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Denmark's Dairy Industry Overview

The dairy industry in Denmark is integral to the country's agricultural fabric, noted for its high-quality production and significant impact on global dairy markets. With companies such as Arla Foods, Denmark amplifies its international presence, fostering a competitive global edge.

Milk Production

Denmark produces approximately 5.6 billion kilograms of milk annually, underlining its essential role in both local and international dairy markets. This impressive production is a testament to Denmark's commitment to sustainable farming practices.

Dairy Cattle

The nation supports around 560,000 dairy cattle, which are crucial to Denmark's extensive milk output and play a central role in its agricultural framework.

Milk Processing

With an annual processing volume of about 5.4 billion kilograms, Denmark's advanced infrastructure and industrial capacity are showcased, underscoring its robust processing facilities.

Cheese Production

Celebrated for its high-quality cheeses, Denmark exports approximately 500,000 tonnes annually. This production bolsters Denmark's export market and enhances its international reputation for premium dairy products.

Milk Powder and Whey Production

Denmark leads in milk powder and whey production, generating an estimated 1.2 million tonnes each year. This is crucial for both domestic uses and international supply chains, reinforcing its strong market position.

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 experiencing noteworthy transformations, including Arla Foods' DKK 200 million investment in its Esbjerg Dairy Center, enhancing the premium milk beverage market with brands such as Starbucks and Cocio. Rising raw milk prices, now at 47.06 euro cents per kilogram, influence farmer profitability and consumer pricing. Furthermore, Denmark's decision not to extend the nitrogen stocking rate derogation requires more stringent environmental compliance.

Export of Dairy Products

Denmark's dairy sector is primarily export-oriented, with annual exports valued at approximately €2.2 billion. Key markets include Germany, the UK, and China, emphasizing Denmark's prominent role in global dairy commerce.

Import of Dairy Products

Denmark imports about €0.4 billion worth of dairy products each year, primarily focusing on specialty cheeses and niche products not widely produced domestically.

Conclusion

The Danish dairy industry is marked by substantial production volumes, sophisticated processing capacities, and a robust global presence. Major enterprises such as Arla Foods are innovating to meet regulatory changes and market trends, ensuring ongoing growth and competitive performance. Strategic obstacles arise from global challenges like bluetongue disease and China's anti-subsidy investigations. Additionally, Arla Foods' acquisition of the Semper facility from Switzerland's Hero Group marks strategic growth. Denmark remains a key cheese supplier to South Korea. Initiatives stress public awareness on reducing meat and dairy consumption, with Denmark exemplifying sustainable agriculture.

Key events include the Dairy Innovation Strategies event, scheduled for Copenhagen on March 26 and 27, 2025. Arla Foods has revised its strategies following Domty's demerger concerns, and announced a collaboration with Germany’s DMK to create the largest dairy cooperative in Europe.

Modified: 2025/04/24