Mexico dairy sales increase due to panic buying in the face of contingency

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People searched grocery shelves for dairy desserts like ice cream, yogurt, as well as milk powder, butter, and cheese.

MEXICO- The quarantine led to an atypical behavior for Mexicans, since the panic purchases by the Covid-19 led to an increase in the sale of dairy desserts, cheeses, and ultra-pasteurized milk, said the treasurer of the National Confederation of Livestock Organizations, Salvador Álvarez Morán.

Especially people looked on the shelves of the supermarkets for dairy desserts such as ice cream, yogurt, as well as milk powder, butter, and cheese, which caused an increase of approximately 10% in the sales that are regularly made at Easter, date which typically lowers consumption.

However, those purchases were concentrated in self-service stores and left out shops and grocery stores, as well as small cheese producers, who do not place their products in supermarkets.

Álvarez Morán explained that according to analysis after the increase in purchases due to supplies, what follows is a drop in purchases as a consequence of the economic crisis.

“We are still in a normal stage, although gradually decreasing that consumption that was made more in previous weeks,” he told EL UNIVERSAL.

What is already beginning to be observed is a drop in sales of yogurt, while the sale of ultra-pasteurized milk, cheeses, and butter continues, which are the ones that have had the most increase in consumption.

He explained that producers are affected by the peso-dollar parity because the ground corn they give to cattle is imported and prices have already risen by more than 20%; In addition, livestock medicines, spare parts for milking equipment and fertilizers, among other things, are purchased especially from the United States.

For example, a few weeks ago the kilo of ground corn was sold for 4.80 pesos and this last week it was sold at 6.05 pesos per kilo.

He recalled that Mexico in 2019 imported 2 thousand 418 million dollars of dairy, of the total imports 34% was skim milk powder, 10% of butyric fat, 8% of grated cheese, 7% of semi-mature cheeses, 7% of other cheeses, 5% casein and 29% of the rest.

Another of the problems faced by milk producers is the insecurity that continues to increase and the one that Liconsa does not recognize that there are small producers who have joined together to buy machinery and equipment, in order to improve their production processes and that at the time of selling the Milk is paid as if they were a large producer, that is, it pays them one peso less for each liter, which affects.

Source: vanguardia.com.mx

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