California Dairies

What California Dairies does

California Dairies, Inc. (CDI) is a privately held, farmer-owned dairy marketing and processing cooperative headquartered in Visalia, California, co-owned by nearly 300 independent family-owned dairy farms spanning from San Diego County to Sacramento County. Established in 1999 through the merger of California Milk Producers, Danish Creamery Association, and San Joaquin Valley Dairymen, CDI processes 40% of California's raw milk — approximately 17 billion pounds annually — with all member-farm milk transformed into finished products within 24 hours of arrival. The company operates eight manufacturing facilities (Visalia, Fresno, Los Banos, Tipton, Turlock North, Turlock South, Bakersfield, plus a Dublin commercial office) strategically located within 100 miles of major Pacific shipping ports.

CDI's core product portfolio is organized across four commodity platforms — butter, milk powder, nutritional milk powder, and fluid milk — supplemented by the 2025-launched ESL/UHT beverage line at Valley Natural Beverages. Butter output reaches 480 million pounds annually (20% of U.S. production), sold under the Challenge (100+ year heritage brand) and Danish Creamery labels. Milk powder output totals 900 million pounds annually (40% of U.S. production), marketed through the wholly owned DairyAmerica export platform reaching 50+ countries. The company holds the largest single evaporator-dryer in North America at its Visalia headquarters and operates specialty capabilities including lactoferrin production at Turlock North and a 2016 Innovation Center for nutritional powder R&D.

Revenue mechanics are B2B, quote-based, and undisclosed. The go-to-market is direct sales-led across four horizontal customer segments: private label retail, foodservice (restaurants, hotels, hospitals, schools), industrial/ingredient (confectionary, baking, prepared mixes), and export through DairyAmerica. CDI does not rely on advertising-led demand generation; instead, the cooperative model and scale (20% U.S. butter, 40% U.S. milk powder, 50% of U.S. milk powder exported under DairyAmerica) drive volume-based revenue. Pricing is not publicly disclosed and products are sold without consumer-facing price transparency. Distribution reaches all 50 U.S. states and 50+ countries through direct enterprise sales and major port access.

Name

California Dairies

Legal name

California Dairies, Inc.

Website

https://californiadairies.com

Company type

Private

Founded year

1999

Operating status

Operating

Headcount range

501–1,000 employees

Short description

California Dairies is a farmer-owned cooperative processing 40% of California's raw milk into butter (Challenge, Danish Creamery), milk powder (DairyAmerica), nutritional powders, and ESL/UHT beverages, selling B2B to private label retail, foodservice, industrial, and export customers across 50 U.S. states and 50+ countries.

Ownership category

akta.pro rank

Product category

Dairy Products Manufacturing

NAICS

Fluid Milk Manufacturing (311511), Dry, Condensed, and Evaporated Dairy Product Manufacturing (311514), Creamery Butter Manufacturing (311512), Dairy Product (except Frozen) Manufacturing (31151)

SIC

Dairy Products (2020), Food And Kindred Products (2000)

akta.pro primary industry

Fluid Milk & Cream Processing (AFAKAKAA)

akta.pro secondary industries

Dairy Spreads, Dips & Cream Cheese Manufacturing (AFAKAKAL), Dairy-Based Beverages Manufacturing (Flavored Milk, Lassi, Drinkable Yogurt) (AFAKAKAH)

Keywords

• Dairy manufacturing
• Milk powder processing
• Butter production
• Fluid milk supply
• Nutritional dairy ingredients

Headquarters

HQ city

Visalia

HQ country

United States

HQ region

North America

Offices8 records

Markets served

GTM type

B2B

Offering type

Hardware or Manufacturing

Cost components

Supply Chain, Operations, Personnel, Infrastructure, Technology or R&D, Marketing or Sales

Revenue model

1. Butter Sales: CDI is the #1 retail butter manufacturer in the nation, churning over 480 million pounds of fresh butter every year. Products include Challenge brand (retail, foodservice, industrial), quarter butter, solid butter, portion butter, whipped butter, bulk butter, and anhydrous milkfat/butter oil.
2. Milk Powder Sales: CDI manufactures approximately 900 million pounds (408,233 metric tons) of dried milk powder annually. Products include nonfat dry milk, skim milk powder, and buttermilk powder for domestic and export markets under the DairyAmerica brand.
3. Nutritional Milk Powder: Specialty nutritional milk powders including Milk Protein Isolate and Milk Protein Concentrate for high protein drinks, bars, infant products, yogurts, and cheeses.
4. Fluid Milk Products: CDI produces raw milk, condensed milk, skim milk, cream, buttermilk, ultra-filtered milk, and custom mixes and blends. On average, 400 milk tankers deliver fresh California milk to customer facilities every day.
5. ESL and UHT Beverages: Extended Shelf Life (ESL) and Ultra-High Temperature (UHT) dairy beverages produced at Valley Natural Beverages facility in Bakersfield, using advanced robotics and energy-efficient technologies.

