Ukraine's Strategy to Double Dairy Exports by 2035 Announced
The Ministry of Economy, Environment and Agriculture of Ukraine has introduced a draft Strategy for the Development of the Dairy Industry through 2035. This plan aims to significantly increase the value of Ukraine's dairy exports to $800 million by 2035, up from an expected $401.36 million in 2025.
A key element of the strategy is to enhance the share of high-value-added products in exports, which includes items such as caseinates, milk protein concentrates, and infant formula. The target is for these products to constitute 40% of dairy exports.
The strategy outlines an ambitious investment goal, seeking to attract at least EUR1 billion into dairy processing by 2030. This funding will support the establishment of approximately 40 modern full-cycle dairy processing facilities and the construction of over 100 industrial dairy farms.
The document acknowledges several challenges facing the Ukrainian dairy sector, such as the ongoing impacts of the war, a declining domestic market, insufficient investments, limited foreign market access, a shadow production segment, and technological deficiencies.
From 1992 to 2024, Ukraine's share in global milk production decreased from 3.6% to 0.7%, with a notable shift towards larger-scale operations. The number of farms with up to 50 cows dropped significantly, while those with over 1,000 cows increased during this period.
Despite these challenges, the industry has shown resilience. In 2025, industrial processors managed over 3.6 million tonnes of milk, an increase from 3.2 million tonnes in 2021. Dairy exports also saw a rise of 12% last year, reaching 131,900 tonnes, while foreign currency revenue grew by 35% to $401.36 million.
The strategy focuses on aligning Ukrainian legislation with EU standards, tackling counterfeit products and the shadow market, and supporting enterprise modernization. It also aims to expand the export geography and promote the Ukrainian dairy brand internationally. The strategy considers global trends, such as decarbonization, digitalization, and the growing demand for organic products.
The draft strategy was presented to the Working Group on Dairy Industry Development, and the Ministry of Economy has called for public participation in the discussion, accepting proposals until July 18, 2026.
