Dairy farming

Dairy nation Holland
Dutch dairy in figures 2013
Dutch dairy in figures gives an up-to-date overview of the
Dutch dairy sector and is divided into eight topics:
Dairy nation Holland
Economic importance
Market overview
Dutch Dairy in Figures is a publication presenting a statistical overview of the main
developments in the Dutch dairy sector in 2013. Even though economic conditions
were generally less than favourable, this important and vital industry sector had a
good year in 2013. Ongoing innovation enables it to respond appropriately to the
growing opportunities offered by the global market.
Modern sector
The Netherlands is a dairy country. Production and consumption of milk, butter and cheese
Dairy farming
Milk processing industry
have a long tradition here, and the characteristic landscape featuring meadows with cows
Trade
and windmills is inextricably bound up with how other countries see us. Behind this image a
Consumption
modern sector is operating which, with an eye for the welfare of man, animal and environment,
Organisations
has grown into one of the largest and most vital agricultural sectors in the Netherlands.
The figures for the year 2013 are provisional, but will only
differ slightly from the final figures.
As such, it makes an important contribution to the Dutch economy. The dairy sector is
Quoting data from this publication is permitted, provided
that the source is acknowledged. No legal rights may be
derived from this publication.
and growing internationalisation and export.
For information:
www.zuivelnl.org
[email protected]
The current business model, with its strong international orientation, has developed in the past
Design
Printing
Production doubled between 1950 and 1980, increasing by 40% per capita. Substantial growth
characterised by a high degree of specialisation, horizontal concentration, vertical integration
From local tradition to international business
140 years from a situation in which dairy production was mainly a farm activity focusing on
local needs. This changed when the first dairy factories were set up around 1870.
Willemijn de Lint, Haarlem
Media Krachtcentrale
took place especially after 1960, when cooled tank systems were introduced and more and
more farmers started using mechanical milking systems. This formed the basis for further
ISSN 0303-5271
international expansion.
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Dutch dairy in figures
2013
2013
Dutch dairy in figures
3
Dairy nation Holland
Dairy nation Holland
The scaling up of activities at farm level and in particular the availability of cooled transport
facilities were important benchmarks in the development of the Dutch dairy industry. They
resulted in a strong increase in the scope and scale of dairy factory activities after the sixties.
Nearly 18 thousand
dairy farmers deliver
12.2 billion kgs of milk
to the industry
A higher processing efficiency at a decreasing number of locations became the trend. In 1985
almost three quarters of the dairy factories that were in operation in 1960 had closed down.
Milk quota scheme: a major influence
The introduction of the milk quota scheme in Europe in the early eighties marked the start
of a new phase in the development of the dairy sector. The scheme curbed productivity
improvements in dairy farming that were achieved through expansion and more milk. More
than before, efforts had to be aimed at more economic use of existing means of production.
Over 50 plants process
12.3 billion kgs of milk
(including import,
re-processing and stocks)
This led to accelerated development of operational efficiency, which was reflected in a steadily
decreasing dairy herd and growing productivity per cow. Investments in more effective
roughage production, improved feed quality and genetic selection via breeding programmes
were responsible for this.
In the dairy industry, curbing of the milk production resulted in strong capacity rationalisation,
which in a general sense provided an additional impetus to the efforts to raise efficiency.
Nowadays the Dutch dairy sector is one of the most consolidated industries worldwide.
Most of the milk is processed within a cooperative structure. Such cooperatives, in which dairy
farmers, as owners of the cooperative, took control of central processing of their milk, have
a long tradition in the Netherlands. The largest cooperative, FrieslandCampina, is in the top
15,0%
1,6% 15,0%
1,6%
6,3%
6,3%
8,3%
8,3%
13,0%
13,0%
55,8%
55,8%
Utilisation
Cheese of Dutch milk
Cheese
Milk powder
Milk powder
Drinking
milk and
other
freshmilk
milkand
products
Drinking
other freshmilk
milk products
Condensed
Condensed
milk
Butter
and butteroil
Butter and butteroil
Other
Other
ten of dairy companies worldwide.
End of quota scheme: new opportunities
The end of the milk quota system in 2015 will mark the start of yet another period in the history
of the Dutch dairy sector. A period in which growing global demand will offer new opportunities.
65% of Dutch milk production
is sold abroad, where the EU
is the most important market
Based on their rich tradition of quality and professionalism, dairy farmers as well as dairy
companies are now investing heavily in facilities that will enable them to use these
opportunities in innovative and sustainable ways. They will be competing in the international
markets so as to ensure that the dairy sector can continue to play its important role for the
Dutch economy and Dutch exports.
