Drought Drives Milk Production Costs Up by 20%

The dairy sector in Mexico is facing a formidable challenge: drought. According to the Secretariat of Rural Development, this phenomenon has raised production costs by up to 20%, a critical situation impacting farmers and the profitability of farms. For milk producers and industry analysts, the problem isn't just water scarcity. It's also the rising cost of feed and forage, which are in short supply due to climatic conditions.
The impact of the drought is felt throughout the supply chain. The lack of rain forces producers to buy external feed, driving up operational costs and significantly reducing profit margins. Moreover, water stress affects the milk production of cows, resulting in a reduced amount of raw milk for dairy companies. This creates a vicious cycle threatening the industry's sustainability and the country's ability to satisfy national demand.
The vulnerability of cattle farming to climate change is clear. The drought not only affects producers but also national food security, as reduced production could lead to higher milk prices for the end consumer. Therefore, cooperation between the government and farmers is crucial to implement mitigation strategies, such as creating forage reserves, using efficient irrigation technologies, and accessing low-interest credit.
Beyond short-term solutions, the agricultural sector requires a long-term plan to tackle the effects of climate change. This includes investing in research and developing drought-resistant crops, improving grazing systems, and adopting more sustainable dairy farming practices. The aim is for the dairy industry to be more resilient and less dependent on climatic conditions, ensuring a stable and reliable milk supply in the future.