Expert Opinion
Georghii Kuhiashvili
analyst
Association of Milk Producers

The Global Dairy Market Enters a New Stage of Transformation

The global dairy market enters a new stage of transformation. The EU faces a reduction in profitability and intensifying competition. The US places its bet…

Georghii Kuhiashvili
analyst
Association of Milk Producers

Global Dairy Market: Overproduction, Price Decline, and Recovery Prospects

In 2025, the global dairy market was influenced by factors such as animal diseases, weather, geopolitical and economic changes related to protectionist measures in the…

Farmers Operating at a Loss, While Retail Milk Prices Remain Unchanged: Who Claims the Difference?

The price of farm milk in Ukraine has dropped significantly, yet dairy products on store shelves have not decreased in cost. Who is capturing the margin between the farm, the processing plant, and the supermarket, and why are retailers remaining silent? Ekonomichna Pravda (epravda.com.ua) breaks down the supply chain from the farm to the cash register.

Spot" in the Dairy Business: What It Means and How It Affects Prices

The term "spot milk" is increasingly used in the dairy business, and it is key to understanding price dynamics. Unlike raw material supplied under long-term contracts, "spot" is milk sold for a short term. Although the share of such milk in Ukraine is small, these batches are a sensitive indicator that sets the overall trend and, therefore, has a noticeable impact on contract negotiations.

Falling Procurement Prices Create Risks for the Dairy Industry

Reduced exports, weak domestic demand, declining global commodity prices, and the consequences of blackouts will contribute to lower prices for raw milk. Strengthening the fight against counterfeit goods and gray market dairy imports into Ukraine could improve the situation in the dairy industry, according to Georghii Kukhaleishvili, analyst at the Association of Milk Producers (AMP).

Purchase Prices Depend on EU Negotiations

In the second half of June, raw milk prices slightly decreased due to weak domestic demand and reduced exports following the EU's reinstatement of quotas and duties. The future price dynamics will depend on the results of negotiations with the European Commission regarding increased quotas, reports Georghii Kukhaleishvili, an analyst at the Association of Milk Producers.

EU Quotas and Duties Reinstatement Pressures Purchase Prices

Amidst a surplus of raw milk and finished products in Ukraine, the cancellation of trade benefits by the EU, and an increase in cheese imports, Ukraine is experiencing a decline in purchase prices, which may continue in the second half of June, reports Georghii Kukhaleishvili, an analyst at the Association of Milk Producers (AMP).

Raw Milk Prices Maintain Stabilization

At the beginning of May, Ukraine is observing a certain stabilization of raw milk prices against the backdrop of a recovery in demand for dairy products in export markets. At the same time, considering the reduction in demand for dairy products in the domestic market, the prospect of increasing purchase prices depends on how much exports will grow in the short term, according to Georghii Kukhaleishvili, an analyst at the Association of Milk Producers of Ukraine.

Milk Prices Decline

Raw milk prices in Ukraine decreased at the beginning of January due to reduced demand from dairy processing enterprises during the New Year holidays. A further increase in purchase prices is likely during 2025 due to rising production costs, reports Georgii Kukhaleyshvili, an analyst at the Association of Milk Producers.