35% of Dutch milk production
is consumed in the Netherlands
4
Dutch dairy in figures
2013
2013
Dutch dairy in figures
5
Economic importance
Economic importance
Contribution of Agro & Food to the Dutch economy in 2012
Key statistics
Added value
17 800 dairy farms
1.55 million dairy cows, 0.28 million dairy goats
Dutch economy: € 538 billion
1.2 million hectares of grassland and maize (28% of the surface area of the Netherlands)
12.4 billion kg milk production
22 milk processing companies, 51 dairy factories
Other Agro & Food: € 42.3 billion (7.8%)
300 wholesalers
Agro & Food
€ 48.6 billion (9.0%)
7 000 sales outlets
60 000 jobs in production, processing, wholesale and retail
Dairy € 6.3 billion (1.2%)
Contribution to the national economy 1.2% (about € 6.3 billion), of which:
Dairy farming 13%
Processing 28%
Delivery 48%
Distribution 11%
Gross production value of dairy farming € 4.9 billion (18% of total agriculture)
source: Research Institute LEI
Value of Dutch dairy production
8
billion €
Dairy farming
Milk processing industry
7
6
5
4
3
2005
2010
2012
2013
source: Dutch Dairy Board (PZ), Statistics Netherlands (CBS)
6
Dutch dairy in figures
2013
2013
Dutch dairy in figures
7
500
Market
overviewQuotation
500
400
400
Market overview
Long-term average (2005 - 2013)
maximum: € 437.00
average: € 312.50
300
300
Market prices
200
200
minimum: € 205.00
The dairy market developed well in 2013
despite the ongoing economic crisis. While this
development
was primarily supply-driven, the continued strong demand, in particular from
100
On basis of Dutch quotations and world market prices for butter and skimmed milk powder
jan-14
jul-13
jan-13
45
jul-12
jan-12
jul-11
jan-11
jul-10
jan-10
jul-09
jan-09
jul-08
jan-08
jul-07
jan-07
jul-06
jan-06
jan-05
0
jul-05
China, also constituted an important market factor in support of growth.
Revenue from milk
Dutch quotation for skimmed milk powder
€ per 100 kg of milk with 3.7% fat
40
35
€ per 100 kg ex-factory, excluding VAT
30
dec-13
nov-13
oct-13
sep-13
jul-13
aug-13
jun-13
apr-13
may-13
jan-13
(on basis of EU intervention
prices for skimmed milk powder and butter)
feb-13
dec-12
nov-12
jul-12
aug-12
jun-12
apr-12
200
may-12
jan-12
average: € 234.03
1,0
mar-12
20
300
basic price
world market
EU market
mar-13
25
maximum: € 383.00
feb-12
1,2
Long-term average (2005 - 2013)
oct-12
Quotation
400
sep-12
500
minimum: € 150.00
100
0,8
source: Dutch Dairy Board (PZ)
jan-14
jul-13
jan-13
jul-12
jan-12
jul-11
jan-11
jul-10
jan-10
jul-09
jan-09
jul-08
jan-08
jul-07
jan-07
jul-06
jan-06
jan-05
0
400
jul-05
500
300
In the first months of the year, milk production in major dairy regions such as the EU and the
US remained low owing to the unusually long and cold winter. In parallel with this, a drought
in New Zealand, coupled with the approaching end of the production season there, caused
further restriction in supply. This resulted in sharp price increases of dairy commodities from
200
Dutch quotation for butter
late March on both the global and the internal EU market. In the second half of the year,
improvement in the weather conditions, rising milk prices and relatively moderate feed costs
€ per 100 kg ex-factory, excluding VAT
ensured a gradual increase in milk production without this resulting in pressure on prices.
500
500
Quotation
maximum: € 437.00
400
400
Long-term average (2005 - 2013)
The final outcome was that the year 2013 was characterised by exceptionally high average
prices. The Dutch quotations for butter and various milk powders, as well as the average
average: € 312.50
300
300
value indicators of Gouda 48+ cheese, were all 25% to 30% above the average level of 2012.
