“Given the significant marketing and regulatory challenges that we’ve seen in California over the last few years, there was a mutual desire to reduce supply chain costs and create additional value and stability for our customers,” said Andrei Mikhalevsky, President and CEO California Dairies, Inc. “We would also like to help preserve the existing processing asset base in the State.”
With the establishment of a marketing agency in common, DFA and CDI will combine the raw milk marketing and transportation efforts for both cooperatives in California. The marketing agency in common also will allow both cooperatives to create market stability, milk balancing and enhanced customer service as part of short- and long-term strategies.
“Our organizations have worked closely over the past decade as the dairy industry in California, the U.S. and the world has become increasingly dynamic,” said Dennis Rodenbaugh, executive vice president of DFA and president of Council Operations. “We have similar goals and see tremendous opportunities with our two cooperatives working together in an increasingly close partnership.”
About California Dairies, Inc.
California Dairies, Inc. is the largest member-owned milk marketing and processing cooperative in California producing 40 percent of California’s milk. Co-owned by nearly 400 dairy producers who ship 16 billion pounds of Real California Milk annually, California Dairies, Inc. is a manufacturer of quality butter, fluid milk products and milk powders. In addition, California Dairies, Inc. is the home of two leading and well-respected brands of butter – Challenge and Danish Creamery. California Dairies’ quality dairy products are available in all 50 United States and in more than 50 foreign countries.
About Dairy Farmers of America:Dairy Farmers of America is a national, farmer-owned dairy cooperative focusing on quality, innovation and the future of family dairies. While supporting and serving 14,000 family farmers, DFA works with some of the world’s largest food companies to develop ingredients that satisfy their customers’ cravings while staying committed to social responsibility and ethical farming. For more information, please visit dfamilk.com.