Dairy products becomes more expensive in Russia

Reorganization in connection with trade sanctions continues on Russian dairy market.
Reorganization in connection with trade sanctions continues on Russian dairy market.
Judging by prompt increase of prices for whey powder in second half of summer, Russia is strongly dependent on import of these products.
Trade at Belarusian Universal Commodity Exchange was successful last month.
The tendencies of world markets affect negatively the Ukrainian market.
It seems that production of casein becomes more favorable than processing into milk powder.
Fonterra’s Global Dairy Trade for dairy products saw prices drop by 6% in the latest auction, which took place this week.
While Russians are fighting against European and Australian products, milk season is going down in the country.
Considerably increased production of butter and SMP, termination of deliveries to Russia and inadequate attitude of Agrarian Fund (absence of promised purchases) influence formation of very low prices for the product in Ukraine.
Despite seasonal decrease of milk production and its shortage in first half of August, the prices for it have stabilized on Ukrainian market.
The government will apply on the dairy sector the same method announced for the meat: exports of milk will be drastically limited to cause an oversupply in the local market that will help slow down the continuing rise in the domestic basket prices.