FAQ
WHAT DOES IT MEAN THAT ARLA IS FARMER-OWNED?
Arla is a dairy cooperative, owned by more than 9,700 farmers. All the benefits from the sale of Arla’s products go back to those owners. The owners live in seven countries in Northern Europe and they share the earnings equally on each litre of milk they deliver to Arla. Our cooperative roots go all the way back to the 1880s and our structure means that we work collaboratively to create a long term future for the dairy industry.
WHAT ARE THE BENEFITS FOR ME OF PURCHASING PRODUCTS FROM A FARMER-OWNED COOPERATIVE?
We source most of our milk from the farmers who own Arla, and we work closely with them. We have systems in place to manage milk quality across the value chain, from farm to finished product.
Milk from our farmer owners is the basis of our dairy products and contributes to nutrient intake as part of a balanced diet. We work with requirements related to responsible sourcing and environmental and social performance.
When you buy our products, all Arla’s earnings go directly back to our farmer owners. If you want to support the dairy farmers, choose products with our farmer owned marque – or any other product from Arla.
HOW DO YOU ENSURE YOUR MILK IS OF THE HIGHEST QUALITY?
Arla is owned by its farmers, and to support product quality, farmers are required to meet defined standards for the raw milk they supply. One way they do this is by adhering to our farm quality programme Arlagården®.
The programme includes requirements related to milk production practices and animal welfare, as well as criteria connected to environmental and farm management practices.
O ARLA FARMER OWNERS HAVE A SAY WHEN THEIR MILK PRICE IS SET?
Because Arla is owned by dairy farmers, there are 15 farmers on Arla’s Board and 179 farmers on the Board of Representatives. These are elected through a democratic process, where every farmer owner has one vote.
The Board of Representatives decides the pricing model which the Arla Board uses when it adjusts the milk price each month. Because our farmers’ milk is sold across the world, the milk price reflects changing market conditions and fluctuates according to the global market milk price.
WILL THE FARMER OWNERS BENEFIT FROM GOOD MARKET CONDITIONS IN THEIR OWN COUNTRY?
Arla farmer owners have agreed to share equally the earnings from each litre of milk they deliver to Arla. This is a core principle in the cooperative model – Arla farmers stand together in good and bad times and they share the profits and losses from all markets.
AS A CONSUMER HOW CAN I HELP FARMERS?
You can choose a dairy supplier where profits are returned to the farmer owners. When you buy a product from Arla, earnings are distributed to our farmer owners in line with our cooperative structure, supporting their farming activities and long-term business development. Choose products with our farmer owned marque – or any other product from Arla.
