Farmers will mobilize demanding compliance with the law that establishes the mandatory use of fresh milk

Approximately 2,000 dairy farmers from the 15 associations of the Norte Chico dairy basin have announced an upcoming mobilization in response to non-compliance with the new Milk and Dairy Products Regulation, which establishes only the use of fresh milk in the preparation of evaporated milk.

Producers demand that Supreme Decree No. 004-2022-MIDAGRI be respected, which came into force in October 2022 and requires that only cow’s milk and not powdered milk be used for the production of evaporated milk.

Nivia Vargas Cabanillas, former president of the Peruvian Cattlemen’s Association (Agalep), announced that small producers will march giving away fresh milk along the Panamericana Norte, and demanding that the Government and Indecopi take actions so that companies like Laive, Gloria and Nestlé comply with what is established.

Impact on producers

Failure to comply with this rule by large companies has had an impact on local producers, leading to the bankruptcy of more than 500 dairy farmers in the region. Vargas pointed out that large companies have imposed limits on the purchases or collection of fresh milk, claiming to have excess milk in their warehouses.

“The industry has imposed limits on us, because it claims that it has a lot of milk in its warehouses. For example, the La Villa Association is only buying 8,000 liters of milk daily when a week ago they bought 11,000 liters. The same thing happens with the San Felipe Association, which out of 24,000 liters they are now only buying 20,000 liters,” said Nivia Vargas.

However, Vargas denied the industry’s claim about the excess of fresh milk accumulated, because in June the Qali Warma program found it necessary to import powdered milk to serve the 731,000 beneficiaries of the program.

““What the industry is looking for is for DS 004 to be repealed, because it is cheaper to import milk powder than to pay dairy farmers,” he denounced.

In addition, he highlighted that the authorities are not exercising effective regulation, which has hindered the availability in wineries and supermarkets of the jar of purple milk, which is the only product made with fresh milk.

In the country there are more than 400,000 small farmers and the price of powdered milk in the market has dropped to US$2,500 per ton and, due to the conversion into soles, this type costs the industry only S/0.86 cents. of products. In contrast, producers are paid S/1.65 per liter of fresh milk, Vargas said.