FrieslandCampina: Leading the Charge in Dairy Payments

FrieslandCampina, the renowned Dutch dairy cooperative, strives to be one of the top three dairy companies that pay farmers the highest. Aiming to achieve this commendable objective, the cooperative has established a unique pricing system for milk. Their pricing structure is anchored on a 'guaranteed price' published monthly, irrespective of the cooperative’s own financial results. This guaranteed price is determined by the milk price trends from various prominent dairy companies in northwestern Europe, inclusive of bonuses, reserves, and deductions, applicable to both conventional and organic milk.

As of April 2025, the guaranteed price stands at €55.25 per 100 kg, which is an increase of €1.5 compared to the previous month. It further includes additional payments based on factors like milk fat and protein content, sustainability practices under the Foqus planet premium scheme (up to €3.5/100 kg), participation in the 'On the way to PlanetProof' quality label (€5/100 kg), organic milk premium, and a volume premium for supplying over 1.5 million kg of milk (€0.5/100 kg).

The cooperative also introduces a year-end cooperative return, calculated from 40% of the annual net profit, amounting to €1.21 per 100 kg for milk delivered in 2024. Despite deductions for sustainable investments, the primary focus remains rewarding quality, volume, and environmental commitment.

In 2024, FrieslandCampina's members received an average price of €52.95/100 kg, including additional payments and an average premium of €1.65 from the Foqus planet program. Founded in 1871 with 14,183 member farmers and 9,001 dairy farms across the Netherlands, Belgium, and Germany, FrieslandCampina annually collects about 9 million metric tons of milk, solidifying its status as a leader in dairy farmer compensation.