Collective Outcry over Argentina's Dairy Industry Crisis

The Argentine dairy industry is in the grips of a deepening crisis, as noted by cooperatives and small enterprises who have recently issued joint statements. They describe the situation as "extremely complex and unsustainable," characterized by declining profitability and rising costs, with little support from the government.

There is a significant overproduction of milk being sent to processing plants, leading to a surplus that's difficult to absorb in the domestic market. Combined with escalating operational expenses such as energy, transportation, and wages, small and medium-sized businesses find it challenging to pass these costs onto consumers.

The accumulation of excess cheese and dairy products reflects stagnant domestic consumption and barriers to exporting surplus stock. These cooperatives and companies are calling for "urgent support measures" including soft loans, promotional policies, and a predictable framework to maintain employment and production.

The communication also stresses the need for "inter-institutional dialogue," urging coherence between political decisions and the productive reality of regional economies. Without coordinated action from the state, the industry, and producers, Argentina's dairy system may suffer from a permanent loss of capacity.

This latest appeal joins others from associations like APyMIL, which have recently highlighted the sector's decline and the need for collective solutions.