Food News

These investments reflect the demand for protein-rich dairy products, which are becoming increasingly important. This is also evident in Germany, where skyr and cottage cheese are particularly in demand.

Germany is a key growth market for skyr in Europe. Skyr is a traditional Icelandic dairy product made from cow’s or sheep’s milk. Under German food legislation, skyr is classified as a low-fat cream cheese. According to the company, the product recorded sales growth of 62 per cent in the first half of 2026. To meet the long-term rise in demand, 35 million euros alone are being invested in the expansion of the site in Upahl, Mecklenburg-Western Pomerania. At the same time, demand is also rising for cottage cheese, a grainy fresh cheese product. Arla is investing in the expansion of production in Falkenberg, Sweden, Europe’s largest production site for cottage cheese. In Germany, the product is sold under the Milram brand and recorded 40 per cent growth in the first half of the year. The product is very much in vogue because it has a high protein content and a low milk fat content.

Author: Dr Frank Mörsberger, AGROLAB GROUP