MySQL Slave has unmanagbly higher IO load than master
Munin's formula for "device utilization" is (milliseconds spent doing I/O)/second, which assumes you can't do any I/O in parallel, so I'm not sure that this is a meaningful metric. However, you do clearly have a genuine performance issue here since replication can't stay caught up.

Is there a significant difference in the I/O subsystems between the servers? 

The way I would approach this is to compare the I/O subsystems and then if there isn't a glaring difference in architecture, run some I/O benchmarking at a quiet time with a tool like bonnie++ or fio to narrow down the difference in performance. 

Note that the slave likely has an equal write workload to the master because it has replay all the writes, plus it may have a considerable read workload (for reading any parts of the database that have to be updated) and might be less efficient for reads than the master because it has less RAM for caching. In this situation I would not necessarily expect the slave to be able to catch up because it's entirely possible for the master to generate work at a rate faster than the slave can consume it.