dairy market
Supply and demand in the dairy market are now balanced
In the second half of February, Ukrainian raw milk market was stable. Both purchase and spot prices have not changed much over the past two weeks.
This indicates that there is a balance in supply and demand now. In February supply of raw materials, growth in demand for fresh milk products and continuing shipments of cheese products to foreign markets are balanced by the low, if to compare to the cost of raw materials, export prices, strong hryvnia and expectation of a decrease in dairy demand in the domestic market with the beginning of Lent.
At the end of February, dairy farms sell milk by the price in the range of 9.00−10.00 UAH/kg including VAT (for the base fat-protein).
Spot prices are also stable: the price of milk in the secondary market corresponds to the range of the farm raw milk, cream is sold at a price of 54−58 UAH/kg, and skim milk, depending on quality, is sold at 5.10−5.70 UAH/kg.
The dynamics of raw milk price on the market in March will depend entirely on the actions of fresh dairy producers and producers of real cheese.