Production of butter in Ukraine is following the world trend

The global trend of decrease in butter price has not changed. For this reason, importers are in no hurry to purchase butter of Ukraine’s produce, so prices are sinking.- INFAGRO

At the end of November it became a problem to sell 82% butter to the West more expensive than 4400 USD/t. To CIS countries it can still be sold at 4700-4800 USD/t. “Selyanske” grade butter price has fallen to 3900-4100 USD/t.

Aimed for selling abroad, on the domestic market “Selyanske” is now sold at UAH 100-110 thousand per ton, and for the product of 82% fat content producers are requesting 130-140 thousand UAH/t.

There is no reason to count on some increase of price of butter in December, if only hryvnia strongly devalues.

The rise in price of raw milk and fall in cheese products price caused a noticeable decrease in production of butter in Ukraine. Last month it was produced 8.3 thousand tons, which is 12% less than in September.

Production of butter will definitely continue to lower, but there will be no deficit in winter months.

Quite logically, production of spreads in Ukraine is growing, but still at a slower pace than it was anticipated. Last month, 3,700 tons of this product were produced (including vegetable-cream mixtures). This is 4% more than in the previous month. At the same time, it should be noted that the growth has so far only occurred in the category of mixes with a low milk fat content which are better called  margarines. Such mixtures are produced mostly for export, as there is a demand only for the cheapest products.


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