Arla launches plant-based version of Lurpak in Denmark amid dairy farmers’ backlash

Last year, Arla announced plans to launch a plant-based version of its popular Lurpak product. Today, that product has officially hit the shelves of Danish stores, sparking mixed reactions. The Danish Dairy Farmers Association (LDM), representing over half of Denmark’s dairy producers, has expressed dissatisfaction with the launch. Some of these producers are co-owners of Arla, which is owned by 2,400 Danish farmers.

Christian Sievertsen, LDM’s director, quickly corrected a misunderstanding when the product was referred to as “plant-based butter,” clarifying that it is not butter but a margarine. According to regulations, only products derived from dairy can be labeled butter. LDM Chairman Kjartan Poulsen suggested that Arla should have branded the new product under Jörd, its line of oat-based products, arguing that using the Lurpak name misappropriates its longstanding brand identity. He expressed concerns that the move may not resonate well with consumers.

Peter Giørtz-Carlsen, Arla Foods Europe’s managing director, acknowledged differing opinions on the product but believes the existing brand loyalty makes Lurpak an appropriate platform for launching a plant-based alternative. He noted a trend toward innovation to attract younger consumers with varying purchasing habits.

Although Arla did not engage in an interview, they refuted claims from LDM about the nature of the product, highlighting the need for rethinking their offerings. Experts suggest leveraging the Lurpak brand could enhance consumer trust, provided Arla clearly communicates the differences and maintains product integrity.