Arla uses AI to predict milk output more accurately
Arla has developed an artificial intelligence (AI) tool to better predict how much milk 1.5 million cows will produce in the future.
Every year, Arla Foods collects around 13 billion kilos of milk from its 10,300 farmer–owners across Northern Europe. Now, Arla has developed an artificial intelligence (AI) tool to better predict how much milk 1.5 million cows will produce in the future. Before, this kind of forecast involved a manual process and took days to create. But with the new tool, it only takes a few hours and is more accurate.
Using AI, Arla is able to create the milk intake forecast from a much richer data foundation. It includes things like seasonal changes, the number of farmers converting to new milk types, the farmers’ geographical characteristics, as well as how much milk they produce on a daily basis. The improved milk intake forecast means that 200 million kilos of milk can be utilized better each year. For example, it is now possible to make the distinction between how much milk should be collected from farmers in North Germany and West Germany three to five months ahead of time.
The new milk intake forecasting tool is implemented in all Arla’s markets across Europe, including Denmark, Germany, Sweden, the United Kingdom, Belgium, Luxembourg, and the Netherlands.
“The better we are at predicting what our milk intake will be, the better we can plan and optimize our entire value chain, which both improves profitability for our farmer–owners and drives sustainability. The new AI tool provides us with an insight into our supply of milk that we have never had before,” said Michael Bøgh Linde Vinther, director of global milk planning, Arla.