Radyvylivmoloko brief market review.
Trends in the dairy market in Ukraine.
In September, the main discussion theme is raw material price increase. The purchasing power of the population in Ukraine is low. Therefore, dairy producers can not raise prices for products on the domestic market relatively. Raw milk volumes are reducing due to season.
Raw milk trends
Raw milk price has increased by 18% during the last three months. Price growth is driven by high quality milk demand and export prices increase. In September, the average price was 0.36 USD / Kg.
The world butter market trends are changing, prices in Europe have started to decrease. The price for Ukrainian butter has been stable. Butter with a fat content of 72.5% is exported for 4000-4300 US dollars per ton. Butter with a fat content of more than 82% is sold an average for 5000 US dollars per ton. In Europe, such butter could be sold at 5400-5600 dollars per ton. Butter production is decreasing.
It seems that the casein production is going to close. Casein prices decreased slightly. At the end of September, the price for casein was 5800-6000 dollars per ton.
When raw milk price is getting higher, there is no interest to produce casein.
In October, raw milk price expected to rise again by 10%. Butter prices should remain at the same level as in September. Expected decrease in production of casein, most manufacturers will finish the season. On domestic market, fresh dairy products demand
should increase should increase.
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.