EU Competition authorities are currently examining the deal and if all goes well, Lactalis will officially take over Skånemejerier on 1 March 2012.

"Lactalis is a major international player and hopefully this will create opportunities for Swedish farmers to reach more markets," says Christel Benfalk, CEO of the Swedish Dairy Association.

Mr Benfalk says it is too early to tell how sales will affect trade with the Swedish Dairy Association.