Milcobel is looking for a new CEO with a fresh look ahead

According to their stories, the cause is an old one, dating from the time when Van Dam had just taken office. He then said, among other things, that it would not be such a problem for Milcobel if a little milk was lost. More cooperative directors and managers have said this in recent years. And milk volume was lost at many cooperatives, including Milcobel. And it didn't hurt at all in the short term.

Less milk is nice
In the past few years it has even been nice not to be completely full of member milk. In 2022, with a milk price of 60 cents or more, additional milk purchases provided extra flexibility. There was no more than necessary. Moreover, the milk price in France, for example, was a lot lower. Count your winnings.

Situation turned
Last year things started to turn around a bit. In this year with a lower milk price and higher costs, many dairy farmers stopped. Partly also livestock farmers who had enjoyed the high prices in 2022. Milcobel had an above-average number of smaller and older companies. Many larger companies with young farmers had already switched to A-ware and others in recent years. Milcobel must therefore focus hard on retaining members and milk volume and focus more heavily on running itself more efficiently and profitably, without additional help from cheaper additional milk. The volume of milk being processed has fallen sharply, from 1,7 billion liters at its peak, when Van Dam took office, to 1,35 billion liters in 2022. No figures are yet known for 2023, and the volume of member milk has also fallen sharply. , but not exactly known.

Ceiling reached
Milcobel will not be alone in this either, but it appears that the Flemish cooperative no longer had confidence that this would succeed with Van Dam. It is not only the circumstances that have changed significantly at the beginning of 2024 more volatile markets, stricter sustainability requirements and milk production that appears to be reaching its ceiling, as the company's press release reports. Confidence in Van Dam's abilities also seems to have reached its ceiling, even though he has made good progress with the company in recent years. A new CEO is needed for a new phase. The fact that Milcobel and Van Dam part ways with immediate effect underlines that the love has cooled. 

Interim management of foursome
For the time being, the management of Milcobel is in the hands of four directors just below the CEO: Pierre Stevens (CFO), Edith Hamelryckx (HR Director), Francis Relaes (Managing Director Milcobel Premium Ingredients) and Tom Schiettecat (Director Milk & Farms). .  They are responsible for the daily management until the appointment of a new CEO and report directly to the board of the cooperative. An interim CEO, as was the case after the dismissal of Van Dam's predecessor Peter Koopmans, will not be appointed this time. Also because it is not assumed that major adjustments to business operations will be necessary in the very short term.   

Van Dam does not have to be completely at home right away. He still has a number of supervisory directorships, such as at the chocolate company Bois Sauvage (turnover €900 million) and several smaller companies.