The arrival of the rainy season in Mato Grosso tends to increase the supply of milk on the market, resulting in a drop in the price for consumers of the producer's liter and its derivatives, as well as for the producer. In September, the liter paid by the industry was R$ 1.175, 3.35% below the remuneration received by producers for milk collected in August of R$ 1.216.
The liter of milk paid to producers in September fell after seven months of consecutive increases, according to a survey by the Mato Grosso Institute of Agricultural Economics (Imea). The same is true for the end consumer, where it appears that the average price of a liter of whole UHT milk (carton) fell from R$ 4.76 to R$ 3.69 in the comparison between September and November.
Dairy farming in Mato Grosso, explains the executive manager of the Association of Milk Producers of Mato Grosso (Aproleite-MT), Guto Zanata, goes through a transition process from the dry to the rainy period. “This gives a substantial natural increase in milk production, because we will have a greater supply of green pasture again, which will cause a greater arrival of product to dairy products and consequently the price for the producer drops, as well as for the consumer”, comments in an interview with Agro Olhar.
Remuneration to the producer
According to Zanata, although the price paid to producers increased in 2016, more precisely in the off-season, the value was not enough for investments.
“The milk producer is coming off a period of two very bad years and even though prices have improved this year, the cost of production is high. Food had a huge impact, as well as the price of labor and electricity.”
Source: Olhar Direto