Go-to-market motion1 record

Distribution channels4 records

Marketing channels4 records

Core offering

California Dairies, Inc. is a farmer-owned milk marketing and processing cooperative that converts raw milk from nearly 300 member dairies into butter, milk powder, nutritional milk powder, fluid milk products, and ESL/UHT aseptic dairy beverages. It manufactures approximately 480 million pounds of butter and 900 million pounds of dried milk powder annually, distributing finished dairy products to private label retail, foodservice, industrial food manufacturers, and export customers across all 50 U.S. states and 50+ countries.

Product overview

California Dairies, Inc. (CDI) is a farmer-owned milk marketing and processing cooperative offering a diversified portfolio of dairy products. The company operates as a platform-based business with four core product categories—Butter, Milk Powder, Nutritional Milk Powder, and Fluid Milk—supplemented by several branded sub-products. Butter and milk powder represent the primary commodity offerings, with butter (including Challenge and Danish Creamery brands) accounting for two-thirds of California's production, while milk powder under the DairyAmerica brand commands 50% of U.S. market share. Nutritional milk powders and fluid milk products round out the portfolio, with the 2025 launch of Valley Natural Beverages expanding into ESL/UHT beverages. Products serve retail, foodservice, industrial, and export markets across all 50 U.S. states and more than 50 countries.

Differentiator

Problem solved

Functional benefit

Brands

• Challenge: Leading butter brand delivering high-quality dairy products for over 100 years, with strength in foodservice business and supported by two iconic retail brands: Challenge and Danish Creamery.
• Danish Creamery
• DairyAmerica

Products and services

• Butter Butter products including Challenge and Danish Creamery branded retail butter, quarter butter, solid butter, portion butter, whipped butter, spreadable butter with canola oil, bulk butter, and anhydrous milkfat (AMF) and butter oil. Sold to private label retail, foodservice, and industrial customers across the U.S.
• Milk Powder Spray-dried milk powder products including nonfat dry milk, skim milk powder, and buttermilk powder in multiple Grade A specifications (Low/Medium/High Heat, High-Heat Heat Stable, Low Spore, UHT Grade, Infant Grade). Manufactured under the DairyAmerica brand which holds approximately 50% of all U.S. milk powder market share; approximately 900 million pounds produced annually.
• Nutritional Milk Powder Specialty high-protein milk powders including Milk Protein Isolate (MPI) and Milk Protein Concentrate (MPC), used in high protein drinks and bars, infant products, yogurts, and cheeses.
• Fluid Milk Fluid milk products including raw milk, condensed milk, skim milk, Grade A sweet cream, buttermilk, ultra-filtered milk, and custom fluid milk mixes and blends. On average, 400 milk tankers deliver fresh California milk to customer facilities every day.
• Valley Natural Beverages (ESL/UHT Dairy Beverages) Extended shelf life (ESL) and aseptic ultra-high temperature (UHT) dairy beverages produced at the Valley Natural Beverages facility using advanced robotics and energy-efficient technologies. Initially opened with three processing lines, planned to expand to 10-12 lines and 400,000 square feet.
• Lactoferrin Specialty dairy protein (lactoferrin) produced at CDI's Turlock North facility, serving nutritional and functional dairy ingredient markets.
• Anhydrous Milkfat (AMF) and Butter Oil Anhydrous Milkfat (AMF) and butter oil with almost total removal of water and non-fat solids, packaged in totes or food-grade metal drums for industrial food manufacturing applications.

Quantifiable outcome

• 100% of member-owners' fresh, raw milk is transformed into dairy products within 24 hours of arrival at facilities
• +1 more outcomes

Named customers4 records

Segments4 records

Ideal customer profiles4 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Feature4 records

Partnerships

18 partnerships are on record, tiered minor and core.

