EUROPE – Farmers supplying the Arla Foods and Campina co-operatives, which intend to merge this year, are worried that the move will bring increased pressure on milk prices.

Although the deal will bring about new production efficiencies, European supermarket chains have already said that they expect these efficiencies to be passed on to customers.

On the other hand the thousands of dairy farmers supplying Arla and Campina want to make sure of one thing: that their milk prices will not fall because of the fusion.