DAIRY AT THE HIGHEST LEVEL On the economic importance and quality of the Dutch dairy sector Summary

Quality and cooperation The Dutch dairy sector largely owes its strong global market position to high, consistent quality and a capacity for innovation. From our world-famous Gouda and Edam cheeses to milk powder and high-quality ingredients: dairy from the Netherlands is synonymous with the highest quality. This quality is the result of Dutch dairy farmers’ and producers’ years of experience and craftsmanship, as well as close cooperation with knowledge institutes and the government. Take a look behind the scenes of a high-quality food industry with a unique quality system.

2 Dairy at the highest level Dairy at the highest level 3 Foreword/Contents

Dutch dairy at the highest level

We never really talk about quality. We simply take continuously working on improving the quality of euros in turnover. This is a stable industry, which is for granted the fact that our products are in order our products, and safeguarding our processes and deeply rooted in Dutch society. That makes the every day. That’s simply a precondition. Consumers making them more sustainable. We all do this dairy sector robust. Precisely because of this we can must be able to trust that every Dutch dairy together. Not only dairy companies united in the handle crises, such as the coronavirus, trade wars or product is safe. They should also know that every Dutch Dairy Association (Nederlandse Zuivel fi nancial turmoil. The ongoing attention we pay to piece of cheese or packet of yogurt will have the Organisatie, NZO), but also dairy farmers, the the quality of our products and our production same familiar taste, time after time. But we can’t government and knowledge institutes. Together, processes pays of in these circumstances. simply sit back and assume this will happen. It takes we have built a solid foundation over the years. great ef ort to keep the quality of our products at Helped by the favourable climatic conditions, the Quality makes the dif erence on the global dairy the same high level, day in, day out. That’s what strategic location of The Netherlands and, of market. This distinguishes us from the competition. everyone in the Dutch dairy chain does best. course, craftsmanship, dairy has become a strong And that allows us to make an important contribution Because we have a reputation to keep. economic sector that makes an important to global demand for high quality products. contribution to the Dutch economy. In a world in which the population is growing HEIN SCHUMACHER, Our dairy products are appreciated worldwide. rapidly and raw materials are becoming scarce, is CEO of FrieslandCampina and chairman Dutch Dairy Dutch dairy has a rock-solid international Together, dairy farming and the dairy industry there’s a need for safe food that fi ts into a healthy Association (NZO) reputation. In order to maintain this, we are account for tens of thousands of jobs and billions of and sustainable diet. Quality is our trump card.

Quality and sustainability Interviews Infographics

From grass to glass 06 Wim van der Sande (COKZ) 13 Milk production in the EU and 11 A look behind the scenes of the On the importance of quality the Netherlands Dutch dairy quality system control From farm milk to dairy produce 16 Protected status 17 Guido Landheer (Ministry International recognition for of Agriculture, Nature and Dairy sector contribution to 23 quality and local pride Food Quality) 21 the Dutch economy On market access, international Dairy export and import 30 Sustainable dairy 24 cooperation and knowledge sharing Sustainability as a measure of quality for Dutch dairy products Thom Huppertz (WUR) 27 On Dutch expertise in process Sources and colophon 38 The Golden Triangle 35 and product development Dairy knowledge as a valuable export, thanks to Albert de Groot (Vreugdenhil) 33 government cooperation On the power of innovative production

4 Dairy at the highest level Dairy at the highest level 5 From grass to glass

From grass to glass

Around the world, Dutch dairy products are renowned for their high quality and proven food safety. This is the result of a unique chain quality system. A look behind the scenes of this high-quality food industry.

6 Dairy at the highest level Dairy at the highest level 7 From grass to glass

the year grazing outdoors. The Dairy farmers’ parameters in a specialist laboratory. Dutch dairy quality: barns, in which they spend the rest of Furthermore, each dairy farm is their time, are increasingly open, light periodically visited for an assessment spaces that suit cows’ natural behaviour. of the quality system. Deviations must a combination of Prevention is better than cure, so when it be rectif ed within a set period. In the 14 comes to animal health, the dairy farmers event of an unacceptable shortfall, the Billion kilograms rely on a policy of prevention. Thanks to milk is refused and the dairy farm is In the Netherlands good care and good feed, cows’ welfare registered as a ‘problem farm’. 14 billion kilos of milk craftsmanship and safety are transported each improves and the use of medication is year, which come reduced to a minimum. In accordance with 3. Safe transport is a matter of from 1.58 million cows EU guidelines, the farmer is responsible cleanliness on approximately for proper administration of possible Every day, there are 175 milk tankers on the 16,260 dairy farms. animal diseases and the use of medication. road in the Netherlands. Together, these To this end, each dairy farmer works with make 850 journeys from dairy farm to dairy a permanently appointed veterinarian, plant. Over 700 drivers are deployed for this, 1. The way to a cow’s heart is Consumer Product Safety Authority with whom a farm health plan and farm all of who have been trained to carry out through its four stomachs (De Nederlandse Voedsel- en Waren- treatment plan are drawn up. Animal initial quality checks on the farm. Dutch milk Cows thrive in the Dutch climate, and autoriteit, NVWA) supervises and health is constantly monitored by the tankers have been specially developed for on our rich pastures. Precipitation and manages additional requirements. Independent Animal Health Service milk transport with a focus on maximum temperature are favourable for grass Inspections are carried out by (Gezondheidsdienst voor Dieren, GD). hygiene and food safety. In this way, 14 bil- growth. The cow digests its feed via a independent quality organisation In addition, the dairy sector has lion kilos of milk are transported each year, digestion process that passes through SecureFeed, which uses GMP+ implemented an additional package of from 1.58 million cows on approximately four stomachs. The farmer plays an certif cation for this purpose. Dutch quality requirements for the prevention 16,260 dairy farms. Every hour, one and a essential role in feeding cows. Dutch dairy farmers may only buy animal and/or control of Salmonella infections half million kilos of milk are delivered to the livestock farmers have a great deal of feeds from suppliers af liated with and paratuberculosis in dairy cattle. processing locations. knowledge about soil fertility, land use SecureFeed. and grassland management. As a result, cows can graze outdoors during grazing Hygienic milking and storage Hygiene and inspection season and grass can be mowed and used 2. The Dutch dairy farmer: modern Strict hygiene requirements apply to Milk tanker drivers also work in Strong links as feed in the barn, or during the winter. milk manager milking machines or robots and milking accordance with EU laws and regulations. The saying ‘a chain is only as strong as Ultimately, these conditions result in The dairy farmer is at the source of every parlours. After milking, milk is rapidly These relate to the retention period 3 to 5 its weakest link’ def nitely applies to the Dutch cows producing excellent milk; dairy product, in a literal and f gurative cooled and stored in a milk tank at four of documents, the HACCP hygiene Million food industry. If anything, at any stage a nutritious, natural drink rich in fat, sense. The quality of the milk he or she degrees Celsius. The quality systems code, and the hygiene, cleaning and Between 3 and 5 in the process of production, processing, protein, lactose, vitamins and minerals. supplies is largely determined by good used by the farmer are based on EU disinfection of milk tankers. Strict million milk sample storage, packaging, transport and farm hygiene, animal health and welfare, legislation, supplemented by the Dutch standards apply to drivers’ personal analyses are carried distribution is less than optimal, it will milk production and milk storage. This dairy sector’s specif c, more extensive hygiene and health regulations, as well out in the Netherlands each year, across all be apparent in the quality of the end NVWA and SecureFeed link in the dairy chain is also supervised in quality systems. Milk quality is monitored as the calibration of measurement and processing steps. product. For this reason, the Dutch dairy The dairy farmer processes part of the accordance with EU laws and regulations. by sampling each delivery when milk is recording equipment. In addition to industry has developed a unique chain grass into grass silage for the winter. The The Dutch dairy sector imposes a num- collected from the farm, and once again these EU regulations, the dairy sector quality system in which each part of the silage process preserves the grass and ber of additional quality requirements. when it is delivered to the dairy. has introduced additional requirements chain is responsible for its own business samples are taken to check the quality Important standards that are taken into Before the milk tanker arrives at the dairy with regard to taking and storing samples processes, and for monitoring and of the grass silage. At the same time, consideration include maintenance and factory, the milk has already been tested and monitoring for the presence of managing these. Insight into the chain as this sampling enables the dairy farmer to hygiene of buildings and machines, use of for the most important antibiotics and antibiotic residues. The Netherlands’ a whole ensures individual links do not f ne-tune cows’ feed rations, for example medication, pest control, crop protection the f rst test results are already available. Controlling Authority for Milk and Milk operate in isolation, but are aware of by supplementing this with corn and agents and the ways in which manure, If there is anything suspicious about the products (COKZ) monitors compliance what the impact is of an imperfections at concentrates. waste and hazardous substances are milk, the milk tanker will not be unloaded, with these requirements on behalf the beginning, for example on the farm, The General Food Law (GFL) specif es handled on the farm. obviously. Each milk tanker driver is of the government. For example, the on quality further along the chain. The what animal feed may or may not specially trained to sample and assess COKZ accompanies milk tanker drivers Dutch dairy quality chain consists of f ve contain. By adhering to this, the Dutch Healthy cows: a key priority milk on the basis of its odour, colour and twice a year, takes care of driver exams links: feed, farmer, transport, milk and dairy chain works in accordance with EU A healthy cow that feels at ease produces temperature. In addition, milk samples and checks unloading points at each factory. laws and regulations. The Dutch Food and the best milk. Cows spend a large part of are examined on many more quality processing plant ten times a year.

