Luxembourg's Dairy Industry

Luxembourg, although small in size, plays a significant role in the European dairy market. The country is recognized for its high standards in milk production and processing, contributing substantially to the local economy and its international reputation.

Dairy Cattle and Milk Production

The dairy farms in Luxembourg house approximately 45,000 dairy cattle, resulting in an annual milk production of about 330 million liters. This high output is the result of efficient farming practices and favorable climatic conditions, which support the industry's growth and sustainability.

Milk Processing

Luxembourg processes nearly 300 million liters of its milk production each year, transforming it into a wide array of dairy products. These products range from basic milk to more sophisticated varieties, significantly impacting the local economy.

Cheese Production

Cheese production is a critical segment within Luxembourg's dairy industry, with an annual output of approximately 25,000 tons. The cheese assortment includes traditional Luxembourgish types alongside popular international varieties, catering to both domestic and international markets.

Milk Powder and Whey Production

The production of milk powder and whey is also notable, with Luxembourg producing about 15,000 tons of milk powder and 10,000 tons of whey each year. These products hold significant economic value and are essential for various food industries worldwide.

Dairy Plants and Farms

Leading dairy plants in Luxembourg include the Auriga Cheese Plant, Centrale Laitière de Luxembourg, and the Dairy Processing Plant Mersch. Notable dairy farms such as Ferme de Steinfort, Hansen Dairy Farm, and Barbelé Dairy Farm play essential roles in maintaining the industry's quality and supply.

Exports and Imports

Luxembourg exports approximately 150 million liters of milk and dairy products annually, with primary markets in Germany, France, Belgium, and other EU nations. To meet diverse consumer preferences, the country imports about 50 million liters of dairy products, mostly sourced from the EU.

Significant Events

A noteworthy event in Luxembourg's dairy sector is its participation in Arla Foods, a cooperative comprising over 8,400 farmers across several countries, including Luxembourg. This cooperative framework enhances industry resources and supports collective progress. Luxembourgish farmers are set to be part of the new entity formed by the merger of Arla and DMK Group.

Industry Impact

Luxembourg's dairy industry is significantly influenced by major players such as Müller, which has a turnover of €6.2 billion. Additionally, the Prolek cooperative contributes approximately 50 million liters of milk annually, representing 10% to 15% of the country's dairy production.

Luxembourg's farmers are searching for new partners amidst market challenges. The prices in Luxembourg are approximately €0.40 per litre as of April. There are concerns about market oversaturation despite a steady global demand increase.

Modified: 2026/06/05

---