Stable Milk Prices in Ukraine Amid Global Market Challenges
Sourse: dairynews.today
Procurement prices for raw milk in Ukraine remain steady even as global dairy product prices face downward pressure.
Despite falling demand and prices for exchange-traded dairy products in Europe and the USA, Ukrainian procurement prices for raw milk have remained stable. According to the Association of Milk Producers, as of September 20, the average price of extra-grade milk was UAH 17.45/kg without VAT, a slight increase from the previous month. Prices range from UAH 17.00 to UAH 18.20/kg, reflecting minor increases. Higher-grade milk averages at UAH 17.15/kg, while first-grade milk costs UAH 16.80/kg, showing a 40-kopeck rise since August.
Analyst Heorhiy Kukhaleishvili notes that processing enterprises are struggling with limited exports and declining sales, contributing to stable pricing despite increased production in Ukraine and Europe. The EU's new trade agreements with the US, allowing imports of American dairy products duty-free, intensify competition for European producers. While a seasonal price increase is possible in winter due to changes in demand and supply, a significant rise in procurement prices is unlikely.
Analyst Heorhiy Kukhaleishvili notes that processing enterprises are struggling with limited exports and declining sales, contributing to stable pricing despite increased production in Ukraine and Europe. The EU's new trade agreements with the US, allowing imports of American dairy products duty-free, intensify competition for European producers. While a seasonal price increase is possible in winter due to changes in demand and supply, a significant rise in procurement prices is unlikely.
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