8 Dairy at the highest level Dairy at the highest level 9 From grass to glass Dairy in numbers

Milk production EU The Netherlands is one of Europe’s top f ve 4. Milk: the product of checking and a great deal of attention to potential plants on behalf of the government. This milk producing countries. 1 double-checking future risks, so that timely measures can involves close examination of production A very wide variety of dairy products for be taken if necessary. processes, dairy products and fl ows of Germany 3 the domestic and export markets are animal by-products. If the assessment 33,065,000 tons produced from farm milk. Guaranteed, 5. From farm milk to certifi ed dairy is positive, the production location is f xed high quality, safety and high-quality product awarded (extension of) formal recognition 2 composition are preconditions for the Once the milk has been delivered to one as a dairy processing company. Compa- success of the Dutch dairy industry. of the Dutch dairy industry’s processing nies require this recognition to apply for Total Milk production EU 2019 In addition to Dutch and EU legislation locations, the quality of the dairy export certif cates. Specif cally for cheese, France and regulations, the dairy chain has products is further guaranteed by the the dairy sector has set up a supplemen- 166,608,000 tons 25,055,000 tons implemented stringent additional require- strict quality system used in the plants. tary process certif cation system. This is 3 ments. Ensuring quality is not only in the Quality and supervision in this part of a private system in which participation 3 interest of dairy consumers, but also of the chain are further guaranteed by the is voluntary. Most companies exporting 5 4 dairy farmers. Dairy farmers’ payments are Dutch government and industry. The Dutch cheese participate in this system. 1 United Kingdom 15,454,000 tons based on the quality of the milk supplied. largest share of milk produced in the Checks focus on process steps specif c to Quality checks are carried out on, among Netherlands (63%) is processed into milk cheese production and further processing. other things, residues of animal medica- for drinking or related products and cheese. 2 tions such as antibiotics, contamination 14% is processed into milk powder, 7% International market position 4 Poland levels and traces of harmful bacteria, into concentrated milk, 2% is made into To summarise, we may say that the Dutch 14,170,000 tons as well as on fat, lactose and protein butter and the remainder (14%) is proces- dairy industry has a unique chain quality content, fat acidity, cell and germ count sed into other foodstuf s and products. system in place, which adds signif cant and freezing point. value to its dairy products. In addition 5 Three to fi ve million analyses to excellent quality in the areas of taste, The Netherlands Measuring knows Samples are taken and analysed at extensive range and powerful presentati- 14,090,000 tons In addition to monitoring the aforemen- several stages of all processing steps, for on of Dutch dairy products, the quality of tioned parameters for milk, quality is semi-f nished as well as f nished products. Dutch dairy plays an important role in the additionally safeguarded by means of a Equipment is also regularly calibrated sector’s leading position in the world. monitoring program for contaminants and the quality of packaging materials and residues. This is coordinated by the checked. As many as three to f ve million Dutch Dairy Association (NZO). This is analyses are carried out each year, which related to legal requirements regarding is relatively speaking far more than in the presence of residues of veterinary other major dairy-producing countries. medicines, such as antibiotics, but also The production sites’ quality systems are Milk production in the Netherlands 2019 pesticides and environmental contami- supervised by the government and tested nants such as dioxins, PCBs, PAHs and and certif ed by independent bodies, in Milk production 2019 melamine. This research is carried out by accordance with European and Dutch (x 1,000 tons) ISO 17025-accredited laboratory Qlip. legislation and regulations. Furthermore, 2015 2016 2017 2018 2019 the dairy industry is compliant with 13,522 14,531 14,.501 14,090 14,000 Furthermore, farm milk is assessed accor- non-standard and/or additional require- 14,000 ding to the National Plan Hygiene Package, ments dictated by the food authorities carried out by NVWA laboratory Wage- in countries to which dairy products are ningen Food Safety Research (formerly exported. Larger customers such as Number of companies 2019 RIKILT). The National Plan applies to each retailers require a GFSI (Global Food 2015 2016 2017 2018 2019 EU member state and therefore provides Safety Initiative) food safety certif cate. 18,265 17,910 18,062 16,963 16,260 a good insight into the quality of milk in Dairy companies may receive approval for 16,260 dif erent EU countries. Finally, the Dutch this from the COKZ, indicated by a dairy industry operates its own research symbol and a number on the packaging. programme aimed at continuous improve- Number of cows 2019 ment of Dutch dairy food safety and Dedicated quality system for cheese quality. This research programme devotes The COKZ also supervises dairy processing 2015 2016 2017 2018 2019 1,577,964 1,621,767 1,744,827 1,693,804 1,621,914 1,577,964 Sources: CBS (dairy cows and dairy farms), RVO (milk production in the Netherlands), IDF (top 5 milk production 2018).

10 Dairy at the highest level Dairy at the highest level 11 Interview

Dutch dairy products travel a long way before they reach the consumer’s refrigerator. They pass several checkpoints manned by dairy watchdog COKZ.

‘We’re like the community police officer who knows exactly what’s going on’

Before cheese reaches the shop or super- market shelves, quite a few people will have been involved. The COKZ (Nether- lands Controlling Authority for Milk and Milk Products) is active throughout the chain from farm to supermarket shelves. Through this Netherlands controlling au- thority, the Dutch government supervises the dairy sector, among other things. Inspection takes place at several times and locations. Farm milk inspectors re- WIM VAN DER SANDE gularly follow milk tankers that transport is Director of the COKZ milk from farms to processing plants to (Netherlands Controlling carry out checks. Milk tanker drivers take Authority for Milk and Milk samples of raw milk from cooling tanks Products) an independent on farms and analyse the quality, tempe- body that monitors the quality of dairy products on behalf of rature, odour and colour. They also test the Dutch government. the milk for antibiotic residues. Milk that does not meet the quality requirements is not unloaded. Independent laboratories also check the milk samples for, among other things, antibiotics, protein and fat The dairy supply chain in pictures content, and bacterial counts. “We safe- Yolanda Dijkshoorn is a dairy farmer guard quality and ensure no mistakes are and co-owner of Dijkshoorn dairy farm made,” says Wim van der Sande, Director in Schipluiden. of COKZ. For example, the inspection

