Milk imports in Brazil have lost strength in recent months

Published Mar 16, 2021

Tridge summary

Brazil's dairy imports have decreased in recent months due to a rise in the exchange rate, falling from 22 thousand tons in December 2020 to 14.6 thousand tons in February 2021. This trend is expected to continue in March due to the high dollar and increase in prices in the Global Dairy Trade platform. The decrease in imports, which primarily come from Argentina and Uruguay, is attributed to a desire to reduce costs rather than a preference for higher quality. The situation is further complicated by rising costs of corn and soybean meal, used in animal feed.

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

Original content

The target of complaints by milk producers, the import of dairy products has lost strength in recent months as a result of the increase in the exchange rate. According to data from the Ministry of Economy compiled by the Rio Grande do Sul Dairy Industry Union (Sindilat), the total volume of imports made by Brazil fell from 22 thousand tons in December 2020 to 14.6 thousand tons in February this year. The calculation includes the importation of whole milk powder, skimmed milk powder, yoghurts, whey powder, butter and cheese. "Imports occur much more because of an opportunity to reduce costs, not because they have superior quality", justifies the executive secretary of Sindilat, Darlan Palharini. For March, a further drop in imports is expected, since, in addition to the high dollar, there is an expressive appreciation of the product in the auctions of the Global Dairy Trade (GDT) platform. The leader also points out that the impacts of the prices of corn and soybean meal, used in ...

Source: Milkpoint