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Cogeca values positively the Friesland-Campina cooperative merger

Date

22 Dec 2008

Sections

Health & Consumers
Agriculture & Food

19 December 2008

Cogeca, representing European agri-cooperatives, welcomes the decision of the EU Commission to approve the merger plan submitted a year ago by the dairy cooperatives Friesland and Campina.

In particular, Cogeca recognises the positive stance taken by the EU Commission to approve the merger proposal therefore reflecting the interests not only of the Dutch farmers owning the cooperative, but of European consumers and taxpayers as well.
As a result of this cooperative merger, farmers will improve their long term competitive position in the global market. European consumers will benefit from the improved ability of the new dairy to invest in research and innovation activities in the food chain. This will result in new innovative product lines of quality products and so serving the needs of consumers. Cogeca also considers that cooperative firms play the key role for farmers to gain access to markets.

Therefore Cogeca draws the attention to the fact that the accompanying terms, obliging the merged dairy to divest a significant part of their operation are not economically efficient; neither from the farmers’ point of view nor from the point of view of the EU economy. In particular it is hard to see how providing an incentive to farmers to potentially withdraw from the cooperative can contribute to balancing powers in the food chain and thus it will not enhance the interests of both taxpayers and consumers.

For further information, please contact:
Prodromos Kakaitzis
Senior Policy Advisor
Tel.: +32 2 287 27 81
prodromos.kakaitzis@copa-cogeca.eu

Pekka Pesonen
Secretary General
Tel.: +32 2 287 27 22
pekka.pesonen@copa-cogeca.eu

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