200
200
The structural trend towards higher prices for whey powder continued also in 2013.
minimum: € 205.00
jan-14
jul-13
jan-13
jul-12
jan-12
jul-11
jan-11
jul-10
jan-10
jul-09
jan-09
jul-08
jan-08
jul-07
jan-07
jul-06
jan-06
jan-05
0
jul-05
100
source: Dutch Dairy Board (PZ)
500
8
400
€ 383.00
Dutch dairy in maximum:
figures 2013
300
Quotation
Long-term average (2005 - 2013)
2013
Dutch dairy in figures
9
Market overview
Market overview
Consumer prices
Milk prices
Retail prices of dairy products remained stable or showed a small increase in 2013. The price
In the wake of developments on the (international) market Dutch dairy farmers saw their
of drinking milk increased gradually, the average level being clearly higher than in 2012.
income from milk increase to record height. The average milk price was more than 16% higher
The latter was also true for butter, but in this case this was to be attributed mainly to the
than that in 2012, which meant that the level was at an all-time high. Thanks to the high prices,
price recovery that took place in the first half of the year. For cheese the increase in the price
margins for dairy cattle farmers also rose strongly, making 2013 a good year for this sector.
level compared to last year was very limited. In the yoghurt and dessert product category
The results of the international milk price comparison confirm this positive picture but also
prices remained stable.
illustrate that developments may differ strongly from one company to another.
Dutch consumer prices
International milk price comparison
Average 2006 = 100
150
€ per 100 kg
index
Company
Country
2012
2013
2013/2012
Hämeenlinnan O.
Finland
44.06
45.18
2.5%
Granarolo (Noord)
Italy
40.73
41.87
2.8%
FrieslandCampina
Netherlands
35.01
40.95
17.0%
DOC Kaas
Netherlands
33.40
38.97
16.7%
Milcobel
Belgium
30.63
38.68
26.3%
Arla Foods DK
Denmark
34.21
38.34
12.1%
Glanbia
Ireland
30.90
37.63
21.8%
Alois Müller
Germany
31.22
37.33
19.6%
Kerry Agribusiness
Ireland
30.45
37.32
22.6%
DMK (Nordmilch)
Germany
31.04
36.99
19.2%
Milk prices paid
Dairy Crest (Davidstow)
United Kingdom
35.15
36.50
3.9%
45
Sodiaal Union
France
33.57
36.13
7.6%
Danone (Pas de Calais)
France
33.66
35.99
6.9%
Bongrain (Basse Normandie)
France
33.48
35.94
7.4%
Lactalis (Pays de la Loire)
France
32.82
35.35
7.7%
First Milk
United Kingdom
140
130
120
dec-13
nov-13
oct-13
sep-13
jul-13
aug-13
jun-13
apr-13
may-13
mar-13
jan-13
feb-13
dec-12
nov-12
oct-12
aug-12
jul-12
yogurt, cream, desserts and similar products
butter
jun-12
apr-12
may-12
mar-12
jan-12
100
feb-12
drinking milk
cheese
sep-12
110
source: Statistics Netherlands (CBS)
€ per 100 kg
40
35
Average
30
25
source: Dutch Dairy Board (PZ), European Commission
10
Dutch dairy in figures
2013
jan-14
jul-13
jan-13
jul-12
jan-12
jul-11
jan-11
jul-10
jan-10
jul-09
jan-09
jul-08
jan-08
jul-07
jan-07
jul-06
jan-06
jul-05
jan-05
20
Netherlands
EU
32.42
33.99
4.8%
33.92
37.95
11.9%
Emmi
Switzerland
46.64
49.65
6.4%
Fonterra
New Zealand
29.99
35.54
18.5%
USA class III
USA
33.36
33.28
-0.3%
note: prices for standard milk with 4.2% fat and 3.4% protein (excluding VAT and including supplementary payments)
source: Agriculture and Horticulture Organization Netherlands (LTO) (www.milkprices.nl)
2013
11
Dutch dairy in figures
Dairy f arming
Dairy f arming
Dairy herd
Development of the dairy herd in 2013 was strongly influenced by the dairy sector’s decision
Milk deliveries EU
Development 2013 compared to 2012 (in %)
to accelerate the efforts focused on growth of milk production. Adding more animals was the
only option available for short-term realisation of this growth. For this reason, milk production
increased more or less in parallel with the growth of the dairy herd (+4.6%). The herd grew to
1.55 million animals, while the average milk yield per animal remained stable.
