Dutch Dairy Industry Overview

The Netherlands stands as a formidable force in the global dairy market. Recognized for its dedication to producing high-quality dairy products, the country has consistently demonstrated a commitment to innovation and efficient practices in dairy farming and processing. The dairy sector is not only vital to the national economy but also holds a significant place in the global dairy landscape.

Dairy Cattle and Milk Production

The Dutch dairy industry is home to approximately 1.57 million dairy cattle. These cattle contribute to an impressive annual milk production of about 14.3 billion liters, highlighting the efficiency and scale of the sector.

Milk Processing

The Netherlands processes an estimated 13 billion liters of milk each year. This processing capability is reflected in substantial production figures, with cheese production reaching approximately 909,000 tonnes annually, alongside 300,000 tonnes of milk powder and whey.

Key Enterprises in the Dairy Market

Several major companies underpin the Dutch dairy industry, including FrieslandCampina, Royal A-ware, Vreugdenhil Dairy Foods, Farm Dairy, and DOC Kaas. In addition, prominent dairy farms such as Melkveehouderij Arie van den Berg, Dairy Farm Van Leeuwen, Runderkamp Dairy, De Wijde Blik, and Kaasboerderij Weenink play significant roles in the market.

Export and Import of Dairy Products

The Netherlands is a net exporter of dairy products, with an export value of approximately 7.1 billion euros compared to imports of around 3.5 billion euros. The country is a notable exporter of Gouda cheese to Chile and leads global cheese imports, cementing its status in the international cheese market.

Significant Events in the Dairy Market

Recent developments in the Dutch dairy industry include the acquisition of Amalthea by Ausnutria Dairy Corp., marking growth in the organic sector. Global trends have led to an increase in raw milk prices to 47.75 euro cents per kg. Environmental policies targeting nitrogen emissions may impact livestock and milk production, while a 13% drop in dairy exports to China has been observed. Collaborations with Arla Foods and over 8,400 European farmers, including those from the Netherlands, have strengthened market positions. Additionally, the introduction of the Milk Sustainability Center's free version for selected farmers is enhancing sustainability efforts. The end of the EU derogation for manure spreading has resulted in reduced herd sizes for some farmers.

Innovation and Research

The Yili Innovation Center Europe, located in Wageningen, exemplifies the Netherlands' commitment to research and development within the dairy sector, continuing to foster innovation in both traditional and alternative dairy products.

Future Outlook

In 2024, there was a 12% increase in the number of dairy cows housed permanently indoors compared to 2023, with more than 50,000 additional cows. Over 20% of Dutch dairy farms now maintain their cows exclusively indoors, with the total dairy cow population standing at 1.5 million. ABN AMRO forecasts rising prices for dairy and meat due to shrinking livestock herds and supply disruptions. Government measures and buyout schemes are leading to the closure of numerous farms, impacting the overall supply of dairy and meat. The price increase of bola cheese is linked to rising raw milk costs and limited availability, primarily sourced from the Netherlands.

Technological Advancements

The Netherlands is renowned for pioneering robotic milking systems, which are widely adopted in Northern Europe, including the Netherlands. These systems increase milk yield by 5–12% and reduce labor costs by 15–20%.

Preservation of Traditions

Traditional Dutch cheesemaking methods are preserved by Marieke Gouda, which imports cultures, herbs, spices, and equipment from the Netherlands to maintain authenticity in its cheese production.

International Cooperation

The Netherlands continues to strengthen agricultural cooperation with Kazakhstan. A Dutch trade mission to Kazakhstan represents a significant step in enhancing agricultural dialogue between the two countries.

FrieslandCampina's Market Position

FrieslandCampina, based in the Netherlands, has a strong presence in the European dairy industry. Recently, Friesland Campina announced a significant reduction in its milk price for November, reflecting market adjustments. Part of a partnership with Netherlands-based start-up Vivici. Vivici is part of the collaboration to support the new facility in the UAE for producing animal-free proteins.

Modified: 2025/11/01