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Dairy Product Processing in Germany - Market Research Report (2014-2029)

Kai Buschbom-Helmke Kai Buschbom-Helmke Frankfurt, Germany Last Updated: April 2024 WZ C10.51DE

Revenue

€41.1bn

2024

€41.1bn

Past 5-Year Growth

Profit

€X.Xbn

Employees

41,428

Businesses

155

Wages

€X.Xbn

Dairy Product Processing in Germany industry analysis

There is traditionally a strong dependency between dairies and their suppliers. This is due to the obligation to supply and the purchase guarantee. Both the quantities and prices of raw milk can be subject to strong fluctuations. Although the coronavirus crisis led to significant shifts in demand, it did not result in any major fluctuations in sales. The milk price rose sharply in 2022 and is still at a high level in the current year. Industry turnover rose by an average of 1.7% per year in the period from 2019 to 2024. In the current year, industry turnover is expected to increase by 1.3% to 41.1 billion euros.

Trends and Insights

  • Exports are becoming increasingly important for the industry. The domestic market is already saturated, while demand for dairy products is increasing, particularly in emerging countries.
  • Curd cheese and quark are the industry's top-selling product category. The product segment recently increased its share of sales both in Germany and abroad. Demand from South Korea and Japan grew particularly strongly.
  • The largest proportion of dairies are located in southern Germany, where they have the advantage that many raw milk suppliers are located in the immediate vicinity.
  • Competition in the dairy processing industry is fierce. A saturated domestic market and increasing market concentration are fuelling competition and increasing the importance of export markets.
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Everything you need in one report

  • Reliable market estimates from 2014-2029
  • Competitive analysis, industry segmentation, financial benchmarks
  • Powerful SWOT, Porter’s Five Forces and risk management frameworks
  • Online membership platform with PDF, Word, Excel and PPT exports

Industry Overview

Market size and recent performance (2014-2029)

Industry revenue has grown at a CAGR of 1.7 % over the past five years, to reach an estimated €41.1bn in 2024.

Trends and Insights

The market situation for dairies and dairy farmers is tense

  • In the past, dairy farmers often protested in front of dairies for an appropriate pricing policy and fair purchase conditions for their raw milk, as they had high production costs with unchanged high milk payout prices.
  • Additional trends and insights available with purchase

Industry outlook (2024-2029)

Market size is projected to grow over the next five years.

Trends and Insights

Global sales markets are likely to gain in importance

  • Due to the saturated domestic market, the international sales market is likely to become an increasing focus of corporate policy for industry players in the future.

Biggest companies in the Dairy Product Processing in Germany

Company
Market Share (%)
2024
Revenue (€m)
2024
DMK Deutsches Milchkontor GmbH
4,322.1
Unternehmensgruppe Theo Müller S. e. c. s.
2,105.2
Arla Foods Deutschland GmbH
1,602.2

To view the market share and analysis for all 6 top companies in this industry, view purchase options.

Products & Services Segmentation

Dairy Product Processing in Germany

Products & Services

Industry revenue is measured across several distinct product and services lines, including Cheese and quark, Milk and Buttermilk and yoghurt. Cheese and quark is the largest segment of the Dairy Product Processing in Germany.

Trends and Insights

Cheese and quark in growing demand abroad

  • This product segment covers the entire range, from hard cheese to semi-hard, soft and fresh cheese through to quark. It is a solid dairy product that is obtained by coagulating the protein content in the milk. Last year, the industry produced 2.7 million tonnes of cheese.
  • More insights available in the full report

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Competitors

  • Herstellung von sonstigen Nahrungsmitteln a. n. g.

Complementors

  • Dairy Cattle Raising in Germany
  • Ice Cream Production in Germany
  • Dairy Product, Egg & Edible Oil Wholesaling in Germany

International industries

  • Global Milk & Cream Manufacturing
  • Dairy Product Production in the US
  • Dairy Product Production in Canada
  • Milk and Cream Processing in Australia
  • Milk and Cream Processing in New Zealand

View all industries in Germany

Table of Contents

About this industry

Industry definition

The companies in this sector are active in milk processing. This includes the production of fresh milk and milk drinks, butter, cream, yoghurt, cheese, quark and whey as well as lactose and milk powder. It does not include the production of ice cream or raw milk.

What's included in this industry?

Cheese and quarkMilkButtermilk and yoghurtButter and other dairy spreads

Companies

DMK Deutsches Milchkontor GmbHUnternehmensgruppe Theo Müller S. e. c. s.Arla Foods Deutschland GmbH

Purchase this report to view all 6 major companies in this industry.