FL
-0,1%
Dairy cows and milk yield per cow in the Netherlands
SE
+0,3%
8 200
1 600
IE
+4,8%
8 000
NL
+5,1%
UK
+0,8%
BE
+2,4%
7 800
1 500
1 450
7 600
Milk yield (kg)
Dairy cows (x 1 000)
1 550
1 350
PL
+10,2%
DE
+5,8%
LU
+1,8%
FR
+1,5%
IT
+0,9%
PT
-2,9%
1 400
LV
+17,7%
LT
+4,8%
DK
+4,0%
Dairy cows
Milk yield
CZ
+1,6% SK
+3,3%
AT
+5,5%
HU
SL
+3,2%
-0,5% HR
-19,3%
2006
2007
2008
2009
2010
2011
2012
2013
to -16
to -12
to -8
to -4
to 0
to +4
to +8
to +12
to +16
to +20
RO
-2,7%
BG
-9,5%
ES
+3,8%
7 400
2005
EE
+13,6%
%
-20
-16
-12
-8
-4
0
+4
+8
+12
+16
EL
-3,1%
7 200
MT
+2,9%
CY
+6,5%
source: Dutch Dairy Board (PZ), Statistics Netherlands (CBS)
Scale of operation
source: Dutch Dairy Board (PZ), Eurostat, International Dairy Federation (IDF), national statistics
Scaling up of the Dutch dairy farms continued at accelerated pace in 2013. The average size
Milk supply
of a cattle farm, expressed in milk production, increased to 665 000 kg (+4.7%). The growth
In line with the development of production, Dutch milk supply increased by 4.6% in 2013,
was markedly higher than in the past few years. The number of dairy farms showed a limited
reaching a level of 12.2 billion kg. This meant that the growth rate in the Netherlands was
decrease (-1.7%).
well above the EU average (+0.6%).
12
Dutch dairy in figures
2013
2013
13
Dutch dairy in figures
/07
Dairy f arming
Dairy f arming
Milk production and quota scheme
As a consequence of the decisions taken in the framework of the reform of the European dairy
policy the milk quota scheme will terminate on 31 March 2015. In the run-up to this date the milk
Milk production per country in 2013, in kg per capita
Data based on the production of cow’s milk and buffalo’s milk
quota was increased for the last time, by 1% for the quota year 2013/14. This brought the total
Dutch milk quota for deliveries to factories to about 11,972 million kg. The good price level,
in combination with the fact that dairy farmers are anticipating the post-quota period in their
business operations, resulted in an unprecedented overrun in the quota year 2013/14 (+4%).
EU-28
As a consequence, Dutch dairy farmers were required to pay a superlevy of € 132 million,
Ireland
1 168
Denmark904
Netherlands
709
Lithuania
569
France388
Germany
379
Poland331
Belgium304
United Kingdom
221
Italy
187
Other204
a record sum. It would seem that the quota system has now also lost its relevance in the
Netherlands. Structural shortfalls have meant that the same happened years ago in most
other EU member states.
Utilization of Dutch milk quota
12.5
billion kg
12.0
11.5
Dutch superlevy
Dutch milk deliveries
Dutch milk quota +4.0%
% overrun/shortfall
+1.2% +0.5%
+1.4%
+0.4%
-0.4%
+1.3%
+0.3%
11.0
-0,1%
10.5
10.0
05/06 06/07 07/08 08/09 09/10 10/11 11/12 12/13 13/14
Overrun/
shortfall
Superlevy
million kg
€ million
2005/06
-5.5
EU average
0.0
2006/07
30.8
8.8
2007/08
142.3
39.6
2008/09
157.2
43.8
2009/10
46.8
13.1
2010/11
140.3
38.7
2011/12
59.1
16.4
2012/13
-43.7
0.0
2013/14
475.0
132.0
source: Dutch Dairy Board (PZ), Netherlands Enterprise Agency (RVO)
Milk production in perspective
North and Central
America
USA289
Canada
251
Mexico
97
305
Other Europe
Belarus
718
Ukraine243
Russian Federation 223
Middle East
Azia
Turkey213
Iran96
Saudi Arabia
61
United Arab. Emirates 4
Pakistan214
India102
Japan60
South Korea43
China30
Thailand13
Indonesia4
Vietnam4
Malaysia2
Philippines0
Africa
South America
Uruguay682
Argentina286
Brazil
170
Chile
157
Colombia140
Venezuela80
Kenya96
Algeria62
Egypt61
South Africa 54
Nigeria3
Oceania
New Zealand 4 613
Australia412
07/08 08/09
09/10 against
10/11 11/12
When05/06
milk production
is plotted
the12/13
size *)of the population an indication is obtained of the
scope for exports or the need for imports. With a milk production of over 700 kg per capita the
Netherlands scores much higher than the global average (105 kg), making it one of the major
Per capita milk production worldwide: 105 kg
dairy-exporting countries. In regions such as Asia, Africa and the Middle-East there are many
countries with a relatively low per capita milk production, which is why these are important
destinations for the international dairy trade, also from the Netherlands.
