With the increase in the inputs used in dairy farming, especially maize, allied to increasingly lower prices, cattle ranchers in Santa Catarina are worried about the current state of activity in the state.
According to Agriculture Secretary Airton Spies, the fall in producer prices, especially from the second half of 2017, is mainly due to an imbalance between supply and demand. With a large supply of milk and dairy products on the market and a drop in consumption due to the reduction in the income of thousands of Brazilian families, milk prices plummeted.
Already with a tendency of increase in prices, observed in May, the sector has great challenges ahead. According to Secretary Spies, the prospects for milk production are positive, with expectations of increasing consumption worldwide.
“For the consistent growth of its dairy production, Brazil needs to conquer the foreign market, and for that, we still have a lot of homework to do.” Three factors need to be combined: high quality produce, low cost and organized in a productive chain with efficient logistics.It is the tripod that sustains any economic activity under free market rules.There is no way to imagine that Brazil becomes an important player in the world dairy market without meeting these premises. “
Milk production has increased in Santa Catarina and in ten years, the state has increased its productive capacity by 82% – reaching 3.1 billion liters produced in 2016. Currently, Santa Catarina is the fourth largest milk producer in the country. country and Epagri / Cepa estimates point to a production of 3.4 billion liters of milk in 2017.