This chain partnership focuses on strengthening a sustainable revenue model and offering attractive financing conditions for dairy farmers. The agreement was officially signed earlier this week by Rabobank, Nestlé, and Vreugdenhil.
Sustainability rewarded with interest rate discount
Rabobank is offering participating dairy farmers in the Tomorrow’s Dairy program an interest rate discount on both existing and new loans. This discount applies to participants who meet minimum performance standards on a selection of the following indicators:
- Number of cows per hectare
- CO₂-equivalent emissions per kilogram of milk
- Share of protein from own land
- Share of permanent grassland
- Nitrogen surplus per hectare
- Productive lifespan of dairy cows
- Grazing practices
Combined with the Tomorrow’s Dairy premium program, this creates a more robust revenue model that truly rewards sustainable farming practices.
Working together for future-proof farming
"This collaboration is a great example of how Rabobank, as a cooperative bank, works with partners across the value chain to help shape the future of the agricultural sector," says Alex Datema, Director of Food & Agri Netherlands at Rabobank. "By providing financial support to dairy farmers in their sustainability efforts, we enable economic value and sustainability to go hand in hand."
Rob Trompetter, CFO of Nestlé Benelux, adds: "As a food company, we are well aware of our responsibility within the food chain. By working closely with partners such as Vreugdenhil, Rabobank, and the dairy farmers themselves, we can make a real impact. Tomorrow’s Dairy shows how collaboration can lead to concrete steps toward more sustainable agriculture and food systems."
"We believe in a sustainable and future-proof dairy supply chain," says Albert de Groot, CEO of Vreugdenhil Dairy Foods. "By collaborating with Nestlé and Rabobank, we can support dairy farmers in making significant strides in sustainability. This initiative aligns perfectly with our long-term vision."
Tailor-made farm plans
As part of the Tomorrow’s Dairy program, dairy farmers work with agricultural advisors to develop tailor-made business plans with measurable sustainability goals. With this agreement, Rabobank, Nestlé and Vreugdenhil are taking an important step toward a profitable and sustainable future for Dutch dairy farming.
About Tomorrow’s Dairy
Together with Nestlé, Vreugdenhil is investing over €50 million in the Tomorrow’s Dairy program (formerly known as Low Carbon Farming). The goal is to reduce greenhouse gas emissions by 50% by 2030 compared to 2018, through measures such as applying the principles of regenerative agriculture.
For more information, visit www.tomorrowsdairy.nl (website in Dutch) of Tomorrow's Dairy | Vreugdenhil Dairy Foods.
Photo above: Alex Datema (Director Food & Agro Rabobank), Albert de Groot (CEO Vreugdenhil Dairy Foods) en Rob Trompetter (CFO Nestlé Benelux) sign the agreement.
Alex Datema (Director Food & Agro Rabobank), Nicoline van Gerrevink (Executive Director Food System Transition team Rabobank), dairy farmer and participant Leendert van Staalduijnen, Albert de Groot (CEO Vreugdenhil Dairy Foods) and Rob Trompetter (CFO Nestlé Benelux).