Brazil: After July's highs, dairy market drops in August

Published 2022년 8월 24일

Tridge summary

The dairy market in Brazil experienced a surge in prices in July, with a 17.2% increase in the reference value for standard milk. However, in the last three weeks, prices have fallen by 10.4%. The Paritary Council of Milk Producers and Industries of Paraná (Conseleite-PR) projected the reference value for milk delivered in August to be paid in September as R$ 2.8195. The price drop is due to the performance of products such as mozzarella, UHT milk, and cheese, which experienced significant price drops in August. The fall in prices is also linked to the purchasing power of the population and the challenges faced by the sector, including rising production costs and climate issues.
Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

The dairy market had another appreciation in July, with a general rise in prices. The reference value – used as a basis for negotiations between producers and industries – recorded a rise of 17.2% for the liter of standard milk delivered in July, paid in August. In the last three weeks, however, the sector has retreated consecutively, shrinking 10.4%. With this, the projections are that the reference value is R$ 2.8195 for milk delivered in August to be paid in September. The scenario was presented at a meeting of the Paritary Council of Milk Producers / Industries of Paraná (Conseleite-PR), held this Tuesday (23). “For July, we had expectations of record prices. This high was confirmed, but in August the market turned. Now, we are verifying a gradual decline in important derivatives”, said the vice president of Conseleite-PR, Ronei Volpi – who represents the FAEP/SENAR-PR System in the collegiate. “In addition, this year, we have had a lower funding compared to previous years. ...
Source: Milkpoint

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