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body takes care of practical tests and ments comply with the legislation and a food hygiene supervisor; the Ministry that independent administrative bodies Dutch quality label that indicates that the examinations for milk tanker drivers, who regulations that apply in the Netherlands of Agriculture, Nature and Food Quality such as the COKZ are governed by private milk from which the cheese is made was are issued with certif cation if they pass. and the importing country. For exam- opted for the COKZ. The NVWA, which law was something he frequently needed def nitely sourced in the Netherlands. They need to meet a variety of criteria to ple, producers are not required to have was given the task to appoint a body, to explain in Brussels, as well as to foreign receive their certif cates, such as being batch checks carried out and wait for the authorised the independent COKZ to auditors. “Before long, we were seen as Close cooperation able to take milk samples correctly. test results before they can export their oversee the dairy sector. The ‘hygiene a commercial party charging fees, that According to Van der Sande, the secret produce. The f nal element is an annual package’ consists of f ve regulations with just might be paid directly to inspectors”, of The Netherlands’ dairy success lies in 80,000 Inspectors in action administrative f nal inspection. “At this guidelines for producers. These include he laughs. Van der Sande clarif es that cooperation. “I sometimes compare the certifi cates for small At the processing plants, COKZ also point, we re-examine the entire process. quality of raw materials, cross-contamina- the COKZ is an independent foundation, COKZ with a neighbourhood policeman and large batches of supervises food safety on behalf of the For example, did any farmer provide milk tion, cleaning and staf training. “This was over a hundred years old, that carries who knows exactly what’s going on. We Dutch dairy products are issued each year Dutch Food and Consumer Product which didn’t meet the quality standards a continuation of the existing division of out its tasks on a not-for-prof t basis. The have close ties to the sector, but remain by the COKZ. Safety Authority (NVWA). Processing and when was this discovered?” tasks, based on our knowledge. However, six-member board chooses a chairperson independent. Both the NVWA and the companies, for example, require EC this approach is also more ef cient. We from their midst, who has to be approved Accreditation Council audit us. We also approvals, as they produce food. Source of knowledge pay a great deal of attention to quality by the Ministers of Agriculture, Nature receive regular visits from the European “There is an EU hygiene directive for this, COKZ employees (70fte) in Leusden, who in combination with food safety. As a and Food Quality and Public Health. Commission and authorities from coun- and you can f nd the related mark of work across several teams, each of which result, NVWA auditors no longer visit us. These parties also need to approve the tries outside the EU such as the United approval on cheese labels,” explains Van deals with a specif c f eld, such as food We work together closely, according to appointment of the other members. States and China. If we could be com- der Sande. “We carry out an extensive safety, farms or inspections. There is a protocols, and each year, we determine “We pay a great deal of attention to the pared to the neighbourhood police, then audit once a year.” The COKZ keeps a great deal of knowledge in-house, says what actions we will be taking doing on independence of our board. These people the NVWA would be a SWAT team, ready register of companies it supervises. When Van der Sande. Ever since 1901 - which is behalf of the NVWA”. do not come from the sector itself and to act when things get out of hand. We cheese has been prepared, an inspector when the COKZ was founded. When EU have gained management experience in create of cial reports, they determine the springs into action. “In addition to the regulations made it obligatory to appoint Independent dif erent areas. Our chairman, for example, follow-up. This could be an administrative food safety research on cheese samples, Independent administrative bodies that formerly worked at the Rabobank”. f ne or revocation of a permit. For the lat- to exclude Listeria monocytogenes for carry out government tasks are a typi- ter step to be taken, though, a company example, a proper quality check is carried cally Dutch phenomenon. Van der Sande Reputation must have really made a mess of things. out. It’s all about marketing standards. reached this conclusion when working However, COKZ is a household name Recurring appearance of infections such How does the product smell and taste? for the Permanent Representation of the abroad, says Van der Sande. “The NVWA as Salmonella or E.coli, for example, or This is dif erent for a Gouda than for a Netherlands at the European Union in only certif es food safety, which, among breaches of hygienic working practices.” Leerdammer. And does a 48+ cheese Brussels. “This has grown historically. In other things, prevents transport of raw Van der Sande f rmly believes in this col- really comply with the requirements for the Netherlands, the initiative to moni- materials from areas in which animal laborative working model. “If one single a 48+ label?” For dairy export, the COKZ tor quality often came from the sectors diseases have been found. We guarantee large organization carries out all inspec- has a management programme in place, in question themselves and was not quality and issue our own certif cations, tions, they will have trouble adapting featuring a variety of connecting modules imposed by the government. Our dairy such as the certif cation for Gouda to developments and innovations in the for product groups such as cheese, curd, Because great care sector is a striking example of this. The cheese. Gouda Holland, for example, has f eld. He is convinced that the Dutch dairy grated cheese and butter. Inspectors way in which we make cheese is a true a protected designation of origin in Brus- chain has achieved a high level of safety regularly take random samples and the is taken to get taste, specialism. The accumulated experience sels, which is often how foreign custo- and quality thanks to integrated knowl- COKZ issues export certif cates if ship- aroma and fat content is refl ected in our organization.” The fact mers know about us. But internationally, edge and experience and independent we always present ourselves together supervision. exactly right, real with the NVWA and the Ministry of Gouda cheese sets Agriculture, Nature and Food Quality”. Several countries attempt to imitate itself apart from the Gouda cheese but according to Van der Sande, these products don’t come fakes close to Dutch quality. Because great care is taken to get taste, aroma and fat content exactly right, real Gouda cheese sets itself apart from the fakes. And this quality is in demand internationally. Every year, the inspection authority issues more than 80,000 certif cates, for everything from small batches to full containers. The sector is considering introduction of a

14 Dairy at the highest level Dairy at the highest level 15 Dairy in figures Protected status

From farm produce International recognition to dairy product for local pride

Production value (in billions of euros) Milk supply Dairy farming Dairy industry The Protected Netherlands 2019 7.7 7.5 7.6 Designation of Origin 6.4 6.4 6.4 5.9 and the Protected 5.5 4.9 5.0 5.0 Dutch people placing piece of familiar that reputation and quality are inextri- 4.5 4.4 4.6 Geographical Indication 13,788,000 ton 4.0 Gouda cheese in their shopping basket cably linked to a specif c geographical 3.6 while on holiday abroad just might be of Dutch cheeses origin. Makers of Gouda Holland cheese, unpleasantly surprised. This cheese might for example, have worked according to turn out to taste nothing like they’re signifi cantly boost traditional processes developed by chee- used to. Chances are that the text on the exports. What’s more, se-makers over the centuries. They ref ned 2015 2016 2017 2018 2019 2005 2010 2011 2015 2016 2017 2018 2019 packaging is missing the word ‘Holland’. the preparation and maturing as their 13,331,000 14,324 000 14,296 000 13,881,000 13,788,000 Source: Eurostat (dairy farming), ZuivelNL That means the delicacy might have been the quality schemes knowledge of technology, quality and Source: RVO.nl (dairy industry; 2019 is estimated). prepared outside their home country. Only also make generic hygiene expanded. This led to a growth in Gouda cheese with the protected title supply and demand, so that production ‘Gouda Holland’ is guaranteed to have Dutch dairy even more eventually moved from farm to factory. been produced in the Netherlands, accor- appealing. Dairy processing ding to a traditional recipe. With Gouda Complex in the Netherlands Condensed milk Holland, you know what you’re buying. The centuries-long development of 2019 Dutch production conditions for milk and 14% Other 5% cheese has taken local craftsmanship to 100% home-grown a high, consistent level. The government The quality and reputation of real Gouda stimulated this with research, education Milk powder and Edam cheese were reasons for and information. A complex of factors Cheese including these cheeses in a European that cheese-makers in other regions 56% 15% quality scheme based on geographical cannot imitate af ects this art of cheese characteristics in 2010. Agricultural making. For example, traditional bacte- products, food and wines that deserve this rial cultures, also known as starters, give Milk and products Protected Geographical Indication (PGI) International success each type of cheese its specif c character. 8% for consumption come from a specif ed region and meet Not only Dutch people on holiday abroad Furthermore, the quality of the milk (incl. cream) strictly monitored criteria. Feta cheese, for might be disappointed by cheese they is determined by the cows and their example, may only be called ‘Feta’ if it has thought would be familiar. Consu- environment. The maturation of cheeses 2% been produced in Greece. Cheese sold as mers and producers worldwide expect on wooden shelves under ideal climatic Butter and butter oil Gouda Holland and Edam Holland are 100% excellent quality and a particular taste conditions ensures gradual and perfect Dutch when it comes to recipe, milk, place from this Dutch dairy product. Precisely maturation. What is the end result of this of ripening, craftsmanship and pride. these characteristics ensure international working method? Gouda Holland cheese Preparation using unique bacterial cultures success, which is why European quality that has matured for at least 28 days is has a long history, which makes Dutch schemes such as the PGI are so important called ‘young’ cheese. Longer maturation Source: ZuivelNL cheese special. for export. The PGI emphasises the fact results in matured or ‘old’ cheese. After

16 Dairy at the highest level Dairy at the highest level 17 Protected status

a year, the product can be consumed as Noord-Holland. These areas are Consistent quality provided with a unique code during a ‘fully matured’ cheese. During ripening, surrounded by the IJsselmeer, Wadden The dairy sector has a quality assuran- preparation. The Netherlands Control- the characteristic taste develops from Sea and North Sea. This gives the grass, ce system in place that is attuned to ling Authority for Milk and Milk Products mild to savoury. During the ripening and therefore the milk, its specif c charac- European and Dutch legislation; the dairy (COKZ) links these codes to the inspec- process, the structure of the cheese be- ter. Beemster cheese is an example of a sector itself expands on this with addi- tion data in a register. Once the COKZ comes f rmer and the longer the cheese North Holland Gouda. Another PDO is the tional safety and quality requirements. has carried out the f nal inspection and ripens, the more fl avour it acquires. Frisian Kanter ‘nagelkaas’ cheese. In 2017, the sector was praised by the approved the taste, the cheese is awarded % € billion Dutch Food and Consumer Product Safety the Gouda Holland quality mark. 15.5 75 Connected to the source A third quality scheme is the Guaranteed Authority (NVWA), which stated that Products with a Agro-food products geographical with a EU geographical The PGI is concerned with reputation and Traditional Speciality (GTS). This does not the Dutch dairy sector maintains ‘a very Traditional, carefully monitored processes, designation account designation have a origin, whereas the Protected Designation inform the consumer of the origin in any high level of milk and dairy produce food which result in an excellent taste, have for 15.5% of total EU combined sales value of Origin (PDO) specif cally covers origin. way, but about traditional characteristics safety’. The system guarantees the quality brought Dutch dairy products worldwi- exports of agricultural of EUR 74.76 billion. Products covered by the European PDO such as the composition or the way in of cows’ milk through the professionalism de fame. European geographical quality food products. quality scheme are strongly linked to the which a product has been prepared. ‘Boe- of the dairy farmers, transport, reception schemes protect cheeses such as Edam places they come from. North Holland renkaas’ (farmers’ cheese) is a GTS product at the factory, cheese makers’ knowledge Holland and North Holland Gouda. That is Gouda has held PDO-status since 1996. that cheese makers are not allowed to and skill and, ultimately, the end product: why these are vital for Dutch cheese and The product meets all the criteria for prepare in a factory. With craftsmanship a ready-to-eat cheese. Quality systems other dairy produce exports, and for the Gouda Holland, but in this case the as the distinguishing factor, unpasteurized throughout the chain contribute to the Netherlands’ reputation as the world’s top milk comes from cows that graze on milk is processed by the farmer on a farm monitoring of the high quality of the producer of cheese. designated pastures in the province of into farmers’ cheese. cheese. Each Gouda Holland cheese is also