14
Dutch dairy in figures
2013
source: Dutch Dairy Board (PZ), International Dairy Federation (IDF)
2013
15
Dutch dairy in figures
Milk processing industry
Milk processing industry
Milk processing
In line with the increased milk supply, the amount of milk processed in the Netherlands also
Utilization of Dutch milk 2013
rose further in 2013, reaching a level of about 12.3 billion kg. Much of the extra milk was
Other 15.0%
used for the production of cheese, which is by far the most important product category for
the Dutch dairy sector. Cheese production stood at about 794 000 tons, absorbing almost
56% of the quantity of processed milk.
Butter and butteroil 1.6%
Condensed milk 6.3%
Besides cheese, butter and butter oil were also produced in higher volumes. Better export
opportunities furthermore led to an increase in the production of non-skimmed milk powder.
On the other hand, the quantity of milk processed into drinking milk and other fresh milk
products again showed a decline, while the production of skimmed milk powder stagnated.
Drinking milk and other
fresh milk products 8.3%
Cheese 55.8%
Milk powder 13.0%
After years of growth the production of condensed milk suffered a slight setback.
Revenue
Source: Dutch Dairy Board (PZ)
The high price level for dairy products, in combination with the higher milk production,
led to an increase in the value of Dutch dairy production in 2013. A record level of over
€ 7.1 billion (+11%) was achieved, corresponding to € 57.82 per 100 kg of milk.
Consumptiemelk en -producten 9,3%
Dutch dairy production
Overig 13,0%
million kg
2012
2013
Milk delivered to factories
11 675
12 213
4.6%
Milk available for processing
11 849
12 346
4.2%
1 044
1 028
-1.5%
766
794
3.6%
Drinking milk and other fresh milk
products1) 2)
Cheese (including quark)
2013/2012
Butter and butteroil
195
199
2.1%
Non-skimmed milk powder
121
128
5.9%
66
65
-0.7%
371
360
-2.9%
Skimmed milk powder
Condensed milk 3)
1) excluding added ingredients 2) including cream 3) including coffee milk (evaporated milk)
source: Dutch Dairy Board (PZ)
16
Dutch dairy in figures
2013
2013
17
Dutch dairy in figures
Milk processing industry
Milk processing industry
Structure
Key statistics
At the end of 2013 the Dutch dairy industry comprised essentially 22 companies with
2012
2013
Companies1)
22
22
Number of factories
52
51
Cooperatives
30
29
Non-cooperative firms
22
22
9 900
9 900
Milk processed (million kg)
11 849
12 346
Production value (€ million)
6 430
7 140
Number of employees
a total of 51 production sites. The approaching end of the milk quota scheme and the
opportunities offered by developments in the global dairy market have further provided
Bedum
Bolsward
Leeuwarden
Noordwijk
Marum
Gerkesklooster
Heerenveen
Scharsterbrug
Workum
expansion of existing dairy factories or construction of new ones. Although not yet visible
in the statistics, the results will gradually become noticeable as new installations come
on stream.
Beilen
Sloten
an impetus for new investments aimed at capacity growth through modernisation or
Top 20 largest dairy companies
Hoogeveen
Meppel
Lutjewinkel
Limmen
Rouveen
Kampen
Katwoude
Lelystad
Beemster
Zeewolde
Coevorden
Balkbrug
Ommen
Dalfsen
Nunspeet
Hengelo
Nijkerk
Steenderen
Zoetermeer
Zelhem
Bleskensgraaf
Rotterdam
Schoonrewoerd
Gorinchem
Maasdam
Den Bosch
Veghel
Etten-Leur
Molenschot
Cuyk
Rijkevoort
Boxmeer
Nuenen
Eindhoven
FrieslandCampina
23
Delta Milk - Bleskensgraaf
Ausnutria Hyproca
2
DVNutrition - Hoogeveen
Bel Leerdammer
2
Farm Dairy - Lelystad
DOC Kaas
2
Globemilk - Boxmeer
Henri Willig
2
Hochwald - Bolsward
Nutricia
2
Nestlé - Nunspeet
Rouveen Kaasspecialiteiten
2
Kaasmakerij Özgazi - Etten-Leur
Vreugdenhil Dairy Foods
2
Sloten - Sloten
Arla Foods - Nijkerk
1
Vecozuivel - Zeewolde
A-ware - Coevorden
1
VIV Buisman - Zelhem
CONO Kaasmakers - Beemster 1
Zuivelhoeve - Hengelo
1) companies that process more than 10 million kg of raw milk and/or cream
source: Dutch Dairy Board (PZ), Statistics Netherlands (CBS)
18
Dutch dairy in figures
2013
Born
Lochem
Borculo
Company
Country
Dairy turnover (€ billion)
1
Nestlé
Switzerland
21.3
2
Danone
France
15.2
3
Lactalis
France
14.6
