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Prices for some dairy products in Ukraine (March 12-19, 2020)

Prices for most positions in the domestic dairy market have decreased over the reporting period. In general, negative sentiment prevails in the market due to the introduction of quarantine both domestically and by partner countries. Producers note that milk production in the country will grow seasonally, because «you cannot quarantine cows», but there are likely to be difficulties with deliveries of products, which will lead to their accumulation. At the same time, weakening of the hryvnia restrains the lowering of prices in this segment.

Powder milk (SMP/WMP)

Domestic SMP/WMP prices have decreased last week. The negative result of these positions at the last GDT Event and low export and domestic demand pressure this segment of the market, however, weakening hryvnia restrains price reduction.

Butter

Domestic butter prices have slightly increased during the reporting period amid the rise in price of this product in the global market and an increase in domestic demand for it. Growth has been also supported by the strengthening of this position in recent GDT Event and the weakening of the hryvnia.

Casein

Domestic casein prices have not changed significantly last week due to the stable supply-and-demand balance, but the product has fallen in price on the export market due to producers’ concerns about possible difficulties in organizing supplies to foreign markets.

Whey

Whey prices have decreased slightly over the reporting period, as the activity of buyers in this segment is low, especially in the export market. In addition, decrease in cost of whey by Belarusian producers has had a significant pressure on this market segment. Most likely, downward trend in this segment will continue at least until mid-April.


20.03.2020

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