Milk prices in Ukraine have sharply fallen: the main reason is the surplus of raw materials

Milk prices in Ukraine have sharply fallen: the main reason is the surplus of raw materials

According to ХВИЛЯ: In Ukraine, there has been a significant decrease in milk prices due to a surplus of raw materials. As of December 20, 2023, the average procurement price for milk is 15.2 UAH per kilogram excluding VAT. This decrease is 1.05 UAH compared to a month ago.

Milk production volumes in November 2023 exceeded normal levels by 35 thousand tons, which significantly affected the market. Consequently, prices for milk of different grades have also changed. For example:

• Extra grade milk has dropped in price by 1 UAH;
• Higher grade - by 90 kopecks;
• First grade - by 1.1 UAH.

According to the latest data, milk prices can vary:

• Extra grade costs from 14.8 to 16 UAH per kg;
• Higher grade – from 14.7 to 15.8 UAH per kg;
• First grade – from 14 to 15 UAH per kg.

The main reason for the decrease in prices lies in the surplus of raw materials. - Heorhiy Kukhaleyshvili

The decrease in milk prices in Ukraine may have serious consequences for producers, as reduced income may affect their financial stability. It could also impact the overall state of the agricultural sector, as dairy products are an important component of exports. In conditions of raw material surplus, it is essential for producers to adapt their strategies to ensure stability in the market, while consumers can benefit from more favorable prices for dairy products.