‘Dutch cheese Taste and origin of food are essential aspects of ‘ Quality is CONO Cheesemakers prepare Beemster cheese with a PDO quality for the Japanese, says Evert Jan Krajenbrink, quality mark. According to managing director Wim Betten, on the Japanese Agricultural Council at the Dutch Embassy in Japan. a total this is an important way of supporting the excellent market’ This makes Japan an important outlet for Dutch dairy package’ reputation of Dutch dairy at home and abroad. “You don’t products. “At the Dutch embassy in Tokyo, I maintain get a quality mark without good reason. Dutch dairy has contacts with Japan’s agricultural sector. We support an excellent reputation at home and abroad and quality the export of Dutch dairy technology and products to marks such as PGI and PDO conf rm the quality we deliver. Japan, partly by keeping the market open. In Japan, we We are closely monitored in this area. CONO Beemster EVERT JAN KRAJENBRINK promote Dutch products by, for example, organising WIM BETTEN is General cheese is exclusive and the PDO quality mark contributes to this. Consumers understand quality is Agricultural Council at the Director of CONO Cheesemakers. trade fairs, trade missions and tasting sessions. Japan is our largest market for cheese outside is assured and can taste this. Quality is about meeting criteria in the area of taste and consistency, Dutch Embassy in Japan. the EU. Exports grew from 87.7 to 97.7 million euros in 2019. but also about experience. The legacy of Dutch dairy production plays a role in this. Buyers can be conf dent they will get the same cheese from one month to the next and dairy produ- The Japanese prefer regional products. For them, origin is an essential aspect of the quality of cers know exactly what this cheese should taste like and how taste develops during ripening. domestic as well as foreign products. When it comes to food purchasing priorities, ‘taste’ comes Quality is a total package. Our savoury Beemster North Holland Gouda cheese has a PDO quality f rst, according to research. ‘Price’ comes in fourth place, after ‘health’ and ‘origin’. The Japanese mark for a reason. Cows graze on North Holland’s sea clay soil, which gets into the grass. You mainly enjoy Dutch hard cheeses with drinks. They will often buy dif erent kinds of cheese pre- can taste this in sustainable North Holland meadow milk and, ultimately, in the cheese, too. cut in a single packet, so they can try them all. Last year, we entered into a free trade agree- We maintain quality by following procedures and adjusting them wherever necessary. Cheese ment with Japan. An agreement has been made to lower import tarif s on our popular semi-hard making is a profession that has been practised in the Netherlands for centuries. To deliver cheeses from 29.8% to zero over the course of f fteen years. Japan will supervise European exceptional quality, you need to do something extra at every step of the process. This is geographical quality marks such as PGI for Gouda Holland and Edam Holland cheese. They refl ected in the way we deal with the grass and land, the cows, and the way in which we consider this protection to be important for their own regional products, too. After all, Japanese maintain traditional craftsmanship in our own unique way. We have fully internalised the consumers are attuned to quality. required technical knowledge, from start to f nish. We all need to deal with this very carefully, because it has brought us great conf dence on the global market. A dairy product from the Netherlands always has an advantage”.

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‘With our dairy tradition, we contribute to global food supply.’

In the ‘Golden dairy triangle’, the Dutch government works Furthermore, human capital is regarded closely with companies as essential. The government supports training programmes so that suf cient and knowledge professionals are ready to work in the institutes. sector. Research, innovation, education and practical learning; everything is Guido Landheer aimed towards development of a discusses market sustainable dairy chain.

access, international International orientation collaboration and This strategy takes the Golden dairy tri- angle beyond a national focus, explains sharing expertise to Landheer. “We look across borders. How feed the world. do we present ourselves, where can we highlight our products and knowledge in a useful way, and with whom can we is deputy GUIDO LANDHEER work together?” For example, internati- director of General Agro International at the Ministry onal research is being done on, among of Agriculture, Nature and On trade missions, through agricultur- other things, agricultural CO2 emissions, Food Quality. al councils at embassies and in joint in which the dairy sector also partici- projects, the Dutch private sector and pates. In California, dozens of American the government work closely together and Dutch participants from universities on the development and presentation and companies are involved. Together abroad of ‘their’ dairy products. This with Japan, the Netherlands is deve- includes the Agriculture & Food sector, loping new robotic systems to process one of several designated ‘top sectors’ in manure, feed cows and monitor their which the Netherlands excels worldwide. health. “In Kenya we are helping small Guido Landseer, Deputy Director-General farmers to grow fodder crops such as Agro International at the Ministry of elephant grass. This is good cow feed Agriculture, Nature and Food Quality and provides materials for, among other reveals ‘the secret’ of the Dutch top things, milk cartons”. sector’s ‘Golden triangle’: cooperation between government, industry and Side by side Dairy supply chain in pictures knowledge institutes. Working together Cooperation is part of Dutch farmers’ Emiel Jansen is a milk tanker driver they put a great deal of ef ort into DNA. “When I was still director of Dutch and Director of Germo Logistiek B.V. innovations, such as dairy farming. Top Sectors at Economic Af airs, we re-

