Uruguay Government Mediates in Conaprole Plant Closure Conflict

The Ministry of Labour and Social Security (MTSS) in Uruguay has intervened in a labor dispute involving the country's largest dairy company, Conaprole, and its union, AOEC. This follows a 24-hour strike triggered by the announcement to close the plant in Rivera, which raised concerns over potential milk shortages. In an attempt to address the situation, MTSS, through its National Directorate of Labour (Dinatra), has scheduled a tripartite meeting on July 14, 2025, involving Conaprole, the union, and Minister Alfredo Fratti of the Ministry of Livestock, Agriculture and Fisheries.

The strike resulted in delays in milk collection, prompting warnings of milk losses and supply disruptions, with viral video claims of milk being wasted, which the union has dismissed as 'fake'. At previous negotiations, the union criticized Conaprole's decision-making as hasty, defending Rivera's plant efficiency, while the company has suggested options like worker relocation or incentivized retirement as part of gradual transition efforts. The government aims to mediate the labor conflict to prevent severe economic impacts or disruptions in the dairy supply chain.

As the situation unfolds, the broader implications for Uruguay's dairy sector remain uncertain, particularly concerning export stability and market pricing. The case draws attention to the challenges facing the dairy industry globally, with similar incidents occurring in neighboring countries.