Dairy Co-Operatives Dale Farm and Aurivo Cancel Merger Plans

Dale Farm and Aurivo, two major dairy co-operatives in Ireland, have halted their plans to merge, as reported by The Irish Times. The merger, initially explored by the Sligo-based Aurivo and Northern Ireland-based Dale Farm, aimed to create an entity with a combined milk pool of 1.5 billion litres.

The decision to halt the merger follows mixed reactions from Aurivo's members, with some expressing concerns about a potential loss of control and job losses. In a letter to the Irish Farmers Journal, suppliers highlighted issues related to governance, regulatory oversight, and milk supplier alignment, citing differences in milk production models between Northern Ireland and Ireland.

In a joint statement, the co-operatives announced that the merger would not proceed at this time. Instead, they have agreed to collaborate on projects, focusing on byproduct utilisation and adding value to protein products. Nick Whelan, CEO of Dale Farm, and Donal Tierney, CEO of Aurivo, both emphasized the importance of cooperation in a competitive global market.

Aurivo reported revenues of €725 million in 2024, while Dale Farm experienced a 14% increase in total revenues, reaching £722.4 million by March 2025. This strategic partnership is expected to enhance processing efficiency, improve market returns, and provide long-term value for both companies.