In response to declining milk production volumes, German dairy major DMK is taking steps to optimize its network of production facilities. The company plans to close its site in Dargun and reduce capacity at three other facilities in Edewecht, Hohenwestedt, and Everswinkel by spring 2025. This decision will impact around 150 employees.
DMK, Germany’s largest dairy cooperative, explained that the affected sites primarily produce “standard products” rather than higher value lines. The combination of product makeup and expected decrease in milk volumes necessitated these adjustments. The company stated that it aims to maximize the value of processed raw milk by optimizing its plant structure and product portfolio.
With approximately 7,000 employees, DMK will engage in discussions with affected employees to explore alternative options within the company. The co-op emphasized its commitment to retaining valuable employees and reallocating them to other roles as needed.
In a statement, DMK highlighted the importance of continually optimizing plant structures in response to changes in milk volume, demand, and production capacity. By focusing on products with higher added value and reducing those with lower returns, the company aims to enhance overall value creation.
