Denmark's Dairy Industry Overview

The Danish dairy industry is a cornerstone of the nation's agricultural sector, celebrated for its quality and global impact. With leaders such as Arla Foods, Denmark strengthens its position in international markets, emphasizing sustainability and technological advancements.

Milk Production

Denmark produces approximately 5.6 billion kilograms of milk annually, highlighting its significant role in both local and global dairy markets. This production volume demonstrates Denmark's dedication to sustainable farming practices.

Dairy Cattle

The country is home to around 560,000 dairy cattle, which are essential to Denmark's extensive milk production and integral to its agricultural landscape.

Milk Processing

Denmark processes about 5.4 billion kilograms of milk each year, showcasing its advanced infrastructure and robust processing capabilities.

Cheese Production

Renowned for its high-quality cheeses, Denmark exports approximately 500,000 tonnes annually, which strengthens its export market and enhances its reputation for premium dairy products.

Milk Powder and Whey Production

Denmark is a leader in milk powder and whey production, generating an estimated 1.2 million tonnes each year, crucial for both domestic use and the international supply chain.

Key Dairy Enterprises

• Arla Foods
• Thise Dairy
• Hansen Dairy
• Mammen Cheese

Notable Dairy Farms

• Tinglev Dairy Farm
• Gudsoe Dairy Farm
• Holmdrup Dairy
• Lemvig Dairy Farm

Recent Events in the Dairy Market

Denmark's dairy sector is undergoing significant transformations. Arla Foods has invested DKK 200 million in its Esbjerg Dairy Center, aiming to boost the premium milk beverage market with brands like Starbucks and Cocio. Rising raw milk prices, now at 47.06 euro cents per kilogram, impact farmer profitability and consumer prices. Moreover, Denmark's decision not to extend the nitrogen stocking rate derogation necessitates stricter environmental compliance.

Export and Import of Dairy Products

Denmark's dairy sector is export-oriented, with annual exports valued at approximately €2.2 billion. Key markets include Germany, the UK, and China. On the import side, Denmark purchases about €0.4 billion worth of dairy products each year, focusing on specialty cheeses and niche products not widely produced domestically.

Conclusion

The Danish dairy industry is characterized by substantial production volumes, sophisticated processing capacities, and a strong global presence. Companies like Arla Foods are innovating to address regulatory changes and market trends, ensuring continued growth and competitiveness. Challenges include global issues like bluetongue disease and China's anti-subsidy investigations. Nonetheless, strategic expansions, such as Arla Foods' acquisition of the Semper facility from Switzerland's Hero Group, highlight growth potential. Denmark also remains a key cheese supplier to South Korea, and there are ongoing efforts to raise public awareness about reducing meat and dairy consumption, aligning with Denmark's commitment to sustainable agriculture.

Membership in EMF extends across nine European countries, including Denmark. A field trial in Denmark has successfully demonstrated the efficacy of Ambient Carbon's Methane Eradication Photochemical System. On August 12, 2025, a significant advancement in the fight against agricultural methane emissions was reported from a field trial in Denmark.

Modified: 2025/08/15