increase font size
Arla is growing its global business.
European dairy co-op Arla Foods will spend $850 million this year to expand its business.
Arla Foods’ board met in London recently to approve the expansion plan put forward by management; the money will go into new, expanded and improved production capacity as well as innovative technology.
Arla chairman Ake Hantoft says all investments by Arla Foods are made to secure long-term growth and profit for its 11,200 farmer owners across Europe.
“Arla has a history of good investing for sustained growth. The board has decided to increase our investments… because we have identified new projects and investments with short and long term potential for significant return.
“The business growth these investments will create for our company will generate growth opportunities for our farmer owners. We see the investments as essential to the future of our business.”
Arla grew 50% in the last decade and now operates in 120 countries. It has three key areas in view for investment: meeting the growing demand for dairy, healthy and natural products that match consumer lifestyles; leading in whey; and sustainable food production.
While global milk production continues to be volatile, dairy consumption worldwide is growing faster than it ever has.
About 50% of the new investment will be on projects aimed at growing Arla Foods’ sales outside Europe; its fastest growing markets are Middle East and North Africa, China and Southeast Asia, Sub-Saharan Africa and the US.
Two thirds of this year’s spending will be to raise Arla’s European production capacity: $450m in Denmark, $140m in the UK, $130m in Sweden and $110m in Germany; $60m is earmarked for production in other countries.
The aim is to grow the co-op’s positions in key dairy categories and markets where Arla is already a key player, says chief executive Peder Tuborgh.
“Our ambition is to create an even stronger foundation for our farmer owners and our future business growth.”
OPINION: One of the world’s largest dairy co-operatives has come under fire for embracing a new methane-reducing additive fed to cows. The claims, made on social media, says the use of a feed additive by Arla Foods farmers could ‘contaminate’ milk and allegedly cause cancer.
European dairy co-operative Arla Foods is forecasting a total revenue of nearly $25 billion this year.
Danish dairy co-operative Arla Foods is accelerating sustainability efforts on farm to help customers achieve their reduction targets for scope 3 emissions targets.
OPINION: It's interesting to note that Dutch co-operative Arla Foods is paying its farmers billions for reducing their scope three emissions (that's greenhouse gas emissions generated behind the farmgate).
OPINION: UK vegan activists, realising they are failing badly when it comes to coercing consumers to give up dairy, are becoming more disruptive.
On the eve of his departure from Federated Farmers board, Richard McIntyre is thanking farmers for their support and words of encouragement during his stint as a farmer advocate.
A project reducing strains and sprains on farm has won the Innovation category in the New Zealand Workplace Health and Safety Awards 2025.
Beef + Lamb New Zealand (B+LNZ), in partnership with the Ministry for Primary Industries (MPI) and other sector organisations, has launched a national survey to understand better the impact of facial eczema (FE) on farmers.
One of New Zealand's latest and largest agrivoltaics farm Te Herenga o Te Rā is delivering clean renewable energy while preserving the land's agricultural value for sheep grazing under the modules.
Global food company Nestle’s chair Paul Bulcke will step down at its next annual meeting in April 2026.
Brendan Attrill of Caiseal Trust in Taranaki has been announced as the 2025 National Ambassador for Sustainable Farming and Growing and recipient of the Gordon Stephenson Trophy at the National Sustainability Showcase at in Wellington this evening.
