Expert Opinion
Oleksandr Nazarko
CEO
Global Agro Finance

Summer camps for keeping cows in winter - advantages and disadvantages

Many farmers keep animals in summer camps, and many do so in winter. Exercise for cows. Fresh air. Reduced care costs? Is it really that…

Gеorgiі Kukhaіleshvili
analyst
Association of Milk Producers

Between proficit and deficit: an overview of the global dairy market

Despite the decrease in prices for milk raw materials in Europe, too much export supply for dairy products and weak demand on foreign markets, attractive…

Milk prices may rise, the market is affected by a refund of up to 20% VAT

The operational situation in the raw milk market is straining on the eve of the uptrend season. On the eve of the signing of the protocols in July, the issue of changing prices in the direction of growth has already been raised, but for the first time the status quo is still preserved.

This was reported by analyst of the Association of Milk Producers Volodymyr Andriіets.

"Currently, there are all the prerequisites for growth, and this is a shortage of raw materials, rising production costs due to still high costs for feed table components. The situation is also fueled by the adoption of Law 5425-d, which returns the VAT rate for milk producers to 20%." , - the expert notes.

Given these factors, at the moment the fact of rising prices already seems very obvious and only the start time and the level of growth remain in question. It is noteworthy that this is a global trend and this situation is observed in most dairy countries, and in the EU it was accompanied by rising prices during the first five months, in contrast to Ukraine, where prices have been stable all this time.

Source: CLAL

At present, however, the latest monitoring has still shown price stability and it is possible that the latter.

The price picture on the market of raw milk at present is the following:

  • extra - 10.21 UAH / kg, 
  • higher - 9.81 UAH / kg, 
  • first - 9.26 UAH / kg, 
  • weighted average of three grades - 9.76 UAH / kg. without VAT.

Average market range of price fluctuations for medium and large batches of extra milk by regions: north and center - UAH 9.80-10.5 / kg; south - UAH 9.80-10.5 / kg; east - 9.75-10.5 UAH / kg; measure - 9.70-10.45 UAH / kg.

Analytical department of the Association of Milk Producers