Question

What is the typical ownership structure of Danish dairy co-operatives?

• A. Owned by a single large agricultural conglomerate
• B. Controlled by external private investors
• C. Democratically owned and controlled by member farmers
• D. Managed by a government-appointed board

Answer 1

Answer:

C. Democratically owned and controlled by member farmers

DENMARK

• The Dairy Farm & Co-operative Hub of Europe

Basic Facts

• Capital: Copenhagen

• Currency: Danish Krone (DKK)

Why is Denmark World-Renowned?

• Known as the “Dairy Farm of Europe”

• Famous for dairying and agricultural co-operation

• No formal Co-operative legislation – the movement grew voluntarily

• Birthplace & promoter of Single Purpose Societies

Called “Co-operative Denmark” due to widespread success in:

• Agriculture

• Dairying

• Consumer goods

• Bacon, Eggs

• Insurance

• Seen as the “Torchbearer of the Co-operative Movement” globally Because of the success of cooperatives in agriculture, dairying, consumer, bacon, egg, insurance etc. the country is also known as cooperative Denmark.

• Co-operatives in Denmark grew as a voluntary movement

Education & Co-operative Awareness:

• Folk High School

• Founded by N.F.S. Grundtvig

• Established as early as 1814 with compulsory education

Aimed at teaching:

• Simple living

• Theory and practice of co-operation

• Academic and life skills

Played a vital role in shaping the co-operative mindset

Three-tiered Schooling System:

• Folk High Schools – Philosophy & co-operative values

• Rural Schools – Household economy, especially for women

• Agricultural Schools – Technical + general education → Referred to as “hot beds” of the co-operative movement

Dairy Co-operatives in Denmark

• Cream Separator: Invented by L.C. Nielsen (1878)

• Father of Dairy Co-operatives: Stilling Anderson

• Started first dairy co-op in 1882 in Jutland

• LURBRAND: Trade name under which co-op dairy products are sold

• Bull Clubs: Cattle Breeding Societies

• Young Farmers Club: Promoted co-operative spirit among rural youth

• Feature: Unlimited liability for dairy co-op members

Co-operation in Allied Sectors

Bacon Industry

• Co-operative Bacon Industry at Horsens (1887)

• Members had limited liability

Poultry Development

• Co-operative Egg Export Associations (1895)

• DAAG (1975) – Central egg marketing & selling society

Insurance

• ALKA – Co-operative Insurance Society (established in 1944)

Consumer Co-operatives

• FDB (1896) – Federation of Danish Co-operative Stores → Based on Rochdale Principles → Became Coop Amba in 2013

• FDB recognize as apex consumer organization society in 1973