• Agri-Mark, Inc.minorStrategic or Co-development Partner · 29 November 2022Agri-Mark co-owned DairyAmerica with CDI and O-AT-KA Milk Products. CDI acquired Agri-Mark's ownership rights in DairyAmerica effective January 1, 2023.
• O-AT-KA Milk ProductsminorStrategic or Co-development Partner · 29 November 2022O-AT-KA co-owned DairyAmerica with CDI and Agri-Mark. CDI acquired their ownership rights in DairyAmerica effective January 1, 2023, making DairyAmerica a wholly owned subsidiary of CDI.
• Dairy Farmers of AmericacoreStrategic or Co-development Partner · 10 July 2019CDI and DFA created a marketing agency in common to combine raw milk marketing and transportation efforts, create market stability, enhance customer service, and reduce supply chain costs in California.
• Hilmar Cheese CompanyminorOthers · 21 May 2019CDI acquired a milk powder facility from Hilmar Cheese Company in Turlock, CA, originally constructed in 2015 with advanced processing technology.
• Land O'Lakes, Inc.coreStrategic or Co-development Partner · 7 May 2018CDI collaborated with Land O'Lakes and Dairy Farmers of America to support the California Federal Milk Marketing Order as proposed by USDA.
• American Dairy Products InstituteminorOthersCDI maintains membership and strong working relationships with ADPI, an association involved in the dairy industry.
• California Milk Advisory BoardcoreOthersCDI partners with CMAB, which promotes California dairy products and Real California Milk branding.
• Dairy Management Inc.coreOthersCDI works with DMI, which leads national dairy promotion and research initiatives funded by dairy farmers.
• National Milk Producers FederationcoreOthersCDI partners with NMPF, which develops policies and programs for dairy producers and cooperatively owned processing companies.
• FARM Program (Farmers Assuring Responsible Management)coreOthersCDI was one of the first dairy cooperatives to adopt the National Dairy FARM Program in 2010, focusing on animal care, antibiotic stewardship, biosecurity, environmental stewardship, and workforce development.
• California Creamery Operators AssociationminorOthersCDI maintains membership in CCOA, a California dairy industry association.
• Dairy CaresminorOthersCDI co-founded Dairy Cares in 2011, a non-profit pursuing research and innovation in sustainable dairy practices in California.
• Dairy Council of CaliforniaminorOthersCDI partners with the Dairy Council of California to support nutrition education and health initiatives.
• Innovation Center for U.S. DairycoreStrategic or Co-development PartnerCDI works with the Innovation Center for U.S. Dairy on sustainability initiatives, stewardship commitments, and industry innovation. CDI's CEO Brad Anderson served as Chair of the Innovation Center's Stewardship Commitment Taskforce and CEO Taskforce on Greenhouse Gas Reporting.
• U.S. Dairy Export CouncilcoreOthersCDI works with USDEC to support international dairy trade and export market development.
• Undeniably DairyminorOthersCDI participates in the Undeniably Dairy campaign to promote dairy products and communicate industry sustainability efforts.
• EcoVadisminorOthersCDI works with EcoVadis for sustainability ratings and assessments.
• SAI PlatformminorOthersCDI participates in SAI Platform and the Sustainable Dairy Partnership for sustainable dairy sourcing initiatives.

Scale indicators13 records

Recent moves10 records

Expansion highlights5 records

Direct peers

• Dairy Farmers of America: Largest U.S. dairy cooperative, comparable in scale and cooperative structure to CDI. DFA partners with CDI on raw milk marketing and transportation in California (2019 joint marketing agency), making them the closest direct peer in B2B dairy processing.
• Land O'Lakes: Major farmer-owned U.S. dairy cooperative with significant butter and dairy foods operations. Land O'Lakes has collaborated with CDI on federal milk marketing order advocacy, making it a direct structural peer in cooperative dairy processing.
• Hilmar Cheese Company: Private California dairy processor with cheese and milk powder operations. CDI acquired Hilmar's Turlock milk powder facility in 2019, making Hilmar a direct peer in California dairy manufacturing with overlapping ingredient portfolios.
• Darigold: Owned by Dairy Farmers of America, Darigold is a major Northwest U.S. dairy cooperative producing butter, milk powder, and fluid milk — directly comparable in product mix and cooperative model to CDI.
• Agri-Mark: Northeast U.S. dairy cooperative (Cabot Creamery, Mcadam) that previously co-owned DairyAmerica alongside CDI. Agri-Mark divested its DairyAmerica stake to CDI in 2023 and operates a comparable cooperative butter/powder model.
• O-AT-KA Milk Products: Upstate New York dairy cooperative specializing in butter, milk powder, and condensed milk for industrial customers. Previously co-owned DairyAmerica with CDI; comparable in B2B dairy ingredient focus.

Broad incumbents

• Saputo: Large publicly traded Canadian dairy processor with extensive U.S. operations in cheese, fluid milk, and dairy ingredients. Saputo competes with CDI across multiple categories but as a broader portfolio incumbent rather than a cooperative specialist.
• Schreiber Foods: Major private U.S. dairy processor with global operations in cheese, cultured products, and dairy ingredients. Competes with CDI in B2B dairy ingredient supply to foodservice and industrial customers.
• Leprino Foods: World's largest mozzarella cheese manufacturer and major dairy ingredient supplier. Leprino's CFO Phil Girard previously worked there before joining CDI, and the firm competes with CDI in industrial dairy ingredient supply to foodservice and food manufacturers.

Emerging players

• Glanbia Nutritionals: Global nutrition solutions and dairy ingredient supplier with operations in cheese and performance protein powders. Comparable to CDI's growing nutritional milk powder (MPI/MPC) and lactoferrin product lines, especially in protein ingredient end markets.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat5 records

Key risks7 records

Key highlights7 records

Customer concentration

• Xx.com/caldairiesinc

Revenue estimate

Valuation estimate

Number of profiles

Profiles10 records

Subsidiaries3 records

Funding overview

Funding rounds1 record

Investors1 record

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments2 records

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about California Dairies