Milk supply is declining

DMK is going to close a large number of dairies

26 September 2017 - Wouter Baan

DMK, the largest dairy processor in Germany, is to close several production locations. The company announced this today, Tuesday, September 26. The Supervisory Board has also approved the proposal.

The decision stems from the fact that relatively many German dairy farmers stop, as a result of which the milk supply is declining. Plants in North Rhine-Westphalia, Saxony-Anhalt, Schleswig-Holstein and Mecklenburg-Vorpommern will therefore be closed in 2018 and 2019. In Lower Saxony and Bremen, the processing capacity remains intact.

No other solution possible

Strikes among staff
DMK's intention is not well received by the staff. On Monday, September 25, about 250 employees protested because their jobs are at risk. DMK says it understands the impact of the decision, but sees no alternatives.

DMK currently has 20 production sites that process 7,3 billion kilos of milk annually. With a turnover of €5,1 billion, the company is one of the largest dairy processors in Europe. 

Do you have a tip, suggestion or comment regarding this article? Let us know

Wouter Job

Wouter Baan is Head of Meat & Dairy at BoerenbusinessAt DCA Market Intelligence, he focuses on dairy, pork, and meat markets. He also monitors (business) developments within agribusiness and interviews CEOs and policymakers.

Call our customer service +0320(269)528

or mail to support@boerenbusiness.nl

do you want to follow us?

Receive our free Newsletter

Current market information in your inbox every day

Sign up