Bolivia's Dairy Market Overview

Bolivia is carving out a significant niche within the regional dairy market, partly due to its strategic geographic location and membership in trade alliances such as the Andean Community (CAN). This positioning has enabled Bolivia to efficiently manage substantial volumes of both dairy imports and exports, bolstering its economic stature within South America.

Key Statistics

• Number of Dairy Cattle: Bolivia's dairy industry is supported by approximately 200,000 head of dairy cattle, which form the backbone of its national milk production capacity.
• Milk Production Volume: The country boasts an annual production rate of about 600 million liters of milk, sufficiently catering to domestic consumption while also addressing regional demands.
• Milk Processing Volume: Out of the total milk produced, roughly 400 million liters undergo processing each year within Bolivia's prominent dairy enterprises.
• Cheese Production Volume: Cheese is a key commodity in Bolivia, with an annual production volume reaching nearly 40,000 tons.
• Milk Powder and Whey Production Volume: Bolivia produces approximately 15,000 tons of milk powder and whey annually, a significant portion of which is destined for export markets.

Key Dairy Enterprises

• Lácteosbol
• PIL Andina
• La Francesa
• Delizia

Notable Dairy Farms

• Fundo Bolivia Dairy Farm
• Chavez Dairy Farm
• Santa Ana Dairy Farm

Export and Import Details

Exports: Bolivia is proactive in exporting dairy products, totaling about 10,000 tons annually, which includes cheese and milk powder. Notably, within the Andean Community, countries such as Colombia are leading importers, particularly for the 7,000 tons of milk powder exported.

Imports: On the flip side, Bolivia imports approximately 7,000 tons of powdered milk each year, facilitated by trade agreements established under CAN.

Significant Events in Bolivia's Dairy Industry

Bolivia has seen considerable advancements in dairy production infrastructure through modernization and strategic investments, supported chiefly by trade agreements like CAN, which have significantly boosted Bolivia's prominence in regional trades. There are present-day efforts to expand exports to Chile, including products such as fluid milk, yogurt, and cheese—indicative of the sector's promising growth.

The Bolivian government, alongside dairy sector representatives, is actively working on legislation aimed at establishing fair milk pricing, with leadership from Deputy Minister of Industrialization Policy, Luis Siles. Nevertheless, challenges remain, as the recent crisis in the dairy sector has shown that prices frequently fall short of production costs—a predicament that threatens potential closures as highlighted by the CAO without urgent pricing reforms. In reaction, Bolivian dairy farmers from Cochabamba have taken to selling milk directly to consumers in protest against unsustainable pricing models.

Alarmingly, over 100 dairy farms have been forced to close recently, underscoring the severity of the dairy sector crisis in Bolivia.

Modified: 2025/05/09

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