Through a letter addressed to the Minister of Agriculture, the Colombian Association of Milk Processors (Asoleche) They asked the portfolio to take actions that help mitigate the crisis that the dairy sector is experiencing in Colombia.
(Read: They warn of a reduction in the purchase of milk from Colombian producers)
As Asoleche specifies, Concerns remain over the marked decline in dairy consumption in the countryshowing that there is still no “important” reactivation, since its decline completes almost three years.
According to Ana María Gómez, president of Asoleche, there is currently a critical situation in the sector, such as, the excess milk inventories, which in the case of powdered milk have increased by 234% since 2023.
(See more: Alpina trusts that consumption dynamics will improve)
“This reflects the serious slowdown in consumption and the impact on companies’ results. In addition, another concern is added and it is the phenomenon of the girl, taking into account that with greater rainfall the pastures are more abundant and milk production increases, which further aggravates the situation”says Gómez.
By 2022, consumption of milk and its derivatives fell by 9% and in 2023 it fell by 6%.
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On the other hand, the industrial union reiterated that “it is not true” that arbitrary decisions are being made aimed at not purchasing surplus volumes of milk, since this is a consequence of low consumer demand.
(See more: ‘Taxes make the cost structure of the dairy industry heavier’: Asoleche)
“The solution to the crisis and the sustainability of the dairy sector is the responsibility of all the actors in the chain and not a single link. Asoleche reiterates the invitation to the National Government and producer unions to work articulately and jointly”says the union.
Likewise, the president of Asoleche reiterated that since consumption of the final product has slowed, This has generated a backward effect in the chain for all links.
(Read also: The Government’s idea to reduce high milk inventories and promote national purchase)
“The negative consequences are impacting us all, but precisely for this reason we make a kind call to stop pointing accusing fingers at specific actors and address the crisis in a transversal and inter-institutional way.“, Explain.
Milk
PHOTO: iStock
Taking into account the crisis that the sector is facing, lIndustrialists put forward a series of proposals to effectively address the challenges of the dairy sector.
(See: Asoleche sets off alarms due to a drop in dairy consumption and high prices)
Initially, it is proposed to expand the conditions to participate in public purchasing, auction and export incentive programs, in order to boost the market. In addition, They highlight the need to purchase surpluses at special prices that allow inventories to be evacuated for export.
Likewise, They insist that technical adjustments must be made to dairy production to adjust volumes to current demand, as well as a national consumer campaign with the support of the government and the private sector.
(Read more: ‘We hope for associative industrialization processes of the dairy farmers’: Petro)
“The dairy sector faces a monumental challenge that demands an urgent reaction through measures such as those proposed to overcome the crisis and ensure the sustainability of all links in the chain. Asoleche insists on coordination to implement immediate actions to revitalize this vital sector for the country’s economy and nutrition.“, they conclude.
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