20 Dairy at the highest level Dairy Dairy at at the the highest highest level level 21 Interview Dairy in figures

A real dairy country garded the agricultural sector with admi- cow. We excel at that. This approach has ‘Being able to feed The Netherlands is an important country ration. We saw long-term and intensive its roots in our tradition of cooperation. for dairy exports. With an export value Other 49% cooperation taking place there, especi- the population well In the Netherlands, everything starts with of 7.6 billion euros, the dairy sector ally in the dairy sector.” As a result, inte- working together to ensure we have contributes 7% to the Dutch trade €27.3 billion rested parties can f nd each other easily is crucial to a society. the very best products. In addition, we surplus. This comes mainly from our neighbouring countries. Of all milk at home and abroad, which, according to develop knowledge together with foreign The Netherlands has processed in the Netherlands, 80% Landheer, makes the Netherlands ‘very parties. remains in Europe. strong’ internationally. To support this the expertise to play position, the Dutch ministry of Agricultu- a role in this.’ Reducing hunger Dairy 7% re, Nature and Food Quality has built up Landheer and his colleagues support the Trade surplus €4.0 billion a network that includes 49 agricultural dairy sector, even in the current corona Netherlands 2019 councils at embassies around the world, crisis with borders closing around the which is over a hundred years old. In world. Europe is now given extra attention. this way, they establish contacts with “We are investigating adjustments in €56 billion local knowledge institutes, companies bring parties together. If a contract is the dairy sector and the f rst question is and governments. Market information is already on the cards, the presence of whether globalisation will continue. Other agricultural gathered and small-scale projects a politician or king on a trade mission We expect trade with neighbouring Other 44% are initiated, involving scientists from can be an incentive for a festive signing countries will grow, but it will never be €24.7 billion Wageningen University and dairy produ- ceremony. These trade mission results are entirely local or regional”. Landheer cers, for example. Of course, each party measured. “In the long run, they always refers to the international goal of also takes the initiative whenever they produce contracts.” reducing global hunger. This is a priority see an opportunity, Landheer adds. The FrieslandCampina signed a cooperation among the United Nations’ Sustainable Dutch government also provides market agreement in the presence of Prime Development Goals. According to access if necessary. In many countries Minister Mark Rutte and Nigerian President Landheer, the coronavirus crisis will also we face restrictions to market access. In- Muhamma Buhari. The company will be bring an economic downturn causing tervention by agricultural attachés often helping Nigerian farmers increase their unemployment, poverty and ultimately ensures the situation doesn’t worsen. milk production and improve its quality. hunger, especially in developing countries. Contribution to “I was in South Africa, which wouldn’t Together with companies and knowledge Dutch economy 2018 Total economy Agriculture & Food other 46.5 allow Dutch poultry to enter the country. institutions, the Dutch government is also More than money (in billions of euros) 720.4 Bilateral talks with the South African present at international trade fairs, such “Being able to feed the population well Dairy 7.6 government managed to get us back as the annual ‘Grüne Woche’ in Berlin. is crucial to a society. The Netherlands Source: ZuivelNL, Wageningen Economic Research on track.” At this famous agricultural and food fair, has the expertise to play a key role in they jointly promote dairy products in this. We know how to handle raw mate- On a mission the Holland Pavilion. Frau Antje, the rials ef ciently. Consider our long-term Landheer travelled with a dairy delega- Netherlands’ cheese ambassador for dairy programmes in Nigeria aimed at Employment tion on a state visit to Indonesia by King Germany in traditional Dutch costume, food security. We don’t sell our milk Dairy sector Willem-Alexander and Queen Máxima. is always a huge success. and then just disappear. It’s about more Exclusive trade missions are undertaken than money. You can see this in all the for dairy, but the sector is also involved in Quality and knowledge projects in which we work together to other trade missions. Such as Dutch Prime Quality is decisive, because that is what realise a wonderful goal, such as local Minister Rutte’s trip to Nigeria at the end we are internationally renowned for, says stable systems. We have a social respon- of last year. “It’s a wonderful way for small Landheer. This reputation has led to a sibility towards those countries.” Close Dairy farming and medium-sized businesses to get to growth in knowledge exports in recent cooperation between government, know a country and f nd out more about years. “Our expertise in cheese, butter, industry and knowledge institutes Dairy industry it, in order to build up a network.” Having milk powder, machines, cattle feed, ma- doesn’t only benef t the export of Dutch a minister or other prominent person on nure processing and dairy cattle is highly dairy products. “Through our dairy site can open doors for companies. Accor- valuable. Among other things, we support tradition on the one hand and the ding to Landheer, it’s not about contracts, China with programmes to improve local creative use of knowledge on the other 2005 2010 2015 2019 2005 2010 2015 2019 but about contacts. Network meetings, livestock. This basically deals with running hand, we contribute to the food supply 37,500 34,900 35,800 35,200 10,800 9,700 12,900 13,800 seminars and matchmaking afternoons a farm sustainably, with specif c types of worldwide.

Source: Eurostat, Wageningen Economic Research

22 Dairy at the highest level Dairy at the highest level 23 Sustainable Dairy

Sustainability in the dairy industry is increasingly regarded as achieving of sustainability targets sector. This methodology is based on a ma- and processes more sustainable. In many is important for retaining support and trix incorporating f ve management system areas, the Netherlands is ahead of other a quality standard for Dutch dairy products. In fact, large motivation of dairy farmers to work on maturity levels and a tool that allows dairy dairy producing countries. There is still international food industry and retail companies are increasingly ongoing sustainability. In addition, the producers and buyers to exchange required room for improvement on a number of dairy sector has shown itself to be a data. This allows processors of dairy pro- themes. There is no doubt that sustaina- basing their purchasing policies on this. reliable partner, which is vital for future ducts to record and demonstrate their SAI bility never ends. Recording, monitoring, cooperation. New sustainability goals sustainability level of maturity. measuring and improving forms the basis have been set for 2030, including three for future-proof sustainability in dairy new themes: dairy farm business models, Future-proof products. Good cooperation between land-based dairy farming and farm safety. Thanks to the commitment and perfor- dairy farmers and dairy companies is mance of the Sustainable Dairy Chain, the essential to guaranteeing the sustainability Demonstrable sustainability Making sustainability demonstrable Dutch dairy farming and dairy industry is of Dutch dairy, improving this and, above Demonstrable improvements in the area well on the way to making dairy products all, ensuring transparency. of sustainability are very important to the sells itself Dutch dairy sector, also with regard to international trade. The Netherlands are leading the way in many sustainability developments. For dairy companies, being able to demonstrate this to international customers is essential. This requires an Sustainability is a broad concept. If you f nancial incentives to dairy farmers, and Dairy Chain is coordinated and f nanced unambiguous methodology that can be want to make a product sustainable, you by marketing dairy products from cows by ZuivelNL, the Dutch dairy sector chain used by sellers as well as buyers. In 2013, f rst need to def ne sustainability. What grazing outdoors. This was a huge success. organisation. Dairy companies and dairy the Global Dairy Platform presented its do we mean by sustainable dairy in the Since 2018, the number of dairy farms with farmers work within the DZK on a number DSF (Dairy Sustainability Framework) Netherlands? What do governments and outdoor grazing has exceeded the 81.2% of key themes in line with jointly formu- to stimulate the sustainability of dairy How does the Sustainable Dairy Partnership work? dairy buyers understand by this? How do desired level set in 2012. Consumers can lated objectives: climate-responsible dairy products worldwide and develop a Dutch sustainability criteria compare with now choose their own outdoor grazing production, continuous improvement of methodology that shows steps towards The power of the system is the plies. Dairy companies that commit to those of export countries? In Western milk products. The Netherlands played a animal health and welfare, conservation sustainability. unambiguity of data between dairy the Sustainable Dairy Partnership make Europe or Russia, dif erent sustainability pioneering role in this area. In the of outdoor grazing, biodiversity and the purchasers and their suppliers. their own choices regarding what is requirements apply than in South America mean time, buyers in other countries environment. For Dutch consumers as well Greater ef ciency Dairy producers and their supplying most important for their specif c or China. In some countries, the emphasis are also demanding outdoor grazing. as the government, these are the main For customers, however, DSF was too dairy farmers can improve their sustai- situation, in order to achieve sustainable is on animal health and well being, in other themes within the dairy sector in relation to non-committal and too general. Therefore, nability score step by step, based on sustainability gains. They do this based countries, there may be a stronger focus working towards a more sustainable world. dairy companies and buyers asked DSF to f ve maturity levels: on 11 themes: on biodiversity or CO2 emissions. Outdoor grazing develop a demonstrable sustainability me- Monitoring thodology at individual company level. For 1. Participation in the programme 1. Greenhouse gas Proactive policy in the Netherlands Each year, experts from Wageningen Eco- dairy buyers, an unambiguous methodo- 2. Prioritisation of 11 formulated emissions With the above in mind, the Dutch dairy is back at the desired nomic Research report on progress made logy for sustainability criteria is important themes (KPIs) 2. Fertilization sector carefully listens to the expectations in achieving the Sustainable Dairy Chain in communication with consumer. It’s also 3. Formulating objectives and acting 3. Waste streams of society, customers and government level of 81.2% goals. Several targets have been achieved ef cient; they can jointly carry out local accordingly 4. Water usage at home and abroad, and tries to meet for 2019, for example in the f eld of energy audits according to an agreed methodo- 4. Constantly improving sustainability 5. Land usage these expectations. This makes it possible ef ciency, responsible soy (100%), outdoor logy, instead of relying on many dif erent and reporting on this 6. Biodiversity to anticipate legislation with proactive The Sustainable Dairy Chain grazing and responsible use of antibiotics parties. To develop this methodology, the 5. Achieving results and inspiring 7. Market development policies. A good example of responding to In the Netherlands, the Sustainable Dairy in dairy farming. Regarding the use of DSF approached SAI (Sustainable others with these 8. Contribution to the local the wishes of society is meadow grazing. Chain (Duurzame Zuivelketen, DZK) plays antibiotics, more than 99% of antibiotics Agriculture Initiative Platform), a food economy When the number of cows at pasture a central role in realising structural and de- usage in Dutch dairy farming is compliant industry organisation that supports Each of the f ve maturity levels 9. Working conditions dropped around 2010, this caused some monstrable sustainability throughout the with the action values of the independent development of sustainable agriculture, includes a signif cant number of criteria 10. Product quality and safety commotion in the Netherlands. The cow entire dairy chain. The DZK is a partnership Veterinary Medicines Authority (Autoriteit which has representation in dairy companies that can be used to demonstrate that 11. Animal health and welfare is characteristic to the landscape and for between dairy farmers and dairy compa- Diergeneesmiddelen SDa). The sector is and large international dairy customers sustainability is adequately implemented the Dutch, seeing cows in meadows is nies. It works in consultation with farmers’ praised for achieving this objective and such as Nestlé, Danone, Unilever and Mars. in a dairy processor’s management In a one-page report, dairy product important. For this reason, the dairy sector organisations, government, science and further reducing the use of antibiotics. SAI developed the Sustainable Dairy system. This includes a sustainable buyers can easily and quickly f nd out decided to stimulate outdoor grazing education, and social, nature and envi- Proactive policies ensure the sector anti- Partnership (SDP) an international approach among the dairy farmers about suppliers’ progress, based on by of ering coaching, knowledge and ronmental organizations. The Sustainable cipates Dutch legislation. Appreciation for sustainability methodology for the dairy from whom processors buy their sup- the starting values.

