Ukrainian Farm-gate price is going down, but slowly
It becomes more free milk in Ukraine and processors have to reduce prices for it in conditions of weak demand for dairy products.
It becomes more free milk in Ukraine and processors have to reduce prices for it in conditions of weak demand for dairy products.
As a whole the situation looks strange on cheese market. There are big problems with sales, but production is growing, and the prices do not fall at all.
In their latest Quarterly report Rabobank stated the rally in international dairy prices in Q1 was reversed in Q2, with prices falling 20%-30% in the period to mid June.
In May the sales of fresh milk product grew the first time for a long period. The growth was very slight, after all, buying attitude did not increase.
Global consumption of dairy products is set to increase by 2.3% per annum over the next decade with output increasing by 1.8% during the same time period.
Belarusians continue to dump on Russian market.
Summer has already begun, but dairy operators still do not have a clear vision of the sales prospects.
On May 22, the Rosselkhoznadzor allowed imports of cheese, produced by two Ukrainian enterprises. According to Interfax News Agency, they are Gadyachsyr LLC and Lozovsky Dairy Plant.
Decline of prices for cheeses, which was observed in Russia in April, was slowed down in the first half of May. But the general tendency is not changed yet – cheeses continue to become cheaper.
In Ukraine the high season of production has begun. Cows are moved to pastures and milk production has essentially increased. This fact does not especially please farmers.