The dramatic butterfly effect for Spanish goatherds; the industry explodes the market with Dutch surpluses that China rejects

Published 2024년 7월 18일

Tridge summary

The Coordinator of Farmers and Livestock Organizations (COAG) reports that Spain's 5,340 goat milk producers are facing economic challenges due to declining prices since November 2023, worsened by an influx of cheaper Dutch goat milk rejected by China. This has led to prices falling below production costs, threatening the sustainability of these farms. Despite COAG's efforts to seek clarity from the dairy industry on milk needs, the industry favors cheaper raw materials. The sector, already burdened by rising costs from the Ukraine war, has experienced numerous farm closures and a decline in milk deliveries since 2018, even with increased farm intensification.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

The Coordinator of Farmers and Livestock Organizations (COAG) denounces the delicate situation faced by the 5,340 goat milk producers that exist today in our country. “After a time in which the sector has operated with some stability, since last November 2023 prices have begun to decline and again threaten to fall to thresholds incompatible with the economic sustainability of small and medium-sized farms,” has underlined the head of the COAG goat sector, Antonio Rodríguez, who warns of the dramatic "butterfly effect" for Spanish goatherds, as the industry is bursting the market with Dutch surpluses that China rejects. If in February 2024 the industry paid an average of 1,032 euros/liter for goat milk in Spain, it currently intends to drop to 0.85 euros/liter (both prices below the average cost of production in 2023 published by the Prices and Markets Observatory of the Junta de Andalucía, the autonomous community in which the majority of Spanish dairy goat farms are located and ...

Source: Agroinformacion