125 New Dairy Farms Being Built in Ukraine: Processors Anticipate Export Growth to the EU

According to SMPU, industrial milk production in Ukraine is confidently growing, while the private farming sector continues to decline.

"The processing industry is focused precisely on milk fr om industrial farms, not from households, wh ere there are quality issues. The household sector is in decline — it can only be saved by transforming into family farms with state support," Chagarovsky noted at the Agro2Food forum in Kyiv.

The total consumption of dairy products in Ukraine is currently estimated at about 5.5 million tons. At the same time, the industry is focusing on increasing processing and export supplies rather than importing raw materials.

According to SMPU data, 23 Ukrainian enterprises have received permission to export dairy products to the European Union under a simplified procedure, and by 2025, the total number of such companies will reach 52.

"During the years of the war, we have significantly increased exports to the EU. On September 29, the European Parliament voted to increase quotas on key categories of dairy products — dry milk, butter, whole milk, and condensed products. The quotas now stand at about 15,000 tons for each of these categories," Chagarovsky reported.

He emphasized that Ukrainian dairy products are produced only at industrial enterprises controlled by the state, ensuring high quality and compliance with European requirements.

The SMPU Chairman noted that processors are optimistic about 2026: the increase in export quotas and the expansion of production capacities create conditions for increased overseas sales.

"We expect growth in processing and price stability for raw materials. By 2025, the market has already overcome the consequences of the war and returned to the 2021 level, and now shows the potential to exceed pre-war figures," he stated.

The expert also stressed the importance of implementing European standards in national legislation so that Ukrainian producers can compete on equal terms with European market participants.

"Our regulatory service and industry associations are already working on harmonizing legislation with EU norms," added the head of SMPU.