The Mediterranean region is not a place where the dairy farming is popular at all, and that is mainly due to the climate in the region which is not really suitable for this type of farming.
Most of the dairy farming is located in the central part of the European continent, where there's mountain ranges and higher elevations, where there's no droughts or extremely high temperatures during the summer, and the grass is green for most of the year.
It would be completely false to state that dairy farming predominantly takes place on a ribbon of land along the Mediterranean. The correct option among all the options that are given in the question is the second option. I hope that this is the answer you were looking for and it has come to your help.