Related Terms

KEFIRCASEINPROLONG PROCEDURE

Industry Code

WZ 2008

WZ 10.51 - Dairy Product Processing in Germany

Performance

Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.

Analyst insights

Exports are becoming increasingly important for the industry. The domestic market is already saturated, while demand for dairy products is increasing, particularly in emergin...

In this chapter (4)

  • Current Performance
  • Outlook
  • Volatility
  • Life Cycle

Key metrics

  • Annual Revenue, Recent Growth, Forecast, Revenue Volatility
  • Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
  • Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
  • Total Profit, Profit Margin, Profit per Business

Charts

  • Revenue, including historical (2014-2023) and forecast (2024-2029)
  • Employees, including historical (2014-2023) and forecast (2024-2029)
  • Businesses, including historical (2014-2023) and forecast (2024-2029)
  • Profit, including historical (2014-2024)
  • Industry Volatility vs. Revenue Growth
  • Industry Life Cycle

Detailed analysis

  • Trends in supply, demand and current events that are driving current industry performance
  • Expected trends, economic factors and ongoing events that drive the industry's outlook
  • Key success factors for businesses to overcome volatility
  • How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.

Products and Markets

Learn about an industry's products and services, markets and trends in international trade.

Analyst insight

Curd cheese and quark are the industry's top-selling product category. The product segment recently increased its share of sales both in Germany and abroad. Demand from South...

In this chapter

  • Products & Services
  • Major Markets
  • International Trade

Key metrics

  • Largest market segment and value in 2024
  • Product innovation level
  • Total imports, level and trend
  • Total exports, level and trend
  • Trade Balance

Charts

  • Products & services segmentation in 2024
  • Major market segmentation in 2024
  • International trade, including imports by country and exports by country

Detailed analysis

  • Trends impacting the recent performance of the industry's various segments
  • Innovations in the industry's product or service offering, specialization or delivery method
  • Key factors that successful businesses consider in their offerings
  • Buying segments and key trends influencing demand for industry products and services
  • Recent trends in import and export volumes, country of origin or destination, and expected future trends

Geographic Breakdown

Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.

Analyst insights

The largest proportion of dairies are located in southern Germany, where they have the advantage that many raw milk suppliers are located in the immediate vicinity.

In this chapter (1)

  • Business Locations

Charts

  • Share of revenue, establishment, wages and employment in each region
  • Share of population compared to establishments in each region in 2024

Tables

  • Number and share of establishments in each region in 2024
  • Number and share of revenue each region accounts for in 2024
  • Number and share of wages each region accounts for in 2024
  • Number and share of employees in each region in 2024

Detailed analysis

  • Geographic spread of the industry across Europe, and trends associated with changes in the business landscape
  • Key success factors for businesses to use location to their advantage

Competitive Forces

Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.

Analyst insights

Competition in the dairy processing industry is fierce. A saturated domestic market and increasing market concentration are fuelling competition and increasing the importance...

In this chapter (4)

  • Concentration
  • Barriers to Entry
  • Substitutes
  • Buyer & Supplier Analysis

Key metrics

  • Industry concentration level
  • Industry competition level and trend
  • Barriers to entry level and trend
  • Substitutes level and trend
  • Buyer power level and trend
  • Supplier power level and trend

Charts

  • Market share concentration among the top 4 suppliers from 2019-2024
  • Supply chain including upstream supplying industries and downstream buying industries, flow chart

Detailed analysis

  • Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
  • Key success factors for businesses to manage the competitive environment of the industry.
  • Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
  • Key success factors for potential entrants to overcome barriers to entry.
  • Competitive threats from potential substitutes for the industry’s own products and services.
  • Key success factors for how successful businesses can compete with substitutes.
  • Advantages that buyers have to keep favorable purchasing conditions.
  • Advantages that suppliers have to maintain favorable selling conditions.
  • Key success factors for how businesses can navigate buyer and supplier power.

Companies

Learn about the performance of the top companies in the industry.

Analyst insights

DMK Deutsches Milchkontor GmbH has the largest market share in the milk processing industry. The company exports its products to over 100 countries worldwide and is one of th...

In this chapter

  • Market Share Concentration
  • Companies
  • Company Spotlights

Charts

  • Industry market share by company in 2020 through 2024
  • Major companies in the industry, including market share, revenue, profit and profit margin in 2024
  • Overview of DMK Deutsches Milchkontor GmbH's performance by revenue, market share and profit margin from 2018 through 2024
  • Overview of Unternehmensgruppe Theo Müller S. e. c. s.'s performance by revenue, market share and profit margin from 2018 through 2024
  • Overview of Arla Foods Deutschland GmbH's performance by revenue, market share and profit margin from 2018 through 2024
  • Overview of revenue, market share and profit margin trend for 3 additional companies

Detailed analysis

  • Description and key data for DMK Deutsches Milchkontor GmbH, and factors influencing its performance in the industry
  • Description and key data for Unternehmensgruppe Theo Müller S. e. c. s., and factors influencing its performance in the industry
  • Description and key data for Arla Foods Deutschland GmbH, and factors influencing its performance in the industry
  • Description, key data and performance trends for 3 additional companies

External Environment

Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.   

