Sheep Milk Production in Castilla y León Drops by 8 Million Liters

The sheep milk sector in Castilla y León reported a 4.5% decrease from January to July 2025 compared to the same period in 2024, resulting in a reduction of 8 million liters. This decline also witnessed a loss of 105 producers, marking a 7% drop.

The price paid per liter of sheep milk is around €1.15, which is 5.8% lower than in July of the previous year, keeping profit margins historically low at just one cent per liter. Further complicating the situation is the decline in livestock numbers, endangering future production if no measures are taken.

Regardless, Spain maintains a favorable trade balance in sheep milk with Italy as the main destination. The cheese sector has also expanded in both volume and value in the first half of the year. However, it faces challenges from external competition and tariff barriers, such as the loss of exports to the U.S. amounting to 1,100 tons valued at €9.5 million.

To restore stability, URCACYL calls for longer-term contracts that ensure cost coverage and at least a 5% profitability with a medium to long-term planning horizon. It also urges cooperatives and producers to negotiate direct contractual frameworks to provide certainty.