Change and Adaptation of Family Dairy Farming in the Context of Global Capitalism

Since the 1980s, Mexico has undergone profound economic and political transformations grounded in neoliberalism, reflected in the opening of the agri-food sector. As a result, imports of powdered milk increased, consolidating a corporate agri-food regime that has exerted structural pressure on small-scale dairy producers, promoting processes of de-peasantization and proletarianization. This study analyzes the evolution of family dairy farming in Santa Elena, Michoacán, México, with the aim of identifying and analyzing the principal components of family structure, economic and productive rationality that have been maintained over time, and how they are modified to adapt the family dairy farming to the context of contemporary capitalism. It hypothesizes that changes in the main components of family structure, and productive and economic rationality of family dairy households are the result of strengthened peasant characteristics. Based on the analysis of census data of household production units (HPUs) in 2002 and 2018, a Principal Component Analysis (PCA) was conducted to characterize and identify changes in the productive and economic structure of these units. The component with variables linking family dairy farming to the market was the most significant and consistent over time. The remaining components varied. Feeding variables formed the second most important component in both studies, which changed its structure in 2018, focusing on minimizing operating costs and utilizing crop residues for feed. It is concluded that family dairy farming in Santa Elena, Michoacán, has adapted to the conditions of global agri-food capitalism without a clear transition toward productive intensification or specialization. Instead, family dairy farming has persisted through diversification strategies, self-management, and access to local markets, demonstrating the persistence of peasant economic rationality.