South America – dairy market overview
When it comes to milk deliveries in the period of January-August 2020 in Argentina there was a notable rise o +8,42% according to Subsecretaría de Lechería. That’s the biggest rise comparing to three other countries from that continent. In the same period, Uruguay noted a +5,82% increase in milk deliveries on year on year basis as INALE states. Chile and Brazil noted +6,26% (ODEPA) and 0,38% (IBGE) rise consecutively, but the period compared was January to June 2020.
However, the situation regarding farm-gate milk prices looks different. In Argentina, the price was at 18,65 ARS/liter in August 2020, but in the same month last year, it was ARS 15,38. What is interesting is that inAugust 2018, the price was significantly lower – 7,41 ARS/liter. The data is provided by Argentinian Ministerio de Agricultura, Ganadería y Pesca.
As CEPEA states, in Brazil, farm-gate milk prices were also the highest comparing August in the last three years. For 2020, the level 1,94 BRL/liter was achieved, while for 2019 it was 1,45 and for 2018 – 1,66.
In Chile in August 2020 also three-years high was achieved at the level of 313,30 CLP/liter, while 2019’s price was 266,63 and 2018 – 237,62 as CEPEA states.
The last compared country – Uruguay also saw the same trend. In August 2020 the farm-gate milk price was on the level of 12,13 UYU/liter. For two previous years the prices were lower – 11,07 (2019) and 9,98 (2018). The data was provided by INALE.