Regional Dairy Market on Alert

Lala Group intends to take advantage of the free transit of goods in Central America to produce and export milk from Nicaragua to the entire region.

Friday, February 12, 2016

The Mexican company Lala confirmed the positive performance of Nicaragua's economy, announcing its intention to turn the country into a production hub and to export dairy products to the rest of Central America.

See: "Nicaragua: Lala Announces Purchase of La Perfecta"

"Products made in Central America can go to the whole region because there is free movement of goods, but there are still non-tariff barriers, including sanitary related ones" said Miguel Garcia, manager of International Relations Lala. Once these barriers have been overcome, Lala will introduce a change in the regional dairy market with its base in Nicaragua.

See: "Nicaragua: Monopoly in the Dairy Industry?"

"... Lala has defended itself against those who say the industry is reducing the collection of milk from producers in the country. Daniel Prato, director of Operations and Logistics for LALA Central America, said the company is collecting 150% more milk than was gathered in December by the cooperative Nicacentro, one of the largest in the country. "

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More on this topic

No date for Resumption of Nicaragua Costa Rica Dairy Trade

July 2016

The health authorities have announced that they have reached an agreement, but no dates or deadlines have been set to resume sales of the product between the two countries.

The agreement announced by the Ministry of Agriculture and Livestock of Costa Rica and the Institute for Protection and Agricultural in Nicaragua only mentions assessments to be made in plants belonging to the companies Dos Pinos and Grupo Lala, but does not mention dates on which they will be carried out or deadlines for the resumption of bilateral trade in milk.

Solving the Milk War Between Nicaragua and Costa Rica

July 2016

In Nicaragua evaluation will be given to the solutions proposed by Dos Pinos regarding noncompliance detected in the plant and Costa Rica will be provided with a list of suppliers to LALA dairy farms that meet the standards.

From a statement issued by the Ministry of Agriculture and Livestock in Costa Rica:

Honduras - Nicaragua Dairy Conflict Worsens

May 2016

Arguing the imposition of non-tariff barriers, Centrolac has filed with the Central American Court of Justice a claim against Honduras because it prevented Nicaraguan milk from entering the country.

Although the Honduran government insists that restricting the entry of milk from Nicaragua is strictly in adherence to sanitary measures, Nicaraguan producers and exporters maintain their position and are demanding that the government take retaliatory measures against Honduras. Therefore, the company Centrolac presented on May 10 a lawsuit with the Central American Court of Justice, denouncing the closure of borders and accusing the country "... of contravening Community law".

Dairy Conflict Between Nicaragua and Honduras

April 2016

The dairy sector in Nicaragua has denounced the imposition of non-tariff barriers by Honduras, whose health authorities have delayed the renewal of certificates for nicaraguan plants.

It has been estimated that 750,000 liters of milk per month have ceased to be exported to Honduras since November 2015, because the National Agricultural Health Service has not renewed certification of dairy plants in Nicaragua.

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