Milk smuggling from Colombia affects production
Dairy production in Venezuela’s border municipalities not only faces climate and financing problems, but also challenges related to productivity and the smuggling of dairy products from Colombia. According to Carlos Pacheco, president of the Border Cattle Ranchers Association -Asogafront-, they are several drawbacks.
The presence of UHT or long-life milk imported from Colombia competes with local raw and pasteurized milk, which considerably affects sales. “This UHT milk, which is anything but milk, competes strongly with the industrialists here,” he added.
Dairy products smuggled from Colombia are repackaged
Smuggling of dairy products from Colombia affects the local industry. He said that repackaged dairy products arrive from Colombia that are not milk. But they are packaged with Colombian milk. He said that these products, which are highly accepted in the market, compete unfairly with Venezuelan products. In addition, they affect the ability of local industrialists to sell their finished products.
Milk prices at the border are also a cause for concern. “Artisanal producers are paying between 0.47 and 0.49 cents,” Pacheco said, while the formal industry pays around 0.56 cents. In addition, Pacheco said that many producers have opted to sell their products directly on the streets, without adequate hygienic conditions, due to the decrease in the market’s purchasing power.
Milk prices and marketing
Another problem highlighted by Pacheco is the conflict over milk prices, especially with artisanal intermediaries. “The prices at the farm gate are very low.” He added that most producers sell to artisanal cheese makers rather than to the established industry. Only a few producers in the municipalities of Córdoba, Junín and Bolívar send milk to Nestlé.
Road and financing difficulties for producers
Roads are another constant obstacle for producers. “Roads have always been a constant problem for those who buy, whether they are motorized or industrial, in accessing many farms,” explained Pacheco. In addition, the lack of adequate financing aggravates the situation. “The little financing that exists in Venezuela is very short-term financing that does not apply to agricultural production in Venezuela, even more so to dairy production.” he stressed.
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