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The dairy farms suffer from the drought and the price of milk has fallen again

The dairy farms suffer from the drought and the price of milk has fallen again

The losses correspond not only to the milk that was no longer produced or that had to be discarded, but also to the effects that the drought will have in the medium and long term: without moisture in the soil, the oats that would be a quick reserve for autumn cannot be planted, and the need to go out and buy feed for the cows is increasing, with increases reaching up to 10% per ton. The case of the budget to do so is different.

The high levels of indebtedness that the tamberos are reaching led to their requesting that Conaprole issue active support tools, taking losses instead of just granting financing lines Although they are of some help, the producers end up paying for them.

The price of powdered milk, falling

Although the dairy market had good exports during January, with a year-on-year growth of 38%, the truth is that the price of whole powdered milk maintains its downward trend for a year. With a fall of 1.5% last Tuesday, it closed the value of the ton at 3,414 dollars, and marked the third drop so far in 2023.

Taking a closer look at the figure, whole powdered milk fell 2%, while skimmed milk also traded 2.4% less.

A year ago, whole milk powder had peaked at $4,457 per ton, the highest value in the last five years. However, and since then, the fall has been general, with some recoveries in June and September.

Source: Ambito

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