VASYL VINTONYAK, Director Infagro: Both production and consumption of condensed milk are shrinking in Ukraine

Both production and consumption of condensed milk are shrinking in Ukraine. In 2012 domestic dairies produced 105.1 thousand tons of condensed milk, in 2018 only 72 thousand tons.

“The crisis and its consequence – the decrease in the purchasing power of the population, has nothing to do with it. Consumer preferences are changing. Young people do not understand at all: what kind of product condensed milk is. They know “Nutella” which one can spread on bread and eat it as a dessert. Condensed milk is increasingly acting as an ingredient for baking cakes, biscuits and other culinary products, and not as an independent product. A concept of “confectionary condensed milk” has appeared, which is a product that may include whey, skimmed milk and vegetable fat (palm oil)”.

Currently, 85% of domestic condensed milk production account for five companies. The largest market share is held by dairy located in Chernihiv oblast – Ichnya Condensed Milk Factory (30%) with trademarks Ichnya, Mama Milla and Milada. Second ranked is Roshen (20%), which produces condensed milk at the new plant in Vinnytsya. However, you cannot see it on the shelves of the supermarkets or shops. This is exactly the case when all produce is manufactured for own consumption by confectionaries of Roshen corporation.

Pervomaisk Condenced Milk Dairy in Mykolaiv oblast holds 15% of the market. This manufacturer has no trademark as such – on the label there is only the name of the company and image of a boy with a spoon. Kupyansk Milk Canning Factory in Kharkiv oblast has a market share of 12% producing canned milk of Dairy Village, Zarechye and Nasoloda trademarks. And finally, 8% belongs to “Imperial Plus” company in Cherkasy obladst with the brand “Sladosvit”.

The rest of the market (15%) falls on two dozen enterprises, the most productive of which are Almira Group, including Ovruch CMD, Tehmolprom and the Bilytsky CMD, as well as the Kremenchug and Lubensky dairy plants.

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