Crisis in SanCor: problems with the supply to the supermarkets

There are other brands of the same company that are also on the way out of the super chains, such as “The 3 girls”, another that was in the list of amounts agreed with the national government to make them accessible.

In the supermarket branches, the problems with SanCor products are multiplying. The delivery of butter and cream of this category is “cuotificada”, that is to say that it does not comply with the prescribed one. The supply of fluid milk is close to being suspended, due to problems with the inputs. There will also be drawbacks with provoleta, port salut and cream cheese, among other varieties.

Among retail giants, SanCor accounts for between 10% and 20% of the planned supply. The chains are asking other dairy products – such as Mastellone, Ilolay, Veronica – if they can deliver more products, to supply the missing SanCor in the gondolas.

The chains asked the secretary of Commerce if they can exclude SanCo products from “care prices” because they are not achieved. They want to detail “that this is a breach of the supplier and not the chain”, as pointed out by those who handle hundreds of branches.

The largest carton maker (Tetrapack) would not be charging SanCor, according to both the industry and the super and would be about to stop supplying it. In Tetrapack they denied that this situation exists for these days. “The supply is normal,” the company spokesmen said.

“From SanCor they told us that they can not afford a key input to supply us with milk,” according to the comments in the chains. In the dairy industry they take for granted that it is the packaging, of Tetrapack. Sancor is one of the largest customers of that manufacturer. Asked if there is a problem in the chain of payments in the next few days, close to Tetrapack replied “that response will be answered in due course, today the supply is normal.”

SanCor’s exit from “price-care” will also affect other brands. There are products that are listed today. But if SanCor comes out of some categories, the demand on other dairy labels will grow and companies will not be able to meet it, at least with current prices. There is a brand that already put this to the supermarkets. Its permanence in the amounts agreed with the Government is supported by the current sales volumes. If the chains require more products from that firm, it will be necessary to pay another price and modify the payment terms.

“SanCor was very badly handled,” say the owner of the Rural Luis Miguel Etchevehere to Luciano Di Tella, who was Undersecretary of Regional Development of the Ministry of Agriculture between October 2009 and May 2014.

The suspension in four-plant activity is affecting SanCor’s production capacity. It is a company that could process up to 6 million liters of milk per day, but in these days does not reach a third of that amount, since it walks between 1.2 million and 1.8 million daily.


Source: NormanObserver



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