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BDM considering plans to buy milk processing plant

Posted 1 April, 2010
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The National Association of German Dairy Farmers (BDM), the organisation established around 12 years ago to campaign for higher milk producer prices, is considering the purchase of its own milk processing plant.
BDM claims to represent around 30,000 dairy farmers (33% of the total in Germany) producing around 45% of all milk in the country. The organisation has been planning its own milk marketing division for some time now and the proposed purchase is said to be in Bavaria.
BDM spokesman Hans Foldenauer announced at the end of March that concrete talks had taken place although a definite decision had yet to be made.
This large group of rebel milk producers is already marketing milk from selected members in a successful programme with 120 producers in Bavaria, Baden-Wurttemberg and Hessia.
They receive a guaranteed 40 cents per litre – 28% more than the average producer in Germany – for delivering what the BDM market as Die Faire Milch. BDM takes care of collection, processing and marketing of the UHT milk with fat levels of 3.8 and 1.8%. Local agreements with major supermarket chains REWE and teegut (for 1,200 and 300 outlets respectively) has got the scheme off the ground with retail prices for the milk of 99 and 89 c/l respectively.
The packer is the small Schluchtern dairy in south Hessia. Just 12 weeks since the launch of Die Faire Milch, local demand in the three states where it is sold has encouraged a series of Edeka outlets to list the product too. Now, Faire Milch butter and cheese products are being planned, says the BDM.

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Dairy Industries International