Friesland Foods’ mission
Creation of both long-term and shortterm value for our owners, the member dairy farmers, by undertaking profitable international dairy and dairy-related operations. Development, production and sale of a wide range of reliable, natural and nutritious dairy products that contribute to a healthy and active life.
Strategy
Friesland Foods pays the member farmers of the cooperative a competitive price for the milk they supply. In addition, the company intends to achieve, in due course, a structural net profit margin in excess of 3 percent.
The operations of Friesland Foods can be broken down into activities based on milk supplied by members of the cooperative and activities based on milk purchased from outside sources and other raw materials. A characteristic of the activities based on milk supplied by members of the cooperative is that Friesland Foods is under the obligation to purchase the milk supplied. Zuivelcoöperatie Friesland Foods U.A. has members in the Netherlands only. The milk supplied by these members is processed at production locations in the Netherlands, Belgium and Germany. Milk is purchased from outside sources only where there are market opportunities for such milk. These activities take place in Central Europe, the Middle East, Southeast Asia and West Africa.
Market conditions vary from region to region. Western Europe is faced with a milk surplus and a stagnating consumption of dairy products. Southeast Asia and West Africa, on the other hand, are important growth areas that are characterised by increasing demand for dairy products and ingredients. Profit margins differ from activity to activity and are contingent on specific market situations. The company’s strategy is mindful of such differences.
Vision 2015
Friesland Foods anticipates changing market conditions
The dairy world will change radically between now and 2015. Friesland Foods wants to continue offering good prospects for the future to its member-farmers/owners and employees. Which is why we’ve developed a new long-term strategy: Vision 2015, with growth as the main focus. Read more.