They warn that if domestic prices are not adjusted and there is no guarantee to maintain the value of the local currency, they will not sell their cattle to local slaughterhouses.
Alvaro Fiallos, president of the National Union of Farmers and Ranchers (UNAG), is demanding that slaughterhouses adjust the price which has been kept frozen since late May last year at $2.97 per kilo in hot weight, and that they recognize the maintenance of the value of the cordoba.
Representatives from dairy farmers in Nicaragua and milk processors have agreed to increase collection to keep prices stable.
In order to gain more stability in prices, milk producers and processors have decided to increase the collection of milk from 10% to 20% in light of the crisis caused by low prices paid by informal plants.
International corporation Parmalat sold 51% of its Nicaraguan subsidiary to Productos Lacteos Centroamericanos S.A.
The disposal took place for a consideration of USD 800,000. Furthermore, Parmalat Centroamerica S.A. signed a "license agreement" which will allow Parmalat Group to cash in a total amount of USD 400,000 in the first five years of contract.
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