Belgium's Dairy Market Overview
The Belgian dairy market is a dynamic and significant sector, both domestically and internationally. As of June 2023, the market is experiencing a notable increase in raw milk prices, reflecting heightened demand and robust performance.
Key Metrics
Belgium supports approximately 500,000 dairy cattle, which annually produce around 4 billion liters of milk. Of this production, approximately 3.5 billion liters are processed each year. Cheese production is estimated at 1.2 million tons, with around 500,000 tons of milk powder and 250,000 tons of whey produced annually.
Major Dairy Enterprises
Several significant dairy enterprises operate within Belgium, including FrieslandCampina, Milcobel, Lactalis, Danone, and Belgomilk. These companies are crucial in processing and distributing dairy products locally and internationally.
Notable Dairy Farms
Belgium is home to notable dairy farms such as Farm A, known for organic milk production, Farm B, specializing in high-quality cheese, and Farm C, a pioneer in sustainable dairy farming practices.
Export and Import of Dairy Products
Belgium exports approximately 2 billion euros worth of dairy products annually, while imports reach around 1.5 billion euros. This trade balance underscores Belgium's significant role in the global dairy market.
Significant Events in the Belgian Dairy Industry
Recent developments include Milcobel's strategic divestment of its subsidiary Ysco to Davidson Kempner Capital Management, expected to impact the industry. Additionally, the installation of the first Lely Orbiter at Bart Vanderstraeten and Marijke d'Hertefelt's farm in Merchtem marks a significant technological advancement.
Challenges
The Bluetongue Virus (BTV-3) poses ongoing threats to livestock health and fertility, contributing to a 3.9% decline in milk production due to unfavorable weather and the virus. Regulatory pressures to reduce farm emissions may also affect livestock production.
Resilience and Innovation
Despite these challenges, Belgium's dairy market remains resilient and influential on the global stage. The country's involvement in international initiatives, such as the new Arla and DMK Group entity, further solidifies its position.
International Cooperation
An ICOS delegation is engaged with European Commission officials to address compliance requirements for Ireland's dairy industry, highlighting Belgium's active role in European dairy discussions.
European Milk Forum
Belgium is a member of the European Milk Forum, which spans nine European countries, promoting dairy industry development.
Health and Safety
The European Food Safety Authority (EFSA) is monitoring potential spill-over of the Bluetongue Virus into Europe, emphasizing the need for proactive measures.
Innovation in Packaging
Belgium is at the forefront of innovation in the dairy packaging market and is involved in the European Dairy Futures contracts.
Sustainability Initiatives
Milcobel, a major Belgian dairy cooperative, is collaborating on transforming dairy byproducts into sustainable palm oil alternatives. A new center focusing on mid-sized farms is planned to open in Belgium in 2025 in partnership with Wageningen University.
Modified: 2025/11/03