Dairy coop Tine churns up lower sales

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Tine, the dairy cooperative that regulates and still dominates the Norwegian market, reported weaker sales and profits in the second quarter of this year. Tine blamed increased competition both nationally and internationally.

Norway still has the most expensive milk in the world, because of Tine’s role as market regulator that sets prices for dairy products and limits foreign products from entering the market. Tine blamed the lower profits of NOK 416 million, down from NOK 488 million, on a drop in demand for whole milk and some other products used in food preparation.

Tine’s management, embarrassed by Norway’s butter shortage a few years ago, admitted it needed to become more competitive at a time when other Norwegian producers are challenging Tine’s monopoly and consumers become more demanding as well.

newsinenglish.no staff