Impact of the Rapid Rise of Supermarkets on Dairy Products Systems in Argentina

The reconfiguration and consolidation of food retailing in Argentina during the 1990s profoundly changed the marketing system for food and agricultural products. The new commercial requirements and ‘rules of the game’ imposed by supermarkets on their suppliers have caused a substantial restructuring of supply chains — a process in which some suppliers fail. This article describes the changes in the past decade in the Argentine retail sector, and then focuses on the effects of those changes (and related changes in processing) on milk products supply chains. Its conclusions focus on the challenges specific to small farms and firms in the face of this transformation.