4
Fonterra
New Zealand
11.5
5
FrieslandCampina
Netherlands
11.2
6
Dairy Farmers of America
USA
11.2
7
Arla Foods
Denmark/Sweden
9.4
8
Saputo
Canada
6.6
9
Dean Foods
USA
6.5
10
Yili
China
5.7
11
Unilever
Netherlands/United Kingdom
5.6
12
Meiji
Japan
5.6
13
DMK
Germany
5.3
14
Mengniu
China
5.3
15
Sodiaal
France
5.0
1)
16
Bongrain
France
4.4
17
Kraft Foods
USA
4.4
18
Müller
Germany
3.8
19
Schreiber Foods
USA
3.8
20
Morinaga Milk Industry
Japan
3.6
1)
1)
note: turnover in 2013 + mergers and acquisitions between 1 January and 15 June 2014
1) estimate
source: Rabobank
2013
Dutch dairy in figures
19
Trade
Trade
Trade balance
Exports
Dutch exports in 2013 showed substantial volume growth in all key product groups. Higher
The European Union is the main destination for Dutch dairy products, accounting for more than
exports and a higher price level resulted in a substantial increase in the value of exports, which
two thirds of the total value of exports. Trade with Germany alone accounts for almost 24%.
amounted to over € 6.7 billion (+21%). At the same time the value of imports also increased on
The Netherlands is also the most active EU member state in the world market, with a share of
balance, to almost € 2.7 billion (+7%). This was due in particular to higher price levels and not
over 5% in world trade. The main destinations outside the EU are Russia, China, Nigeria and
so much to higher volumes. The biggest contributions to the increase came from cheese and
Saudi Arabia.
milk powders.
Cheese remains by far the most important export product, accounting for over 46% of the value
The substantial increase in the value of exports in combination with the limited increase in the
of exports. Most of the cheese exports, which increased once again, went to countries within
value of imports resulted in a further increase in the positive Dutch trade balance for dairy
the EU. Considerably higher volumes were shipped to Belgium and the United Kingdom. The
products. At almost € 4.1 billion, dairy products contributed over 8% to the overall Dutch trade
biggest growth market, however, was a non-EU state: Russia.
balance.
Growth in butter related only to internal EU trade (France, United Kingdom), while exports to
Trade balance in 2013
third countries decreased again. Non-skimmed milk powder goes mainly to destinations outside
the EU (82%), such as Africa and the Middle-East. In 2013, however, the internal EU trade
showed the greatest growth. Exports of skimmed milk powder partly recovered from the strong
drop in 2012. This was to be attributed exclusively to strong growth of the internal EU trade
while exports to third countries declined further.
Exports
Imports
Dairy products
€ 6.7 billion
Dairy products
€ 2.7 billion
Agricultural products
Total
€ 77.9 billion
€ 433.8 billion
Agricultural products
Total
€ 50.8 billion
€ 384.3 billion
Dutch export value per destination 2013
Other EU
9%
Sweden 3%
Greece 4%
Spain 4%
Italy 5%
United
Kingdom 6%
Other
third countries
46%
China (including
Hong Kong) 11%
Third countries
€ 2.2 billion
Belgium 19%
Positive trade balance
Total
€ 49.5 billion
Agricultural products
€ 27.1 billion
Dairy products
€ 4.1 billion
source: Statistics Netherlands (CBS), Dutch Dairy Board (PZ)
Dutch dairy in figures
Russian Federation 12%
European Union
€ 4.5 billion
France 15%
20
Germany 35%
2013
Nigeria 7%
Saudi Arabia 5%
United Arab.
Emirates 5%
Kuwait 4%
USA 3%
Indonesia 4%
South Korea 4%
source: Dutch Dairy Board (PZ), Eurostat, Statistics Netherlands (CBS)
2013
Dutch dairy in figures
21
Trade
Trade
Position of Dutch dairy exports on the world market 2013
Imports
Export shares of the most important dairy exporting countries (total world trade 2013: 63.0 billion kg milk equivalent)
The Netherlands also imports a substantial amount of dairy products each year. More than
Uruguay
2.1%
India 2.6%
Argentina 3.5%
Belarus 4.5%
Australia 5.3%
80% of the imports come from neighbouring EU countries. Germany is by far the largest
Worldwide, countries such as Russia, China, Japan and the US are leading importers of
Other EU 5.9%
EU 23.7%
USA 14.6%
supplier, accounting for 45% of the total import value.
