Bolivia's Dairy Industry Overview
Bolivia is establishing itself as a significant force within the regional dairy market. The country's strategic geographic location and its membership in trade alliances like the Andean Community (CAN) have facilitated the efficient management of substantial volumes of dairy imports and exports, enhancing Bolivia's economic position in South America.
Dairy Cattle and Milk Production
The foundation of Bolivia's dairy industry consists of approximately 200,000 head of dairy cattle. Annually, Bolivia produces about 600 million liters of milk. This substantial production not only fulfills domestic consumption needs but also addresses regional demands, reinforcing Bolivia's role in the South American dairy market.
Milk Processing and Product Manufacturing
From the total milk produced, around 400 million liters are processed each year by Bolivia's leading dairy enterprises. Cheese is a significant product, with an annual production volume nearing 40,000 tons. Additionally, Bolivia produces approximately 15,000 tons of milk powder and whey annually, much of which is intended 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 Dynamics
Bolivia actively exports approximately 10,000 tons of dairy products annually, including cheese and milk powder. Within the Andean Community, Colombia is a leading importer, especially for the 7,000 tons of milk powder exported. Conversely, Bolivia imports around 7,000 tons of powdered milk each year, facilitated by CAN trade agreements.
Significant Events and Challenges
Bolivia has made significant advancements in dairy production infrastructure through modernization and strategic investments, primarily supported by trade agreements like CAN. Efforts to expand exports to Chile, including products such as fluid milk, yogurt, and cheese, highlight the sector's promising growth. However, challenges persist, as the recent crisis in the dairy sector revealed pricing issues that often fall short of production costs, risking farm closures. In response, Bolivian dairy farmers from Cochabamba have resorted to selling milk directly to consumers in protest against unsustainable pricing models. Over 100 dairy farms have closed recently, underscoring the crisis's severity.
Noteworthy progress includes the approval of three dairy plants for export by Chile, including Pil Andina in Cochabamba, Pil Andina in Santa Cruz, and an Empresa Boliviana de Alimentos (EBA) plant in Ivirgarzama, Cochabamba. This initiative is expected to significantly boost the Bolivian agro-industrial sector by diversifying markets and creating new export opportunities.
Milk producers in Cochabamba have held intermediaries accountable for a recent increase in milk prices in La Paz and Santa Cruz. Despite the deep crisis and farm closures, producers maintain regulated costs. However, price manipulation by sellers affects both producers and the Bolivian population.
The state-owned dairy plant in Achacachi, managed by the Empresa Boliviana de Alimentos (EBA), is a notable success in Bolivia's dairy industry, generating Bs 38.3 million and benefiting over 1,200 producers. This plant has proven to be an economic boon, demonstrating the potential of public investment in the agro-industry sector.
Modified: 2025/08/10