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“Excessively cheap milk is over.” The president of Agros defends the price increase as the only solution to stop the collapse of the sector

The president of Agros, Idalino Leão, says that the risk of disappearance of the dairy sector in Portugal and, consequently, of national milk on supermarket shelves, is real. To prevent this from happening, he argues that there is only one solution: prices have to go upeven for consumers.

Leão revealed that he is currently “about 50% more expensive to produce a liter of milk”, compared to the period before the start of the war in Ukraine (in February this year). the price of milkincreased about 18 to 20%”for consumers.

The price of a liter of milk, which can feed an average family of four people a day, is cheaper than a cup of coffee. And, on average, the Portuguese drink two or three coffees a day. I think this should make us all think”, Leão criticized in an interview with Renascença radio, published this Wednesday.

Leão highlights that, in addition to inflation, milk production in Portugal has been hampered in the last two years by drought, speculation associated with the general increase in production factors, and the war in Ukraine. As a result, Agros “lost about 300 of 1,200 farms” and in the coming weeks the cycle will repeat itself.

Asked about the increases of three cents, on average, that were announced to producers on Monday, he said that “must be accompanied by the final consumer”. Otherwise, “it would be unthinkable for the sustainability of the entire chain.” He also dismissed the deal as a “shock absorber” for the rise because “it would undermine the whole business.”

Source: Observadora

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