Milk producers in Serbia are facing a reduction in the purchase price of milk by 5 to 11 dinars per liter, which caused a meeting to be scheduled in the Ministry of Agriculture, Forestry and Water Management on January 10. Dairies such as Jastrebački eco pearls, Kraljevačka mlekara, Dukat-Vrbila dairy, and others, reduced prices already at the end of December 2024. Milija Palamarević, president of the Association of Cattle Breeders of Central Serbia, said that dairies reduced prices in order to take advantage of subsidies intended for livestock farmers who are already operating on the edge of existence.
The increase in subsidies was agreed last year, so subsidies for cows will amount to 55,000 dinars, and for first-calf heifers 155,000 dinars. This incentive has already produced results, as an increase in the number of cows and milk production has been observed. However, Palamarević points out that dairies have been exhausting primary milk producers for three decades under the pretext that there are milk supplies, which he denies, citing testimonies of dairy workers who do not advertise publicly.
The profitability of milk production is debatable
The Ministry of Agriculture was asked to conduct an inspection to check the actual state of milk stocks in order to prevent potential misuse of subsidies. Palamarević believes that there is no justification for the drop in purchase prices, because the prices of final products in stores remain unchanged, and dairies do not consider importing milk profitable due to higher purchase prices in the EU.
Also, the practice of some dairies to falsify final products by adding additives of plant and other origin was pointed out. Counterfeiting makes up as much as 40% of the content of finished products, which is prohibited by law. Palamarević called on the authorities to react in order to protect producers and prevent further erosion of the livestock sector.
According to him, dairy cattle breeding is a key segment of agriculture. Without an adequate share of animal husbandry, which should amount to at least 40%, it is not possible to achieve advanced agriculture. He recalled the long-standing struggle of the Association of Cattle Breeders of Central Serbia and the Association of Milk Producers of the Mačvan District. The fight, more precisely, to protect milk producers from practices that threaten their business and lead to the deterioration of the countryside.
Palamarević concludes that it is necessary to urgently solve the problem in order to enable the recovery of livestock farms, which are crucial for the development of the agricultural sector in Serbia.
Source: AgroTV
Source: boljazemlja.com