Sinaloa Dairy Farmers Demand Regional Price Adjustment and Increased Purchase Quota

Dairy producers in Sinaloa, Mexico, have called on federal authorities and the state-owned company Liconsa to implement a regional price adjustment strategy for raw milk. This demand arises fr om the producers' concerns that the current guaranteed price does not sufficiently cover the high operational costs, such as feed and energy, in their region. These challenges are impacting the economic sustainability of dairy farming in Sinaloa.

The producers, led by the Union Ganadera Regional de Sinaloa (UGRS), emphasize the importance of Liconsa not only increasing its purchase capacity but also establishing a differentiated pricing scheme by region. Production costs in northern Mexico are often higher due to logistical distances and climatic conditions, making this regional price adjustment critical for competitiveness and equity in the dairy market.

Despite efforts to improve quality and technology, the volume of raw milk purchased by Liconsa from Sinaloa's farmers remains insufficient to absorb the local supply. This insufficiency forces producers to sell their surplus on the open market, wh ere prices are typically lower than the 10.20 pesos per liter offered by the social program, creating a bottleneck that discourages investment and growth in the dairy sector.

The UGRS is advocating for intervention from the Secretaría de Agricultura (SADER) and the Presidency to implement structural solutions that protect national production. Ensuring fair and stable prices would allow the sector to invest in animal health, better genetics, and technology, resulting in higher quality and consistent raw milk production. This, in turn, benefits Liconsa's mission to provide quality dairy protein to vulnerable families.