EIB Grants €70M Loan to Sodiaal to Drive Innovation in European Dairy Sector

The European Investment Bank (EIB) has approved a €70 million loan to Sodiaal, France’s largest dairy cooperative and the third-largest in Europe, to finance its research, development, and innovation programmes between 2025 and 2028. This marks a significant milestone for both the cooperative and European agriculture, as it underscores the EU’s commitment to sustainable farming, competitiveness, and technological transformation.

Strengthening a Key Player in the Dairy Industry

Sodiaal, with more than 8 000 dairy farms and over 14 500 member farmers, owns household brands such as Yoplait, Candia, and Entremont. Its activities span the production of drinking milk, cheeses, butters, yogurts, infant nutrition products, and specialized dairy ingredients. The cooperative plays a crucial role not only in the French economy but also in Europe’s wider agri-food industry, which is facing increasing global competition.

This financing builds on a long-term partnership, following the EIB’s initial €40 million loan to Sodiaal in 2018 for similar innovation-focused initiatives. The renewed support demonstrates confidence in the cooperative’s strategy to modernize, innovate, and adapt to changing consumer expectations while supporting farmers through volatile market conditions.

Innovation at the Core of Sodiaal’s Strategy

Sodiaal’s “Growing Together” plan puts innovation at the heart of its operations. Managing Director Antoine Collette highlighted that the cooperative is investing in carbon reduction measures, cutting back on plastic packaging, lowering water usage across production sites, and aligning more closely with consumer demand for healthier and sustainable food options.

For farmers, innovation means more than new technology—it ensures economic stability and generational renewal. Cooperative Chairman Jean-Michel Javelle emphasized that defending the French origin of milk, ensuring sustainable practices, and supporting new generations of farmers are central to Sodiaal’s mission.

EIB and EU Support Through TechEU and InvestEU

The loan falls under the EIB’s new TechEU programme, which seeks to provide large-scale support for research, digital transformation, and sustainable practices across Europe’s economy. Backed by a guarantee under the EU’s InvestEU programme, this initiative prioritizes strategic investments that bolster innovation, competitiveness, and sustainability.

EIB Vice-President Ambroise Fayolle explained that innovation in the dairy and agri-food sectors is crucial to meeting climate targets and ensuring long-term competitiveness. He noted that Sodiaal’s efforts to develop new products, cut CO2 emissions, and transition to cleaner energy reflect precisely the kind of transformation Europe must pursue.

Policy and Agricultural Significance

European Commissioner for Agriculture and Food Christophe Hansen welcomed the investment, stressing that farmers are entrepreneurs and innovators in their own right. By adopting new technologies such as smart feeding and milking machines, cooperatives like Sodiaal are making European agriculture more sustainable, efficient, and resilient.

This loan is therefore not only a financial boost but also a recognition of the vital role farmers play in Europe’s transition toward greener, smarter, and more competitive agriculture. It highlights the EU’s broader strategy of linking food security with sustainability and innovation.

Looking Ahead

As the dairy sector faces mounting pressure from climate change, global competition, and shifting consumer habits, Sodiaal’s innovation-driven approach is expected to serve as a model for other cooperatives across Europe. With the support of the EIB and the EU, Sodiaal is better positioned to deliver on its dual goals: economic profitability and environmental sustainability.

This long-term collaboration between the cooperative and the EIB signals a shared commitment to ensuring that dairy production in France and Europe remains competitive, sustainable, and future-ready.