligence (AI) has gone from a novelty in the workplace to an everyday tool for many. Our 2025 ifac Food and Agribusiness Report survey shows a clear rise in AI adoption. Yet business owners and leaders admit there is still mass confusion about what AI can actually do. The challenge for many SMEs we work with is no longer “should I use AI?” but “how do I use AI to make a real difference to the business in a safe way?”. The survey shows that marketing, sales and advertising are now the biggest uses of AI in the sector. In 2024, 44% of businesses were applying AI here. In 2025, that figure rose to 53%. Market research and trend analysis is also climbing, from 37% to 40%. Most striking is new product development, which jumped from 21% to 26%. On the other hand, use of AI for financial management and analysis slipped from 23% to 18%, while automated report generation fell from 33% to 26%. 

Sustainability – customer demand is rising

83% of respondents are receiving requests for sustainability information from customers, while more than half report taking more sustainability actions than last year. Yet only 20% have identified new revenue opportunities, highlighting a gap between intent and impact.

Exports – strong, but risk exposed

Exports remain robust, with 9 in 10 businesses maintaining or growing international sales. In 2024, the value of Irish agrifood exports increased by 5% to €17 billion, maintaining the upward trajectory seen in previous years. This is reflected in our survey, with 56% of respondents seeing a growth in their international sales in the past 12 months. Half of respondents export to the UK, and one in four to the US. However, 66% of those exporting to the US cite tariffs as a top challenge, while 70% overall face FX risk.

People and culture – labour pressures easing

Recruitment plans remain broadly in line with 2024 with 41% of businesses surveyed planning to increase the size of their workforce in the next 12 months, up 2 percentage points from last year (39%). While recruitment and retention are still challenging, there is an improvement in sentiment from last year. 60% of business owners are finding recruitment difficult, this figure is down from 77% in 2024. Staff retention difficulties have also eased, falling to 23% from 34% in 2024. Yet awareness of upcoming regulation remains low – 46% of leaders are still unaware of the new EU Wage Transparency Act due in 2026. 

Marketing – a weak spot for business growth

Irish food and agribusinesses are facing major change. Costs are rising, customer expectations are shifting and digital technology is reshaping how people buy and engage with businesses. In this context, marketing can’t just be an afterthought or a series of short bursts of activity. It needs to be at the core of a business strategy that unlocks growth potential. This year’s survey reveals that two in five businesses have no formal marketing strategy or rely on a reactive approach. This highlights a major business transformation gap. Too many businesses remain focused on day-to-day activities rather than long-term strategy, restricting their ability to scale and grow.