24 Dairy at the highest level Dairy at the highest level 25 Van gras tot glas Interview

‘ We know exactly what we want and what we are capable of’

The Dutch dairy sector is characterised by high levels of cooperation and rapid action. This results in a bundling of process and product development expertise. Wageningen University plays a central role in this.

THOM HUPPERTZ is Professor of Dairy Science & Technology at Wageningen University & Research (WUR) and works as Principal Scientist Food Structuring at FrieslandCampina.

“Anyone can produce, but you need to what else you can do. It’s also important be faster, better and more ef cient.” to know what retailers and consumers And there’s more, according to Thom require. You need to know the market Huppertz, Professor Dairy Science & through and through. Technology. “You also need to stay at the forefront by placing products on Dif erences in taste the market that others aren’t of ering or Although the Dutch consume vast don’t have yet.” The Dutch dairy industry quantities of dairy, the growth markets operates according to this method. In- are across the border. “The Netherlands Dairy chain in pictures novation is crucial to this, says Huppertz. is quite saturated, but Asia and Africa are Jeroen van Binsbergen is Research “You need to have a great understanding on the rise. However, people there aren’t Analyst Dairy Physics & Chemistry at of the basic raw material - milk - as well interested in nice, extra-matured Gouda FrieslandCampina in Wageningen. as processing, and you need to discover cheese. In Asia, people don’t think about

Dairy Dairy atat thethe highesthighest levellevel 27 Interview

cheese as something you would put on a people are familiar with. To deviate from was not well suited for further processing. attractive to employees who want to best ingredients and the best proteins sandwich, but they do melt cheese and this would be taking a big risk.” “The issue was with the butter making. do high-level research. If everyone does to meet those demands?” We also look use it in pastas and on pizzas. In traditi- The process in itself was f ne and resulted his or her own thing, this results in lots at the process. Is it safe, are there any onal dishes, they also melt cheeses that Vanguard in good butter. But the buttermilk by- of separate islands “. Huppertz estimates harmful bacteria involved? don’t taste too strong. This is something The Netherlands has been at the forefront product was mainly used as animal feed that half of the research carried out on “On the other hand, you don’t want to be aware of. What do people need and of dairy research for over a hundred years. and hardly used for human consumption. the university campus is initiated by to work so intensively that you lose how can we provide it?” Chocolate milk This has provided a foundation on which Until research led to a new preparation foreign customers. “They know they will nutrients. That means developing a single is very popular right now, especially in the Dutch are still building, according 12,819 process, in which the buttermilk did not get what they need here.” product together with research from European countries. “Traditionally, this is a to Huppertz. “This is refl ected in every is the number of sour. This is still used worldwide as a stan- The FrieslandCampina Innovation Centre other disciplines. The Netherlands really good product that everyone enjoys. You product. You can’t quickly put together students (BSc, MSc and dard component of butter making. Just and Unilever Foods Innovation Centre add value to this.” According to Huppertz, can f nd it everywhere, but here quality something completely new. Our cheese PhDs) at Wageningen like the buttermilk itself, which is now a are also located on the site. Both work on research should always be based on a turns out to be important. The taste has has been more and more extensively de- University & Research valuable ingredient.” WUR and NIZO Food fundamental research, sometimes jointly. combination of knowledge, for example in the academic year to match consumers’ prof les and wishes. veloped over the years. That has resulted Research played a prominent role in this The government stimulates this type of technical and marketing knowledge. 2019/2020. Of these, That means paying close attention to in many variations. Take milk foam, for 2,889 were international development of knowledge. cooperation with subsidies, Huppertz “A great product that no one wants won’t what they consume.” For example, the example. We were already working on students. explains. A Chinese dairy company has sell. The same goes for products that are Dutch are used to fresh, pasteurised milk this over eighty years ago, working on also settled on the campus. “The fact in demand, but ultimately disappoint. and sterilized milk is less popular, says limiting foaming processes. Now, we can that they chose this exact spot says a It’s always an and-and situation.” Huppertz. But in countries that traditio- use that knowledge to make the best lot about its added value.” nally don’t consume much dairy, people cappuccino foam.” Buttermilk, produced ‘ We constantly Going the whole way generally don’t like pasteurized milk. in the making of butter, is another exam- Other applications Huppertz explains that behind all innova- “They often import sterilized milk. New ple. Forty years ago, in the traditional upgrade the chain Milk, yoghurt and cheese have always tive companies worldwide there is a chain products need to match the fl avours butter-making process, this acidic process by finding new and been the basic products, but there’s of other companies. “As a dairy company, more to dairy. Besides cheese, the cheese you have a choice. Do you want to be an better applications.’ making process also produces whey. innovator and lead the market? Or would Many protein ingredients are made from you rather process ef ciently and adapt this. These are used in sports and medical rapidly to developments and shifts in the nutrition, among other things. Lactose f eld?” The Netherlands chose to innovate is used in pharmaceutical applications, and is still leading the way. “The beauty Collaboration such as pill-making. “We are constantly of what we’re doing here lies in the fact Huppertz is particularly positive about upgrading the chain by f nding new and that we look at many dif erent areas, but our country’s knowledge infrastructure, better applications. Milk, butter, cheese together we have the ability to quickly in which a variety of universities and and milk powder will always remain determine whether a topic will become research institutes work together. key within the dairy sector. High quality relevant or not. We really keep pushing “A sector populated exclusively by dairy ingredients for specif c purposes are an ahead. We also avoid getting slowed technologists won’t do well. We need addition to this”. For example, interest in down by years of research, only to f nd experts in other areas too, such as pro- food targeted at the elderly is growing. out that something is interesting but not cess design, food safety and marketing. As people get older, they need more really important. We know very well It’s precisely that combination which protein. “How can we develop products what we want and what we’re capable MILK PROTEIN: helps us move forward.” Knowledge of that meet an individual’s needs? Such of, here at Wageningen University and Milk, a source of high quality protein, is human nutrition is an important area, as medical nutrition for people requiring other academic institutions, research the basis for developing high quality in- for instance, since dairy should be part food to help them recover after surgery. institutes and companies. We bring gredients used in nutritional products. A of a healthy diet. The same goes for the They need protein and other nutrients. all expertise in process and product great deal of innovative research - also carried out in Wageningen - is aimed at development of equipment such as We’re looking for a form of food that development together. That is the making milk proteins suitable for this milking machines on the farm and in the meets those needs, and which they Netherlands’ great strength. type of processing. As a result, the fi eld factory. Sometimes, technology from can easily consume.” The Netherlands is of milk protein applications is becoming another industry is adopted. “Integration the world’s largest exporter of food for wider and more complex. In addition to of this knowledge makes the Netherlands infants. A great deal is happening in that traditional applications, milk protein is used in, for example, baby milk powder, an important country for dairy.” To this area, says Huppertz. “This food is intend- medical nutrition - such as drinking and end, research institutes, universities and ed for a very vulnerable target group, tube feeding - and sports nutrition, the business community work closely small babies, so everything has to be such as protein bars. together and coordinate rapidly. “In this exactly right. Ideally, this food is function- way, we remain at the forefront and are al, safe and easy to process. What are the

28 Dairy at the highest level Dairy Dairy atat thethe highesthighest levellevel 29 Dairy in figures Export and import Dairy products to and from the Netherlands European Union European Union 2019, growth rates 2010-2019

Legend 73.1% 98.8% 4.7% Exports as % of total value Growth Decrease

Import as % of total value

Milk Import and cream

Butter and oil

Cheese Export Condensed milk

Dutch cheese export 2019 Top destinations (value in billions of euros) €3,655,000,000 1 Germany 1,197 North America Rest of Europe 2 Belgium 476 Export value 3 France 373 in € billions 1.5% 6.5% 4 Spain 224 7.6 7.8 5 Italy 131 6 United Kingdom* 121 1.1% 6.4 -6.1% 7 Greece 120 0.4% 8 Sweden 113 5.5 9 Japan 98 10 United States 82 0.3% Other countries 721 Africa 5.6% Asia -2% 15.3%

2010 2015 2018 2019 5% Central and South America 0,1% 0.1%

Import value in € billions 2.3% 5.8% 3.8 3.8 3.1 2.5 0% Oceania 0.8% 20.9%

2010 2015 2018 2019 Source: CBS, Eurostat, ZuivelNL 0.3%

30 Dairy at the highest level Dairy at the highest level 31 Van gras tot glas Interview

Dutch dairy owes its strong global market position to its high, consistent quality and innovative capacity.

