Dairy companies close crisis deal in milk collection

The Dutch dairies have made agreements about the milk collection at the dairy farms, should there be a hitch somewhere in the coming period due to the corona crisis. In the coming weeks, milk production will reach its traditional peak in the season.

If problems arise in milk processing, the dairy companies will solve this together as much as possible. This is reported by the Dutch Dairy Organization (NZO). The NZO emphasizes that there are no problems with the processing of the milk during this period. Milk collection, production and distribution of dairy products are all going according to plan.

Temporarily suspend milk flows
The dairy companies have worked out various scenarios in which they can work together in the supply of raw materials. If, for example, one or more dairies can no longer collect or process the milk, capacity can be called upon that may be available at other companies. Moreover, the distinction between different milk flows can be temporarily removed, so that extra processing capacity becomes available.

The processing of the milk can, for example, be endangered by absenteeism at the factories as a result of the corona virus, the NZO gives as an example. The dairies have drawn up the scenarios for that purpose. If all alternative options have been used, a temporary reduction in the milk supply may come into play. 

Consultation in emergency scenarios
For such an emergency scenario, the NZO and the interest groups in dairy farming will explore all available options in consultation with the national government and the European Union, the sector organization writes. "Dairy companies are doing everything they can to provide consumers with dairy products in the current exceptional circumstances as a result of the coronavirus." 

In USA en Canada Dairy farmers have to dump milk on land en masse due to a large-scale drop in demand as a result of the corona crisis. That is not the case in the Netherlands. The joint scenarios of the dairies are specifically intended to ensure that milk intake continues as smoothly as possible in the event of a calamity.

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