May 2018

 General Information

The end of May in Ukraine the outside temperature was very hot. This affected the raw milk quality. In Ukraine, the problems with how to process the protein have not been solved. The problem with the export of analog cheese (to Russia) was not solved. Belarus butter prices influence some markets.

Raw milk - trends

In May, the raw milk price declined more significantly than in previous months. This was expected by the seasonality and low export prices for Ukrainian dairy products. The average price from farms in May was 0.32* USD per kg. The raw milk amount in May was probably the largest in the whole year.

Butter

Despite the positive trends on the world butter market, traders are in no hurry to buy Ukrainian butter. The price for Ukrainian butter also remains at the same level compared to April. Butter with a fat content of 72.5% is exported for 3400-3600 USD per ton. Butter with a fat content of 82% is sold on average 4100-4250 USD per ton. To the European Union countries such butter can be sold on average 5100-5200 USD per ton.

Casein

Due to the fact that the export of analog cheese is practically impossible, the casein production is the best option for the raw milk surplus. In May, about 1,500 tons of casein were produced in Ukraine. The price for casein was close to 5400-5500 USD per ton.

Our production
in May

Butter
183
Casein
106
Cheese 
92

Our forecast for June

In June, the number of raw milk is likely to decrease. The price will remain at the same level. The consumption of fresh dairy products in Ukraine will seasonally decrease. The amount of casein production will be the same as in May or less, and the price of casein should not decrease. Despite the trends in the world market, the price of Ukrainian butter will remain at the same level, perhaps in late June, maybe, we can expect a slight increase.

* - the price for 1 liter of high-quality milk. (fat 3.4%, protein 3.2%)

Brief May (pdf)

This information booklet is intended only for customers and partners of Radyvylivmoloko LLC. Not for public or commercial use. All the information, mentioned here should be considered only as and opinion of Radyvylivmoloko staff.