Brazil: Rise in dairy imports scares Rio Grande do Sul producers

Dairy

Brazil

Published May 26, 2023

Tridge summary

The growth in dairy imports in the first quarter has scared producers in Rio Grande do Sul. This year, Brazilian purchases of milk, cream and dairy products (except butter and cheese) from Argentina and Uruguay compared to the same period last year jumped by 286.4% in value, reaching US$ 263.2 million, and 230.6% in volume, reaching 69.9 thousand tons, according to data from the federal government's Comex Stat platform. On the other hand, the country's exports fell 37.2% in revenue, reaching US$ 25.4 million, and 30.7% in volume. Rio Grande do Sul is the third state that imported the most, applying US$ 34.1 million, with a variation of 230.7% over the period from January to April 2022. This year's data expand the concerns of producers.

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To continue reading the article, log in with your account or register with MilkPoint. Get access to exclusive content! “We are afraid, because there is a flood of milk from outside the country and we have to have some protective measure”, highlighted the president of the Association of Dutch Cattle Breeders of Rio Grande do Sul (Gadolando), Marcos Tang. The executive secretary of the Dairy Industry Union of RS (Sindilat), Darlan Palharini, says that the price of the raw material paid to state producers is above the Mercosur market value and that Argentina and Uruguay have public policies of support to the segment. According to the director, the Argentine government approved subsidies to producers at the end of last year and Uruguay granted lines of credit with terms of up to 13 years for producers and industry. "Our concern is that we do not have a State policy to deal with this, because reducing the cost of production is not immediately possible", he declared. According to ...

Source: Milkpoint