We are the first consignee of milk in Argentina

A group of producers from the south of Córdoba and Santa Fe, some of them members of the Canals Group, began for several months to dry milk outsourced and to commercialize it, obtaining much higher values ​​in the “tranquera” of the “tambo”.
The reasoning of engineer and producer Eduardo García Maritano, one of the promoters of the initiative, was: “In the absence of transactional frameworks, when you have concentrated demand, you have to concentrate supply, unless you have institutionalized markets, that today they do not exist. In the absence of these, we must respond with associative actions, then those who are encouraged to break their small capsules, move forward, that is our case”.
The group of producers who began to dry milk, by a contract of outsourcing in a Santa Fe plant, is part of a larger grouping: “We during 10 years integrated an important group of milk producers, that is the “Canals” Group, and in that way, we were gone Giving alternatives to integrate vertically. In this fight of wanting to sell milk as we do with soy. There is no mechanism in the country that ties the prices of products to milk, Brazil has it; And we could copy it”.
The term Fasón (from the portuguese façon) is a term used in the industrial field to indicate the manufacture of a product by mandate of a third party, owner of a brand, in which it can provide the raw materials and inputs that are necessary.
Asked about the price they are getting the answers are only evasive smiles, and negative, which does not avoid further reflection: “We are interested in highlighting the action of a group of producers who try to fill a gap that is lack of institutionality of the market, somehow. We want everyone to have their blackboard, arbitrations, meanwhile, these are small examples”.
Garcia Maritano defined the experience as a consignee of milk. The group is drying about 50,000 liters daily, and the percentage of the part outsourced is in the order of 20-25%. At present with values ​​of milk powder globally ranging from $ 4,700 to $ 5,000 the theoretical FAS of milk powder is in the order of $ 3.30, a price that could well be charging today the associated dairy farmers. “In the textual term of the word entrepreneur we feel entrepreneurs because we know that this is the one that produces, sells and charges, if we stay only in producing we are producers,” he explained.
The restless producers have not only thought of a few businesses but are also thinking of a public-private megaproject, which involves the construction of a powdered milk plant to industrialize the growing production: “This little experience that we are doing is actually a kind of pilot plan, which serves for entities such as Carsfe, Fecet, and Plassaco, in Santa Fe, and in Córdoba, with the Provincial Liaison Committee together with Cartez, Agrarian Federation and Coninagro, let’s think about a growing dairy. And for that we say that iron is necessary but we have to generate it in an associative system of industries that do not have export capacity and producers. Somehow this essay we are doing shows on a small scale that this is possible. We do not put ourselves as an example, we are satisfied with our result. We think of a dairy growing, as Argentina above 8.5 billion liters per day saturates the domestic market, and all the growth has to be for export, and if there is no iron for export can not grow.”

A review of the current dairy 2014

Eduardo García Maritano has a long history in the dairy sector, and is the current president of “Productores de Leche Asociados del Sur de Santa Fe y Cordoba  (Plassaco)” and referred to the state of the milk producers sector, following the January devaluation: “These Macroeconomic situations hit hard to the milk producers, basically because it is a long-term activity. And unfortunately, people are close to the memory of 2001-2002 where similar situations brought the debunking of many milk companies. And I do not know who to attribute it to, but clearly to the lack of intelligence of the sector as a whole and the administration that is unable to fulfill its coordinating role so that a chain of so much value for the interior of the country does not have a better structure Business that allows you to be more solid in changing situations”.
He continued reading the news with this look: “I see that it is very difficult for the sector to take out the head and look a little forward, Clearly the situation catches us … there are positive things, the good thing is that there is a road started. There is a unique liquidation, which is not less, it was thought to have a standard of marketing although today it does not work like that. Two strategic plans were made as the PEA 2020 and 2016, and we kept in trying part unfortunately. I think that basically strategic plans are business plans, it is very difficult to discuss if you do not think about business. I am not going to produce more if I do not find a business on it”.
At the time of placing responsibilities did not have problem of saying: “At this point I think it’s the chain. The same institutional framework of the country we live in today, the same rules that today allow the granary sector to have a standard, generate futures … we imagine the farmers ask for a Soy Law? No, because its transactional framework is done; And the same country legal framework is in place for all the rest of the chains, so if the dairy does not have it, is because the members do not demand it.”.

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