Conaprole: Uruguay's Dairy Giant

Conaprole, officially known as the Cooperative Nacional de Productores de Leche, is the largest dairy company in Uruguay. With its headquarters based in Montevideo, Conaprole processes a significant portion of the nation’s milk production, thereby playing a pivotal role in Uruguay's dairy industry.

Facilities and Operations

The company operates state-of-the-art facilities strategically located in San José and Canelones. These facilities are crucial in maintaining high production efficiency and rigorous quality standards, significantly contributing to Conaprole’s reputation for quality and reliability.

Financial Indicators

Conaprole enjoys robust financial health with annual revenues nearing USD 1 billion. The company's financial stability is further reinforced by its substantial export operations to countries such as Brazil, China, and Russia, reflecting its significant influence in the international market.

Important Company Events

Recently, Conaprole faced challenges due to adverse weather conditions and market fluctuations, impacting milk deliveries and production capabilities. The closure of the Rivera plant led to labor disputes and a loss of 69,000 kilos of whey, affecting both production and international commitments. Additionally, the detection of chlorate in milk prompted necessary corrective actions to ensure product safety.

Company Plans

Conaprole is committed to enhancing its operational efficiency and sustainability. The company plans to invest in advanced agricultural technologies and develop new dairy products to align with consumer preferences. It is also exploring partnerships with China to boost export volumes, particularly of whole milk powder, aiming to achieve record production levels of 1.610 billion liters of milk by the end of 2025. By January 2026, milk deliveries increased by 10% following a record production year in 2025. The cooperative announced an estimated milk price of 16.04 pesos per liter for early 2026.

Furthermore, Conaprole is under investigation by the Brazilian government for alleged dumping practices, which it denies, while exploring market expansion into Southeast Asia, particularly Indonesia. Celebrating its 90th anniversary, Conaprole remains Uruguay's largest exporter, exporting 80% of the milk it processes to 75 international markets, generating approximately $700 million annually from external sales. It processes about 1.65 billion liters of milk annually, offers around 300 products domestically, and provides approximately 25,000 direct and indirect jobs.

Despite record production, low international demand for dairy products affects spring sales, raising concerns over potential re-liquidation. Nevertheless, Conaprole continues to strategize for overcoming international trade barriers, expanding its market reach, and maintaining its significant contribution to Uruguay's economy. The cooperative plans to keep milk prices stable through the year-end and intends to leave the price paid to milk producers unchanged in August and September, using its expected annual profit to maintain that level through the end of the year, expecting to close the financial year from August 2025 to July 2026 with a profit.

Conaprole receives 5.7 million liters of milk per day, with a 5% year-on-year increase in deliveries during the first 13 days of September.