Again they are summoned farmers protests. This time specifically in the milk production and distribution sector. They manifest with the purpose of achieving a better profit sharing. Because production costs have increased and producers barely meet them. Do you want to have all the details? We tell you.
What's going on?
The agricultural and livestock sector returns to protests. This time the affected person is the world of milk. Due to the suffering suffered by the sector as a result of increase in production costs. However, the agricultural, distribution and industry organizations did not reach any agreement. Thus provoking, not giving way to crisis at the Mesa de la Leche convened by the Ministry of Agriculture. As a consequence, they are being carried out farmers protests around all of Spain.
One of the main reasons for these mobilizations is the increase in production costs. This supposes an increase of, more or less, four cents per liter. Especially caused by feed and energy or light. To find a solution, they will continue the conversations for the next few weeks. Likewise, the Administration recalled compliance with the regulations in force. This requires that farmers, at a minimum, pay them the invested in costs.
The Agency for Information and Control of the Food Chain (AICA) will be in charge of monitoring the implementation of these regulations. To do this, it will review the contract policy. In addition, there are various unwritten agreements to ensure that consumer sales prices comply with what was classified as a sustainable price. Estimated at 0,60 euros per liter. Thus, progressively eliminating from the sale the milk offered by less than 0 euros. All this on the shelves, not in price increases at origin.
Why are there protests from dairy farmers?
The head of the dairy sector in the Union of Small Farmers, UPA, leads the protest of farmers. Directly attacking the French multinational Lactalis. This was acquired by the Puleva company last decade. Currently, it acquires a share of milk purchases close to 30%. Thanks to dairy brands like Puleva, Lauki, President or RAM. In addition, they also have cheeses such as Flor de Esgueva or Gran Capitán. However, he is in the spotlight for practicing a low price policy different from France.
Santalla, in the same way, criticizes the position of Central Lechera Asturiana. They accuse the brand of paying low prices for purchases from farmers not associated with the cooperative. Likewise, it argues that the problem would be solved by complying with the Chain Law. In other words, the Administration should oblige pay cost prices. In addition to invalidating contracts that do not meet that condition.
The future?
The last few years have reflected a annual reduction of about 750 farms. Less than 12.000 of them staying alive. In addition, the Administration intends limit the number of animals to 850 in large farms. Although these are in a period of slight production growth. Getting up to 7,5 million tons. So what are the farmers protests? What is expected to happen in the future of milk?
The head of UPA is betting that there will be a rise of several cents by the distribution. However, he adds that what is important about this increase is that it is distributed to the ranchers. Thus preventing the industry from taking it. The person in charge of the sector within the Coordinator of Organizations of Farmers and Ranchers (COAG) is Rosario Arredondo. She has estimated that the increases from feed and the rest of the means of production have led to an increase. So much so that the costs they have risen 2.800 euros per month.
Likewise, Arredondo corroborates the criticisms of the Lactalis and Central Lechera Asturiana firms. It explodes against the policy that discriminates in prices to farmers according to the volume of milk delivered. In addition, he considers that the rise of four cents would help save the farms. Without posing any problem to the consumer who is already paying higher prices. "If this does not change, small and medium farms We're closing. There is no relief in an already depopulated Spain supported by livestock”He assures.
As the dairy sector 🥛 bleeds to skyrocketing costs, we find companies like @IFAGroup who give away milk at a price even lower than what it costs us to produce it to farmers. ILLEGAL. UNFAIR. DENUCIABLE. We demand the withdrawal of the offer 😡 pic.twitter.com/Oc4ywEMRkq
- UPA (@UPA_Federal) November 17, 2021
The milk sector is suffering the same injustices that were reported in the SOSRural. In other words, production costs are increasing and profits are being distributed unevenly. Consumers pay more for the product. But this increase is not being directed to the producers. Therefore, these farmers protests. And, from our website, the we fully support. What do you think?
