On Friday 29 May 2026, French dairy company Lactalis issued a press release in relation to the recent news that the group had taken the decision not to renew its milk collection contract in Luxembourg.

In the statement, Lactalis confirmed that on Thursday 28 May 2026 it had informed Luxembourg producers of its “difficult but unavoidable” decision not to continue its milk collection activities in Luxembourg. Aware of the impact of this decision, Lactalis stated that it is committed to supporting producers in the search for solutions.

Lactalis said: “For several years, international dairy ingredient markets have experienced significant volatility and intensifying competition, in which Europe has become less competitive. This international environment requires Lactalis to reduce its exposure to these very low value-added markets.”

Lactalis said that its Luxembourg milk collection operations are part of a model that has historically been geared towards these international dairy ingredient markets, where prices have for several years been far below Lactalis’ milk purchasing conditions in Luxembourg.

In Luxembourg, Lactalis currently collects around 50 million litres of milk from 68 producers. The collected milk is pre-treated and condensed at its Eschweiler site before being transported to dairy ingredient production sites serving these low-value international markets.

Following the announcement, Lactalis said it is “committed to maintaining open and regular dialogue with the producers concerned”.

The group said it intends to examine together with them, in a responsible and collaborative manner, the conditions that would make it possible to support the continuation of their activities under the best possible circumstances.

In the coming days, Lactalis will work with the producers’ office and in cooperation with local institutions to define the transition arrangements, with attention paid to identifying appropriate solutions for each producer. It said these arrangements, to be discussed with the producers’ office, could take the form of an extension of notice periods or the provision of specific support to help identify solutions.

Lactalis stressed that during this period, it will remain “fully mobilised and attentive to the needs of each producer concerned” and that the development does not affect Lactalis’ presence at the Eschweiler site.

Lactalis also stated its commitment to continuing the development of the historic EKABE brand in Luxembourg.