Other 15.2%
Italy 1.1%
Poland 1.3%
Denmark 1.8%
Belgium 1.9%
dairy products.
Netherlands 5.1%
Dutch imports of dairy products
France 3.3%
300
Germany 3.3%
150
Top 5 exporting countries 2013
million kg
index 2012 = 100
805
1)
of which Netherlands
index
104.5
New Zealand
488
99.8
EU
127
101.2
19
80.7
1)
146
114.7
USA
318
121.6
New Zealand
289
90.8
USA
94
189.8
Australia
154
90.6
Belarus
66
80.4
Belarus
140
103.0
Australia
47
85.0
2 396
102.3
Total
921
102.0
Total
Non-skimmed milk powder
of which Netherlands
Skimmed milk powder
index
New Zealand
EU
1)
of which Netherlands
Argentina
1 299
102.9
374
96.8
132
101.4
181
89.0
index
USA
555
124.6
EU
408
78.3
1)
49
88.4
New Zealand
398
100.6
of which Netherlands
Australia
92
82.4
India
145
421.2
Uruguay
74
120.2
Australia
113
66.4
2 461
101.7
Total
1 852
102.2
Total
1) excluding intra trade
Dutch dairy in figures
50
0
2005
2013
2010
2012
2013
source: Eurostat, Statistics Netherlands (CBS)
Most important dairy importing countries in the world (outside EU)
Including the share of the Netherlands
China NL: 4.5%
Russian Federation NL: 5.5%
(including Hong Kong)
Saudi Arabia NL: 8.0%
USA NL: 5.7%
Japan NL: 4.5%
Mexico NL: 2.1%
Indonesia NL: 7.8%
Algeria NL: 5.7%
Malaysia NL: 3.3%
Philippines NL: 2.4%
0
source: Dutch Dairy Board (PZ), Eurostat, Comtrade
22
100
Butter and butteroil
index
EU
Butter and butteroil
Non-skimmed milk powder
200
source: Dutch Dairy Board (PZ), Eurostat, Comtrade
Cheese
Cheese
Skimmed milk powder
250
Dutch exports to third countries: 3.2 billion kg
% of world trade: 5.1%
New Zealand 28.5%
million kg
billion €
1
2
3
4
5
6
source: Dutch Dairy Board (PZ), Comtrade
2013
Dutch dairy in figures
23
Consumption
The Netherlands has a long tradition of dairy consumption. Milk, cheese, yoghurt and dairy
desserts are part of the daily diet for many Dutch people. Dutch per capita cheese consumption
Consumption
Consumption spending of Dutch households
€ billion
2005
5.3
3.9
3.6
2.5
0.9
5.0
2010
5.7
4.9
4.3
3.1
1.1
5.9
2011
5.8
4.9
4.4
3.1
1.2
6.1
2012
5.8
5.1
4.5
3.3
1.2
6.3
21.1
25.0
25.5
26.2
4.9
3.2
0.2
4.1
5.8
3.7
0.3
5.0
6.1
3.7
0.3
5.0
6.2
3.8
0.3
5.2
Total beverages and tobacco
12.5
14.9
15.1
15.5
Total food, beverages and tobacco
33.6
39.9
40.6
41.7
Total consumption spending
250.3
268.2
271.8
273.3
Share of dairy products in:
Total food products
Total food, beverages and tobacco
Total consumption spending
17.3%
10.8%
1.5%
17.2%
10.8%
1.6%
17.1%
10.8%
1.6%
17.0%
10.7%
1.6%
has for years exceeded the (relatively high) European average.
companies are trying to respond to customer needs while simultaneously creating more added
Meat and meat products
Potatoes, vegetables and fruit
Dairy products 1)
Bread and bakery products
Fish
Other food products
value for their products.
Total food products
Within the consumer budget for food, beverages and tobacco, the share of dairy products has
Drink
Confectionery
Ice cream
Beverages and tobacco
In addition to the traditional use of milk and dairy products, other dietary patterns have
developed over the years. One of these was the rapid growth in out-of-the-home use. This has
led to an entirely new range of dairy products; in this way, through product innovation, dairy
been more or less stable for years, amounting to just under 11%. In 2012 this accounted for
almost € 4.5 billion, or 1.6% of total consumer spending.