Analyst insights

The producer price for milk has a direct influence on the turnover of industry participants. If rising prices for milk and dairy products are passed on to the downstream indu...

In this chapter

  • External Drivers
  • Regulation & Policy
  • Assistance

Key metrics

  • Regulation & policy level and trend
  • Assistance level and trend

Charts

  • Regulation & Policy historical data and forecast (2014-2029) 
  • Assistance historical data and forecast (2014-2029) 

Detailed analysis

  • Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
  • Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
  • Key governmental and non-governmental groups or policies that may provide some relief for industry operators.

Financial Benchmarks

View average costs for industry operators and compare financial data against an industry's financial benchmarks over time. 

Analyst insights

The level of profit margin varies between the individual industry players. Large, cooperatively organised dairies can achieve significantly higher profit margins than small p...

In this chapter

  • Cost Structure
  • Financial Ratios
  • Key Ratios

Key metrics

  • Profit margin, and how it compares to the sector-wide margin
  • Average wages, and how it compares to the sector-wide average wage
  • Largest cost component as a percentage of revenue
  • Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio

Charts

  • Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
  • Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
  • Investment vs. share of economy

Data tables

  • Cash Flow & Debt Service Ratios (2014-2029)
  • Revenue per Employee (2014-2029)
  • Revenue per Enterprise (2014-2029)
  • Employees per Establishment (2014-2029)
  • Employees per Enterprise (2014-2029)
  • Average Wage (2014-2029)
  • Wages/Revenue (2014-2029)
  • Establishments per Enterprise (2014-2029)
  • IVA/Revenue (2014-2029)
  • Imports/Demand (2014-2029)
  • Exports/Revenue (2014-2029)

Detailed analysis

  • Trends in the cost component for industry operators and their impact on industry costs and profitability 

Key Statistics

Industry Data

Data Tables

Including values and annual change:

  • Revenue (2014-2029)
  • IVA (2014-2029)
  • Establishments (2014-2029)
  • Enterprises (2014-2029)
  • Employment (2014-2029)
  • Exports (2014-2029)
  • Imports (2014-2029)
  • Wages (2014-2029)

Methodology

How are IBISWorld reports created?

IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.

Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.

IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.

What data sources do IBISWorld analysts use?

Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.

Key data sources in Germany include:

  • German Federal Statistics Office (Destatis)
  • European Statistics Office (Eurostat)
  • United Nations Comtrade

Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.

These sources include:

  • Industry and trade associations
  • Industry federations or regulators
  • Major industry players annual or quarterly filings

Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.

How does IBISWorld forecast its data?

IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.

IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.

Learn more about our methodology and data sourcing on the Help Center.

Frequently Asked Questions

Unlock comprehensive answers and precise data upon purchase. View purchase options.

What is the market size of the Dairy Product Processing industry in Germany in 2024?

The market size of the Dairy Product Processing industry in Germany is €41.1bn in 2024.

How many businesses are there in the Dairy Product Processing in Germany industry in 2024?

There are 155 businesses in the Dairy Product Processing industry in Germany, which has grown at a CAGR of 0.3 % between 2019 and 2024.

Has the Dairy Product Processing industry in Germany grown or declined over the past 5 years?

The market size of the Dairy Product Processing industry in Germany has been growing at a CAGR of 1.7 % between 2019 and 2024.

What is the forecast growth of the Dairy Product Processing industry in Germany over the next 5 years?

Over the next five years, the Dairy Product Processing industry in Germany is expected to grow.

What are the biggest companies in the Dairy Product Processing market in Germany?

The biggest companies operating in the Dairy Product Processing market in Germany are DMK Deutsches Milchkontor GmbH, Unternehmensgruppe Theo Müller S. e. c. s. and Arla Foods Deutschland GmbH

What does the Dairy Product Processing in Germany include?

Cheese and quark and Milk are part of the Dairy Product Processing industry.

Which companies have the highest market share in the Dairy Product Processing in Germany?

The company holding the most market share in Germany is DMK Deutsches Milchkontor GmbH.

How competitive is the Dairy Product Processing industry in Germany?

The level of competition is high and increasing in the Dairy Product Processing industry in Germany.