The merger of Arla Foods and DMK Group has been officially approved by both companies’ boards on June 21, 2025, marking a significant consolidation in Europe’s dairy sector. The new entity will operate under the name Arla Foods and be collectively owned by 12,000 dairy farmers across northern Europe. Arla Foods, headquartered in Viby, Denmark, is the world’s fifth-largest dairy company, while DMK Group, based in Bremen, Germany, is the country’s largest dairy cooperative. The merger aims to enhance sustainability, innovation, and farmer profitability across the region.
The boards of representatives for Arla Foods and DMK Group have officially approved a historic merger between the two leading European dairy cooperatives. The newly formed company will operate under the name Arla Foods and be jointly owned by over 12,000 dairy farmers across Germany, Denmark, Sweden, the Netherlands, the UK, Belgium, and Luxembourg.
Arla Foods, headquartered in Viby, Denmark, is the fifth-largest dairy company in the world, known for popular consumer brands such as Lurpak and Castello. It is currently owned by 7,600 farmers. DMK Group, based in Bremen, Germany, is the country’s largest dairy cooperative, owned by 4,600 farmers and involved in the production of milk, cheese, baby food, and ingredients.
According to Arla Foods CEO Peter Tuborgh, who will remain in his role after the merger, the unified cooperative will focus on delivering strong milk prices and driving innovation and sustainability.
We know from experience that our organisations work well together. By joining forces, we will be able to accelerate innovation and deliver nutritious products to more people.”
Peter Tuborgh, CEO of Arla Foods
The merger will retain Arla’s existing headquarters in Denmark, with current Arla Chair Jan Toft Nørgaard also continuing in his position. Ingo Müller, CEO of DMK Group, will assume the role of executive vice-president in the new structure.
Both cooperatives bring a history of successful collaboration through ventures such as ArNoCo, which utilized cheese production byproducts to produce whey protein concentrate.
The merger is still subject to regulatory approvals, which are expected to be finalized by March 2026.
Nørgaard commented,
By combining our complementary strengths, we can secure a more sustainable and innovative dairy sector for the future, while continuing to deliver value to owners and partners.”
Ingo Müller, CEO of DMK Group