Dairy industry calls for long-term policy to improve profitability

Dairy industry calls for long-term policy to improve profitability
Credit: Belga

The Belgian Dairy Industry Federation (CBL) has issued a call for long-term policy to maximise sustainable dairy production amid factors that depress profitability.

In 2023, the dairy industry raked in €7 billion in revenue, accounting for a significant 9% share of Belgium’s food industry. However, according to CBL, this contrasts starkly with the dairy industry’s slim profit margins, which dropped as low as 1.03% in 2022.

At the same time, industry operators continued to invest in efforts to enhance efficiency and bolster the sustainability of their operations. They also continued to assist dairy producers in their bid to attain greater sustainability, consistent with commitments outlined in the MilkBE Sustainability Charter.

The high level of investment, maintained in 2023, highlights the industry’s faith in its future, the federation said.

However, CBL deplored the absence of a viable, achievable policy for both dairy farmers and the processing industry. This void creates legal uncertainties, further complicating progress, it pointed out.

Moreover, ensuring an adequate future milk supply remains a significant concern, the organisation added.

The CBL concluded with a call to arms to elected officials. They have much work ahead to create an environment that can fully harness the potential of Belgium’s dairy sector, according to the federation, which stated its readiness to work with industry partners and authorities to achieve this goal.


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