Liconsa Pays Two Weeks of Overdue Subsidies: Distributes 24 Million Pesos
Source: dairynews.today
Liconsa has resolved two weeks of overdue payments to dairy farmers, committing to timely future payments. However, challenges with the subsidy pricing system remain.
Liconsa has addressed two weeks of overdue payments for dairy farmers, disbursing approximately 24 million pesos. As of the past Tuesday, the Mexican dairy agency still needs to cover another seven days of product payments.
Dairy producers have been reassured that the remaining dues will be settled by Friday, and subsequent payments are promised to be timely.
This resolution comes amid broader concerns in the dairy sector, where farmers call for a unified price of 11.50 pesos, opposed to the current bifurcated payment system obligated by 2025's operating rules - 7.05 pesos as base and 4.45 pesos as a subsidy.
This dual system is perceived as detrimental by farmers, impairing their financial stability. There's a scheduled meeting next week in Mexico City, hosted by the state government, to address these pricing concerns.
Farmers pointed out that while 2024 guaranteed a price of 8.60 pesos, this year's decrease has hurt the market viability. When farmers attempt to sell to third parties, they often face offers of only 7 pesos, a figure significantly below what they see as the real value of 11.50 pesos.
Dairy producers have been reassured that the remaining dues will be settled by Friday, and subsequent payments are promised to be timely.
This resolution comes amid broader concerns in the dairy sector, where farmers call for a unified price of 11.50 pesos, opposed to the current bifurcated payment system obligated by 2025's operating rules - 7.05 pesos as base and 4.45 pesos as a subsidy.
This dual system is perceived as detrimental by farmers, impairing their financial stability. There's a scheduled meeting next week in Mexico City, hosted by the state government, to address these pricing concerns.
Farmers pointed out that while 2024 guaranteed a price of 8.60 pesos, this year's decrease has hurt the market viability. When farmers attempt to sell to third parties, they often face offers of only 7 pesos, a figure significantly below what they see as the real value of 11.50 pesos.
