A transition in the Swedish milk market took place in late 2011 when the dairy giant Arla acquired Milko, reaching an almost monopolistic state. The Swedish Competition Authority required Arla to sell one of its recently acquired dairy plants, purchased from the country’s largest grocery retailer Coop. The company pledged to use the plant to sell its own private label milk for 5 percent lower than competitors, starting a private label milk frenzy with companies trying to outdo each other in price points. Due to this competition, Euromonitor expects private label milk sales to increase by 20 percent by the end of 2013.
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