‘ We don’t discuss quality with customers, people just know it’s good’’

A large proportion of Dutch dairy our cows can seek out the shade of products is exported as milk powder. the barn. For this reason, you might ask Important reasons for this are long shelf whether keeping Dutch cows in countries life, high nutritional value and guaranteed with a much warmer climate is a good food safety. “Around the world, our dairy idea. Small-scale production is possible, is synonymous with quality”, says Albert but it is better and more sustainable de Groot, CEO of Vreugdenhil Dairy to produce milk ef ciently in the Foods. “Wherever I go, I don’t need to Netherlands under ideal conditions and elaborate on the quality of Dutch dairy. to export high quality dairy products. People just know it’s good, because over This makes a better contribution to the years we’ve built up a rock-solid local food supply.” is CEO ALBERT DE GROOT reputation. Quality starts with the health of Vreugdenhil Dairy Foods, a company that produces milk of our cows and the craftsmanship of Innovation and organisation powders from fresh cow’s milk. Dutch dairy farmers. Throughout the year, According to De Groot, the high degree He is also vice-chairman of the milk is collected and processed directly of innovation and organization is another Dutch Dairy Organisation. from the land. Because of this, and owing important factor in the success of Dutch to the position of the Netherlands as an dairy. “Knowledge institutions, govern- export country, we can deliver fresh pro- ment and the business community work duce very quickly. Quality is also guaran- together in the best possible way in our teed because we have excellent pastures country. It’s no coincidence that Wage- and favourable climatic conditions. Dutch ningen University & Research is regarded cows feel most comfortable at between as one of the world’s top agricultural Dairy chain in pictures 18 and 20 °C, if the temperature becomes universities. At Vreugdenhil, we work on Manus Mous is inspector at too high, cows may suf er from heat innovation and renewal together with Royal A-ware. stress. If it gets too hot in the summer, various training and research institutes at

32 Dairy at the highest level DairyDairy at at the the highest highest level level 33 Interview Golden Triangle

home and abroad. Besides Wageningen Dairy Foods exports 750 million euros emissions and also ofers an economic University, these include the Van Hall worth of milk powder to countries outside beneft. We don’t encounter trafc jams, Institute, Aeres Hogeschool Dronten, HAS of Europe each year, 75% of which goes the costs are lower and we are also given Dairy knowledge as Hogeschool Den Bosch, NIZO and TNO. to countries outside Europe. Our milk priority in the port”. We ofer internships and work together powder is at the top of the market in on product improvement, refnement and terms of quality, but we also want it to Drinking water projects an export product quality. Shelf life is crucial in, for example, provide nutrition for the poorest people. For the future, De Groot sees another task African countries. Our tinned milk powder This is why, for example, we also supply for innovation in dairy, especially in African has a two-year unrefrigerated shelf life. our milk powder in small packages, such countries where milk powder is purchased. The nutritional components must remain as the Unit Portion Packs. These usually Globally, there is a major shortage of clean The Dutch dairy sector is largely based on high-quality knowledge that constant and the powders must be easily fnd their way to consumers through drinking water. De Groot: “Milk powder has been built up over the years. The government uses this leading soluble. This is the result of joint research. small stores and street sellers. As a result, might be of the highest quality, but if you Important, because we are increasingly someone who might not be able to aford have to dissolve it in dirty or contamina- knowledge position to promote Dutch products. Dairy knowledge has providing milk powder as an ingredient a kilogram of milk powder, for example, ted water, you still have a problem. That’s become an export product in its own right. for early life nutrition and for specialised can still obtain a regular supply of protein, why many people in Africa consume milk dairy nutrition for the elderly, or people minerals and vitamins”. powder dry, for lack of clean water. The with specifc nutritional needs. percentage of solids in milk is 13%. We Besides innovation, we also have a Sustainability in the chain have set ourselves the target of ensuring government that constantly ensures rapid When it comes to caring for the environ- the 87% water we remove from milk can and adequate regulation. This contributes ment and climate, De Groot believes that be pumped up from the soil in Africa. to conditions that are ideal for keeping the Dutch dairy industry sets itself apart Vreugdenhil wants to further develop such the Dutch dairy industry at the forefront from other countries. “In the Netherlands, drinking water projects in cooperation of innovation, food safety and product we are working on making the entire with NGOs and charitable organisations. development. The importance of this chain more sustainable. That starts with The goal is for the countries in question strong market position is huge. Together, dairy farmers and moves through the to eventually be able to set up a good the Netherlands exports 7.8 billion euros entire process of production, storage, drinking water supply themselves. worth of dairy products, which equals 7% transport and distribution. At Vreugdenhil, of the national trade surplus. This is not for example, we work with a points and only a vast economic interest - we have premium system stimulating farmers to also taken on the task of providing a large produce milk sustainably. This is working proportion of the world’s population with very well, not least because dairy farmers good, healthy and safe food.” are used to thinking ahead, to keep their The Ministry of Agriculture, Nature and cooperation with knowledge institutes, farms running at their best. How do they Food Quality (LNV) works to promote public sector parties and agricultural Afordable premium product deal with cattle, pasture, grass crops, Dutch knowledge, expertise and quality companies that want to export This brings De Groot to another dairy supplementary feed, stables and energy? in agriculture worldwide. The Ministry products. As many as forty World Days innovation focus area: sustainability. He Various programmes have been develo- supports initiatives to export this know- are held at Dutch embassies each year. considers it a moral obligation for the ped to achieve optimum sustainability ledge. For example, the Netherlands On these days, an embassy presents the Dutch dairy industry to take on responsi- together and farmers are investing in is positioned as a guide to sustainable Netherlands to its guests as a know- bility in this area. An important aspect of this. We are entering into partnerships agricultural production and as a country ledge leader in the development of sustainability is corporate social respon- with them, and also doing this with other THE NETHERLANDS produces 2% of that produces high-quality products. agriculture and high quality food pro- sibility. “That makes perfect sense, if you parties in the chain, such as the packaging the world’s milk and is Europe’s largest In this way, the ministry supports the ducts. Furthermore, Dutch agriculture - consider the fact that we are contrib- industry and the transport sector. producer of full fat cow’s milk with export of Dutch agricultural produce. and therefore also dairy - is represented uting to healthy diets of a large part of a production of 178,000 tonnes. The at the International ‘Grüne Woche’ in Netherlands is also an important transit the world’s population, such as in Africa, The Dutch dairy industry makes use of Berlin, an event that takes place each country for milk powder, which means Agricultural promotion an important market for us. Areas like highly efcient and environmentaly Dutch milk powder exports exceed Every day, a worldwide network of year in January. Dutch agricultural and this often face great poverty and food friendly production techniques and domestic production. agricultural attachés and civil servants dairy companies are well represented at shortages. As a result, we need to supply methods, but also relies on sustainable works from The Hague to achieve these the world’s largest agricultural fair with a premium product on the one hand, the transport. At Vreugdenhil, milk cans are NEW ZEALAND is the world’s largest goals, organising incoming and outgoing a 1,500 m² Holland Pavilion. It’s a logical exporter of whole milk powder with a quality and safety of which should never 100% recyclable and our milk powder is trade missions, agricultural working decision for the Netherlands to profle production of 1,420,000 tons of whole be questionable, but at the same time shipped from Gorinchem to the port of milk powder. This is four times the EU groups (with representatives of foreign itself at this event, considering the fact this product must remain afordable for Rotterdam over waterways. Compared production. agricultural ministries) and agricultural that 80% of Dutch agricultural exports those on the lowest incomes. Vreugdenhil to road transport, this saves 50% on CO2 trade fairs, for example. They do this in - some 85 billion euros – are shipped

