Longueuil, Que. – Agropur cooperative, the largest dairy co-operative in Canada, has announced plans to merge with Bedford, N.S.-based Farmers Co-operative Dairy Ltd.

“The merger will allow us to better serve our customers on a national basis, and support the overall objective of consolidating the co-operative milk processing sector for the benefit of the member dairy farmers,” said Serge Riendeau, chairman of Agropur and a dairy farmer in Coaticook, Que., in making the announcement.

Founded in 1938, Agropur is operated by 3,288 dairy producer owners. The company processes more than 3.2 billion litres of milk per year at 25 facilities across Canada and the U.S., with sales of $3.6 billion. Farmers Dairy has operated in Atlantic Canada for more than 90 years, and is owned by 116 dairy producers, with sales of $176 million annually.

The deal is expected to close by April 2013.