Animal disease outbreaks have been another challenge to EU milk deliveries in 2026, according to the US Department of Agriculture’s Foreign Agricultural Service (FAS).

Bluetongue virus (BTV) has been spreading to southern Europe since the late 1990s, with new serotypes also present in northern Europe since 2006. In 2023, a new serotype, BTV-3, was detected in northern and western Europe and spread to neighbouring countries. Only some eastern member states are currently recognised as BTV free, but many affected member states apply vaccination. In the Netherlands, BTV has not been detected in 2026, reportedly because of immunity built up through infection and vaccination. Cases in Germany declined considerably compared with the previous two years. In France, BTV-8 outbreaks declined sharply, but BTV-3 is still spreading.

Epizootic haemorrhagic disease (EHD) was confirmed in western France in 2025, but in decreasing numbers, with no new outbreaks since June 1, 2026. Lumpy skin disease (LSD) was detected in the EU in 2025, initially in Italy, followed by outbreaks in France and Spain. France has detected no new LSD outbreaks since January 2, 2026. Spain and Italy reported outbreaks in 2026, with strict control measures and vaccination campaigns in place, and Spain lifted its restrictions on April 29, 2026.

The new Shamonda virus spread rapidly across France throughout 2026, with confirmed cases in 16 departments as of August 20 and indications that nationwide circulation is imminent. In Spain, type 1 has been detected on cattle farms in the provinces of Cordoba, Toledo, Avila and Madrid, and type 2 has been confirmed in Cantabria. In Germany, cases in cattle have been detected mostly in the south, in Baden-Wuerttemberg.

Transmitted mainly by culicoides midges and the movement of infected, often asymptomatic animals, the virus affects cattle of all ages and reproductive stages. It causes variable clinical signs and raises concerns about an impending wave of abortions in both dairy and beef herds. It is unclear how prevalent the virus is in dairy herds because Shamonda infections are not mandated to be reported.

Symptoms of BTV, LSD and Shamonda are commonly mild in dairy cows, but the diseases can cause a temporary drop in milk yield, fertility problems and elevated mortality, which affect cattle inventories and milk production.

FAS said these factors, combined with the problem of young farmers not taking over farms, will likely lead to further market consolidation and farm closures throughout 2026. On June 1, 2026, Denmark’s Arla Foods and German processor DMK merged under the Arla name to form Europe’s leading dairy cooperative. Farmer members of both approved the merger in June 2025, and the European Commission cleared it in May 2026. Dutch FrieslandCampina and Belgian Milcobel finalised their merger on January 1, 2026, after receiving Commission approval in October 2025.