BUSINESS STRUCTURE OF DAIRY SECTOR

The Spanish dairy sector is very important and it is very complex to propose uniform features, since very different realities coexist in it. The dairy companies are about 1,530, but only 21 have templates above 200 workers. Some more than 50% are in the stretch between 1 and 9 employees and another 33.4% have no employees. Despite this fragmented business base, the concentration processes are already quite pronounced. Only 11 companies collect more than 50,000 tonnes of milk annually, while at the opposite end are 130 companies with a milk collection volume below 1,000 tonnes per year. The National Federation of dairy industries (FENIL) includes about 80 companies in the sector that represent more than 95% of the national production of dairy products. In other European countries, the concentration is still much higher and indicates a trend that is very likely to continue in Spain. The four largest dairy groups in Europe process 20% of all milk. In Denmark and the Netherlands the first company has a share of 75% of the total, while in France the five largest companies control 60% of all milk and in Germany that figure is 46%.

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Montse Gonzalez