Another wave of rising milk prices took place on the market. The weighted average price of three grades increased by 30 kopecks. It is noteworthy that as a result of a persistent shortage of raw milk, which has a permanent tendency to increase, this time the lower grades of milk became more expensive. As a result, the price difference between the varieties has decreased significantly, but this phenomenon is temporary. Usually this effect is seen during the period of active growth, and its degree depends on the market deficit.
This was reported by analyst of the Association of Milk Producers Volodymyr Andriiets.
Currently, the following average prices for raw milk are recorded:
- extra grade — UAH 10.65/kg (+20 kopecks),
- higher — UAH 10.50/kg (+30 kopecks),
- the first — UAH 10.30/kg (+ 40 kopecks.) without VAT.
Average prices for large and medium batches of extra grade milk by region: north and center — 10.8 UAH/kg, south — 10.9 UAH/kg, east — 10.75 UAH/kg, west — 10.70 UAH/kg.
During September-October, the upward trend will continue, although the growth rate may be much lower compared to the same period last year. The cost of feed for this year's harvest will be crucial. At present, grain prices remain higher than in the corresponding period last year. Prices for protein components of diets attract special attention. Thus, prices for soybean meal and cake in August continued to rise and were higher by more than 20% and 40%, respectively, than last year.
«The factor that will support prices, of course, will be the shortage of raw materials, which will continue to grow. One of the main factors that can counteract this is the negative profitability of dairy production from processors, who found themselves between the grip of the cost of raw materials and resistance from retail chains. Nevertheless, the economy of finished goods production will need to revise selling prices, which may cause prices to rise on the shelves this fall,» — said AMР analyst Volodymyr Andrіiyets.
