Javier Milei defended capitalism, the free market and individual freedom, harshly criticizing socialism, social justice and pseudo-environmental policies.
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Milei in Davos The dairy, the world and freedom

Javier Milei defended capitalism, the free market and individual freedom, harshly criticizing socialism, social justice and pseudo-environmental policies.

On January 17, the president of Argentina, Javier Milei, gave a controversial speech at the World Economic Forum in Davos, in which he defended capitalism, the free market and individual freedom, harshly criticizing socialism, social justice and pseudo-environmental policies; raising several questions about the future of the world economy and Argentina’s role on the international stage.

Situation of the dairy industry in the world today

FAO estimates that 944 million tons of cow’s milk will be produced in the world in 2023, this is 0.9% more than in 2021. Asia, especially in India and China, is expected to increase production because it has grown in quantity. of cows. At the same time, milk production is forecast to decline in South America, Africa, Europe and Oceania due to extreme weather conditions and other unfavorable factors.

The global dairy industry is facing various challenges and opportunities such as consumer demand, market competition, technological innovation, environmental sustainability and health regulations.

Some of the trends that eDairyNews.com observes in the sector are:

  • That emerging countries, especially in Asia and Africa, increased their demand, with the growth of their population, per capita income and urbanization.
  • The dairy offering will be diversified, as well as the development of functional, organic, fortified, lactose-free, etc. products, which are aimed at satisfying the preferences and needs of consumers who are increasingly demanding and aware of quality, safety , animal health and welfare.
  • The incorporation of digital technologies and artificial intelligence in the dairy value chain will continue to improve the efficiency, traceability, transparency and competitiveness of the sector.

Investment will be made in adapting to environmental and climatic challenges, in order to comply with sanitary and phytosanitary standards, which are increasingly strict in the different markets, and which condition the access and competitiveness of dairy products. Work must be done to harmonize and simplify the requirements, as well as greater technical assistance and training for producers and industrialists.

How do current policies affect primary production and industrialization of dairy?

The Argentine dairy sector in particular has faced in recent years a series of difficulties that affected its profitability and competitiveness, such as macroeconomic instability, fiscal pressure, inflation, devaluation, drought, increased production costs, the fall in internal demand and the loss of external markets. Farms and industries were closed, production and employment decreased.

Argentine milk production in 2023 was 11,325.4 million liters, -2.0% compared to 2022. (See OCLA)

Dairy exports in the January-November 2023 period fell 17.0%, 22.2% and 25.1% in product volume, in total amount in dollars and liters of milk equivalent, respectively and compared to 2022.

President Milei in Davos proposed an alternative vision to the current situation, based on the defense of economic freedom, the free market and capitalism, the keys to the development and progress of Argentina and the world, and to overcome the problems that generates socialism, social justice and pseudo-environmental policies. Some of the proposals that he presented in his speech are:

  • The elimination of taxes, regulations, subsidies and restrictions on foreign trade, which he considers as obstacles to productive activity and voluntary exchange. According to Milei, these mechanisms distort prices, generate inefficiency, waste and corruption, and impoverish society.
  • The defense of private property, contract law and the rule of law, which he considers to be pillars of individual freedom and social order. According to Milei, these principles guarantee legal certainty, respect for human rights and the protection of the weakest against abuses of power.
  • The promotion of competition, innovation and entrepreneurship, which he considers as drivers of economic growth and value generation. According to Milei, these processes stimulate creativity, diversification, quality and competitiveness of products and services, and benefit consumers and producers.
  • The denunciation of pseudo-environmental policies, which he considers a threat to freedom, development and civilization. According to Milei, these policies are an excuse to impose an ideological agenda, which seeks to limit the use of natural resources, stop the advancement of science and technology, and subject humanity to a totalitarian regime.

How would the dairy industry benefit without the shackles of pseudo-environmental policies and free markets?

The production and consumption of dairy products would increase, by eliminating taxes, regulations, subsidies and restrictions on foreign trade, reducing production costs; profitability and competitiveness would increase, and access to international markets would be expanded.

It would improve the quality and safety of dairy products, since with respect for private property, contract law and the rule of law, compliance with sanitary and phytosanitary standards, and the social and environmental responsibility of producers, would be encouraged. and industrial.

The promotion of competition, innovation and entrepreneurship would stimulate greater diversification and innovation, the development of new products, processes and technologies, adapted to the new preferences and needs of consumers.

Less vulnerability to environmental and climatic challenges, due to the denunciation of pseudo-environmental policies, would allow the efficient and rational use of natural resources, the use of comparative and competitive advantages, and adaptation to changes and risks.

The Argentine president’s speech in Davos generated an intense debate about the economic and social model that Argentina and the world should follow, and about the impact it would have on different sectors.

This weekend a social network reminded me how I said goodbye to them by asking them if they had already had their glass of milk… And things became so tremendous in this blessed world that one leaves the important for the urgent.

I’m going to start 2024 by prioritizing what’s important: Consuming dairy is good!

Valeria Hamann

A new report asks whether supposedly green livestock practices have proven benefits.

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