When the international market for dairy products is depressed as in the present, the economy of the strings dairy exporting countries depends on their domestic markets.
To have a reference to the levels of consumption, we present the following chart with the statistics of the countries with records:
Argentina, with 209 Eq.liters/capita, is among the countries with the highest consumption of milk from the planet (Quartile 1), comfortably above the 106 liters of the world average and also of 160 litres recommended by the World Health Organization (WHO). To absorb the current exportable surplus should increase fuel consumption by 20%, which we would place in the 250 lt/capita level of consumption of the united States, (and would be margin even to grow up knowing that the countries that lead the grid are Finland with 361 lts., Sweden 354 lts. and the Netherlands with 320 liters/capita).
The consumption of dairy products in Argentina presents an elasticity of 0.5 with respect to the income, or is that for every 10% increase or decrease of the national GDP, increases or decreases a 5% consumption. On average the expenditure on dairy represents 8% of the expenditure of the population in food. The elasticity of consumption with respect to price varies with the greater or lesser supply a substitute of the products, so that before bidding surrogate under the greater is the elasticity of consumption to price.
Returning to our goal of increasing consumption by 20%, compared with the USA, where it emerges from the Box below which the difference occurs in the consumption of Milk (fluid, and flavored in all versions):
The price of the gondola are similar to the milk fluid, the more expensive our soft cheese and hard, and cheaper than the semi-hard norteamericamericano:
When the international market for dairy products is depressed as in the present, the economy of the strings dairy exporting countries depends on their domestic markets.
