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04
03.2019

The market of dry milk and casein in Ukraine, outlook.

Today is March 2019. Dairy season in Ukraine is coming to the beginning.

 

What we can observe at the moment:

 

  • growth prices for Skimmed Milk Powder;
  • growth prices for Whole Milk Powder;
  • growth prices for Technical Acid Casein.

 

The main reasons for this situation, in our opinion, are:

 

  • a full sale of interventional milk powder in Europe;
  • deterioration of weather conditions, drought in NZ as a consequence of a reduction in the growth potential of milk processing;
  • stable and high demand in the US market;
  • the minimum offer from Belarus;

 

Ukrainian dairy producers are in no hurry to start processing milk for casein and dry milk, having a stable market for finished products and a low level of raw milk at the moment. At the same time, cheese factories also provide a stable demand for raw milk and a high purchase price.

 

Currently in Ukraine:

 

  • average price for Skimmed Milk Powder - 2100 to 2200 USD/MT;
  • average price for Whole Milk Powder - 2,900 to $ 3,000 USD/MT;
  • average price for Technical Acid Casein - 5600 to 5700 USD/MT.

 

 

 

 

Conclusion and Forecast

 

Analyzing the short-term dynamics of changes in prices for dry milk and casein it can be said that Ukrainian producers can expect price strengthening and stable demand.

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