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.
Belarus is going to rescue Russia in conditions of restrictions of deliveries from the EU, Ukraine and some other countries, or more exactly to become more dependent on Russia.
There are not absolutely logical events on Ukrainian butter market.
The European Commission has announced today that it will open Private Storage Aid for butter, Skimmed Milk Powder (SMP) and certain cheeses in order to alleviate the impact ofRussian restrictions on imports of EU dairyproducts and to limit the negative effects on the internal market.
The prices of milk did not react to the events yet. Some traders just started to demand their increase, forecasting shortage of milk and dairy products.
Belarus and Kazakhstan did not close in unison with Russia the borders for European and even (supposedly) for Ukrainian products.
As a result of ban on dairy products a surge of activity is observed on Russian market.
The situation becomes complicated on the market of fresh milk products. Purchasing capacity of Ukrainians is declining. Additionally a very hot weather and season of mass holidays hamper activity of sales.
In the middle of August a surplus of milk is not observed in the country. Moreover, the prices for it were increased.
For now there is enough milk powder both in Russia and in Belarus.