34 Dairy at the highest level Dairy at the highest level 35 Interview

to Europe. A quarter of this, 22 to 23 might also have a very broad scope. In foreign government asking the Dutch sustainability, food safety, cattle feed, self-suf cient and capable of providing improved with targeted training and gui- billion euros, is intended for the German the latter case, the focus is on Dutch to share their knowledge with them. training farmers, information, stables, their population with suf cient food. The dance. They see how well we are doing market. The fair attracts 400,000 visitors agriculture in the broadest sense, The ministry regularly acts on these milk robots, certif cation and organizati- Netherlands is often approached as a in the Netherlands and how high milk each year (mainly consumers), but it is according to the Farm to Fork strate- requests. The Dutch government consi- onal structure. This applies to the dairy source of knowledge on how to achieve production is, but often do not know also provides a platform for some 70 gy. The European Commission strategy ders it important to share knowledge, sector in particular, which shows foreign this. The question arises as to whether how to realise this in their own country. agricultural ministers from all over the document ‘Farm to Fork’ aims to make because in this way the Dutch way of parties that the Dutch dairy industry and this trend will eventually change the Support for this could include setting up world. food systems fair, healthy and environ- working - given local demand - is co- dairy producers have spent many years earnings model of the Dutch dairy knowledge centres and demonstration mentally friendly. During the mission, pied as ef ectively as possible. Standards working to achieve this level of quality industry. farms. The Netherlands already exports Opening doors everything the Netherlands has to of er set in this way facilitate and stimulate and investing heavily in it. high-quality dairy products and dairy The Ministry of Agriculture, Nature and in the f eld of agriculture, for the entire trade. Requests for knowledge from out- Contacts are also being made by foreign On the one hand, other nations’ self-suf- cattle, but the market for associated Food Quality (LNV), Dutch agricultural chain, is discussed: from the construc- side the country can be met with semi- governments to establish cooperation, f ciency may lead to a reduced purchase knowledge is vast and open wide. companies, and education and know- tion and interior of stables and the nars on site or - in the current Covid-19 for example to of er training positions of dairy products, yet on the other hand, ledge centres, can also access markets export of heifers, to food and education era - with webinars. Countries often at Wageningen University. The ministry the Dutch dairy sector will be able to ex- outside of Europe, by organising trade and agricultural training. also want to visit farms and knowledge considers this important, because port its high-quality knowledge. In many missions for example. Depending on the centres in the Netherlands. In this way, foreign students return to their own markets - not only in developing coun- country and its importance for Dutch Learning from the Netherlands foreign governments, as well as country as ‘ambassadors of the tries - there is a great need for know- agricultural companies and instituti- Dutch farms and their produce are representatives of companies and Netherlands’. ledge about responsible land use, animal ons, dignitaries such as ministers and promoted during trade missions, but the knowledge institutions, become feed, hygiene, food safety, good barns, members of the royal family might join countries visited also get a clear picture acquainted with the Netherlands and New earnings model energy systems, sustainability and other the travel party. A mission such as this of the high quality standards of our experience how the country deals A current trend is the fact that more technologies. The level of knowledge of can focus on a specif c target group, but agriculture. This regularly leads to a with standards in areas such as quality, and more countries want to become farmers and their co-workers can also be

‘ We secure “The dairy farm is at the heart of everything ‘Our cows “Considering the fact that more than 10,000 people knowledge transfer we do. We convey dairy knowledge that we visit our Dairy Campus each year, it seems very quiet have been building up in the Netherlands produce data’ now, during the corona crisis. Dairy Campus is the by training local for over more than a hundred years. We do research, knowledge and innovation centre for the this in the Netherlands and abroad, based dairy farming industry. You can’t research and innovate trainers’ on food security and safety. More and more all on your own. The success of our working method is countries want to take care of their own food the network of all partners involved in our activities. production. Nowadays, everyone in Africa and These include various educational and research institutes, HENK BLES is the founder Asia owns 4G smartphones: they can see what we are capable of in the f eld of dairy. In order KEES DE KONING is manager as well as the Netherlands Agricultural and Horticultural Association (LTO), dairy companies and owner of Bles Dairies. to transfer that knowledge, Bles Dairies works together with Dutch dairy producers and the of Dairy Campus, a dairy farming such as FrieslandCampina, the municipality of Leeuwarden and the province of Friesland. Dutch government in line with the FDOV programme (Facility for Sustainable Enterprise innovation and research centre. We complement and strengthen each other, and our researchers, students and customers at and Food Security). We teach farmers to not only produce more and better milk, but also home and abroad benef t from our knowledge and experience. We are constantly working on to guarantee volume, quality and safety. We stimulate this by paying local farmers, in the demands of the day after tomorrow. This could concern methane, nitrogen, ammonia or cooperation with the local dairy, a higher price for milk if they meet set quality requirements, animal welfare and health. All aspects of dairy farming are addressed at our innovation and re- including sustainable dairy farming. Breeding and cattle improvement programmes, search centre. With a herd of 550 dairy cows, 6 parlours and 300 hectares of land, the campus prevention and management of animal diseases and the quality of cattle feed are part of feels like an actual farm, which also happens to of er training and meeting facilities. Only in the training. We guarantee knowledge transfer by training the local trainers and educators, our case, milk is a by-product. We produce research data, knowledge, innovation, education who in turn train local farmers and suppliers to use the knowledge. Our new knowledge and training. The beauty of this innovation and research centre is that we can test every rese- company Triple Dairy, a collaboration with Wageningen University and Aeres University of arch question and innovation in real life. We take on risks related to investing in, for example a Applied Sciences, is located on the Dairy Campus in Leeuwarden. Triple Dairy of ers so-called new type of fl oor, smart sensors, additives, or animal feed, do the farmers don’t need to. Dairy ‘Blended Learning’ programmes: digital knowledge modules combined with classroom and farming and the dairy industry benef t directly”. practical on-site training.”

36 Dairy at the highest level Dairy at the highest level 37 Source List

Reports • Nederlandse Voedsel- en Warenautoriteit, Integrale risicoanalyse zuivelketen risicobeoordeling, 2017 • Nederlandse Zuivel Organisatie, Gegarandeerde kwaliteit. Het kwaliteitssysteem van de Nederlandse zuivel, 2017 • Doornewaard G.J., M.W. Hoogeveen, J.H. Jager, J.W. Reijs en A.C.G. Beldman, 2019, Sectorrapportage Duurzame Zuivelketen; Prestaties 2018 in perspectief, Wageningen Economic Research, Rapport 2019-125 • SDa, Autoriteit Diergeneesmiddelen, 2019, Het gebruik van antibiotica bij landbouw- huisdieren in 2018. Trends, benchmarken bedrijven en dierenartsen, SDa/1153/2019 • Stichting Weidegang Jaarrapportage 2018, Stichting Weidegang • AND-International, Directorate-General for Agriculture and Rural Development (European Commission), ECORYS, april 2020. Study on economic value of EU quality schemes, geographical indications (GIs) and traditional specialities guaranteed (TSGs), European Commission • ‘Gouda Holland’ EU-nr.: PGI-NL-00328-AM02 — 25.9.2018 BOB () BGA (X) • ZuivelNL, 2020, Zuivel in Cijfers 2019 • G.D. Jukema, P. Ramaekers en P. Berkhout (Red.), 2020. De Nederlandse agrarische sector in internationaal verband. Wageningen/Heerlen/Den Haag, Wageningen Economic Research en Centraal Bureau voor de Statistiek, Rapport 2020-001 • International Dairy Federation, Bulletin of the IDF N° 501/ 2019: The World Dairy Situation 2019

Websites • cbs.nl • rvo.nl • zuivelnl.org/zuivel-in-cijfers • ec.europa.eu/eurostat • ec.europa.eu/info/food-farming-f sheries/food-safety-and-quality/certif cation/ quality-labels/quality-schemes-explained_en • eda.euromilk.org/home.html • agroberichtenbuitenland.nl • topsectoragrifood.nl • duurzamezuivelketen.nl • globaldairyplatform.com • dairysustainabilityframework.org • saiplatform.org

Articles en Factsheets • Europa Nu, ‘Geograf sche aanduidingen – een Europese troef ter waarde van 75 Colophon miljard euro’, 20 april 2020 This publication was commissioned by Dutch Dairy Association (NZO). The publication • SAIplatform.org, ‘What does the SDP mean for our members and the dairy industry’, is for informative purposes and is intended for general use. It is not meant to provide 25 september 2019 professional advice in any form. Figures used for the infographics have been • saiplatform.org/our-work/news/what-does-the-sdp-means-for-our-members- provided by ZuivelNL. Numerous people from the dairy sector have contributed to and-the-dairy-industry this publication and we are very grateful for their enthusiasm and cooperation. If you • One-pager Dairy Sustainability Framework require further information, please contact NZO on +31 (0)71 219 1700 or [email protected]. • saiplatform.org/wp-content/uploads/2019/09/sdp-1-pager-f nal-2019-09-18.pdf • NZO Factsheet Marktontwikkelingen in de zuivel, 2020, nzo.nl/wp-content/ Concept and realisation: Axioma Communication, Baarn. www.axioma.nl uploads/2020/01/NZO-Factsheet-Marktontwikkelingen-in-de-zuivel-jan-2020.pdf Baarn Photography portraits (colour): Vincent Boon • Interactieve wereldkaart zuivelexport, nzo.nl/markt Printing: Printing Company Roelofs, Enschede • nlplatform.com/sustainable-inclusive-entrepreneurship/top-sectors

38 Dairy at the highest level Dairy at the highest level 39 Dairy at the highest level is a publication of the Dutch Dairy Association.