Sustained by the domestic market

Vacas comiendoThe price of milk it is located in a rut and depending on the domestic consumption of dairy products. The lower supplementation observed in the drums and the weather conditions have put pressure on the supply of milk, generating a decline that has underpinned the price of the raw material. In the chart below we look at the evolution of the producer price and the FOB price of the milk powder (LPE), our main dairy product exported. There it is clear that the domestic market is the one that is holding the price to the producer

 

ScreenHunter_340 Apr. 20 23.17

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