1) including eggs and margarine
source: Statistics Netherlands (CBS)
Consumption of liquids 2012
Coffee
Soft drinks
Tea
Beer
Drinking milk
Wine
Mineral water
Juices
Syrups
(ready to drink)
Nectars
0
24
30
60
90
per person in litres
120
sources: Dutch Association for Soft Drinks, Mineral Waters and Juices (FWS), Dutch Wine Board (Productschap Wijn),
Royal Dutch Association for Coffee and Tea (KNVKT), Dutch Brewers (Nederlandse Brouwers), Dutch Dairy Board (PZ)
Dutch dairy in figures
2013
2013
Dutch dairy in figures
150
25
Sector organisations
Dairy sector related organisations
The Dutch dairy sector is characterised by a high degree of organisation. Each segment of
the production chain has its own organisation(s) to represent its interests. A large proportion of
the dairy farmers are represented by the Dutch Federation of Agriculture and Horticulture (LTO
Nederland), in particular by the LTO Dairy Committee , while there is also the Dutch Dairy
Farmers Union (NMV). Industry is represented by the Dutch Dairy Organisation (NZO), traders
by the organisation of Dutch Dairy Traders (Gemzu) and retailers by the Dutch Food Retail
Association (CBL).
Sector organisations
Primary sector
LTO Nederland
Dutch Federation of Agriculture and
Horticulture: organisation for employers
and employees in the agricultural sector
www.lto.nl
NMV
Dutch Dairy Farmers Union: organisation for
the interest of dairy farmers
www.nmv.nu
BBZ
Farmhouse and Artisan Cheese and
Dairy Producers: organisation for on-farm
processors, active in defending the interests
of its members and in product promotion
www.boerderijzuivel.nl
NZO
Dutch Dairy Organisation: association of the
Dutch dairy industry
www.nzo.nl
Gemzu
Dutch Dairy Traders: umbrella organisation for
dairy traders ande other affiliated
www.gemzu.nl
associations
CBL
Dutch Food Retail Association: association for
www.cbl.nl
supermarkets and food service companies
Industry and trade
Dutch Dairy Board to close its doors
Most of the above-mentioned organisations have been represented on the Board of Governors
of the Dairy Board since 1956. The Dairy Board is a statutory public organisation with regulatory powers in the field of legal measures, which are mostly quality related. It also acts as
a collective instrument for funding of activities focused on market information, education,
sus­tainability, labour issues, animal health, food safety, research and innovation. Political
Other categories
PZ
Dutch Dairy Board: public body for the Dutch
dairy chain. This organisation will be phased
out in the course of 2014 and will exclusively
focus on the settlement of current activities
and obligations
ZuivelNL
Dairy chain organisation: association in which
LTO, NMV and NZO collaborate on several
www.zuivelnl.org
dairy related themes where and when this is
considered of added value to the dairy sector
RVO
Netherlands Enterprise Agency (RVO): part
of the Ministry of Economic Affairs, which
focuses on business support
COKZ
The Netherlands Controlling Authority for milk
and milk products: implementing organisation
www.cokz.nl
for control, specialized in quality assurance in
the dairy chain
QLIP
Private organisation for analysis and certification in the dairy chain and agrofood sector
www.qlip.nl
GD
Leading Dutch animal health and animal
production organisation, active in a.o. animal
disease control programmes
www.gddiergezondheid.nl
research and innovation) and some themes at the interface of product processing and trade
Wageningen UR
Livestock Research
Research organisation active in a.o. research
on various dairy farming related themes
www.wageningenur.nl
(labour and exports).
NIZO Food Research
Research institute for a.o. (dairy)product
technology and milk quality
www.nizo.com
decisions taken in 2012 led to government plans to dissolve the statutory public organisation
system, and with that also the Dairy Board. At the end of 2014 the Board will close its doors.
As a consequence, 2014 is a transition year in which various Dairy Board tasks have already
or will be transferred to other parties. The Board’s public tasks - relating in particular to the
implementation of EU legislation (milk quota scheme, import and export schemes, school milk
etc.) - have meanwhile been handed over to the Netherlands Enterprise Agency (RVO).
New dairy chain organisation ZuivelNL
At the initiative of NZO and LTO the private chain organisation ZuivelNL was established in
January 2014, the aim being to continue a number of the Dairy Board’s non-public tasks.
ZuivelNL is an association formed by NZO, LTO and NMV in which other organisations linked
to the dairy sector can participate. It is active in fields where cooperation between the segments of the dairy sector will create added value. This mainly involves themes at the interface of cattle farming and dairy product processing (food safety, animal health, sustainability,
26
Dutch dairy in figures
2013
www.prodzuivel.nl
www.rvo.nl
2013
Dutch dairy in figures
27