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Colombia's Dairy Industry Overview

Colombia's dairy industry plays a crucial role in its agricultural sector, thriving in an environment enriched by favorable climatic conditions and robust infrastructure that ensures a steady supply of dairy products for both domestic and international markets.

Dairy Cattle

Colombia is home to approximately 8 million dairy cattle. These cattle are distributed across various regions, contributing to resilient and consistent dairy production throughout the country.

Milk Production and Processing

The annual milk production in Colombia is approximately 7 billion liters, with around 4.5 billion liters being processed to meet both local and international market demands.

Cheese and Milk Powder Production

Cheese production is a significant part of Colombia's dairy industry, with an annual output of about 400,000 tons. The country also produces approximately 200,000 tons of milk powder and whey each year.

Key Dairy Enterprises

Leading enterprises in Colombia's dairy market include Alquería, Colanta, Laude, Parmalat (part of Lactalis), and Alpina. These companies maintain a competitive market environment and support the industry's growth and development.

Prominent Dairy Farms

Several influential dairy farms contribute significantly to national milk production, including Hacienda San José, La Esperanza Farm, Granja La Margarita, El Rodeo Farm, and Finca San Rafael.

Trade and Market Dynamics

Colombia exports around 150,000 tons of dairy products annually to markets in Latin America, Europe, and Asia, while imports amount to approximately 100,000 tons to meet domestic needs for specialized dairy products.

Significant Events

  • Lactalis's expansion to enhance processing capabilities and export potential.
  • Government subsidies and technological advancements aiding industry growth.
  • Discussions on tariffs for U.S. powdered milk and increasing U.S. cheese exports impacting market dynamics.
  • Release of a new auction cycle for powdered milk, pasteurized milk, and cheeses by the Bolsa Mercantil of Colombia.
  • The Colombian Ministry of Agriculture announced changes in the milk payment system that affect producers.

Current Challenges and Future Outlook

In 2024, Colombia's dairy industry faced challenges such as declines in production, sales, and employment. However, optimism remains strong for growth into 2025, with around 3.3 billion liters of raw milk collected. The sector is adapting to regulatory challenges, with growth in international sales, and declining bonuses for ranchers.

There has been controversy over the direct sale of lactoserum as a milk substitute, despite its nutritional benefits. Concurrently, the National Dairy Council announced a 5.36% increase in the base milk price as part of its rural development agenda. Colombia also holds the position of second place in exporting livestock genetics in Latin America, demonstrating its influence in the broader agricultural landscape.

Modified: 2025/03/29


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