milk, milk grades, milk prices
Milk prices rose amid demand from confectioners

 

Weak demand for whole milk products in the domestic market and uncertainty about the prospects for the export of exchange-traded goods to the EU will restrain the growth of purchase prices in Ukraine, — reports the analyst of the Association of Milk Producers Georgy Kukhaleyshvili. As of August 25, the weighted average price of three grades was 17.20 UAH/kg excluding VAT, which is 1.20 UAH more compared to the results of the previous monitoring.

The average purchase price of Extra Grade milk as of August 25 was 17.35 UAH/kg excluding VAT, which is 1.21 UAH more than a month ago. The price range for this grade in farms varies from 16.90 to 17.80 UAH/kg excluding VAT. The lower limit of the price range increased by 1.40 UAH, and the upper limit increased by 1.10 UAH.

Higher Grade costs an average of 17.05 UAH/kg excluding VAT (+1.2 UAH). Prices for Higher Grade milk range from 16.30 to 17.40 UAH/kg excluding VAT. The lower limit of the price range increased by 1.00 UAH, and the upper limit increased by 1.05 UAH.

The average price for Grade I milk was 16.40 UAH/kg excluding VAT, which is 0.95 UAH more compared to the second half of last month. The minimum price in farms was 15.70 UAH/kg. The maximum price was 16.80 UAH/kg. The lower limit of the price range increased by 0.70 UAH, and the upper limit increased by 1.20 UAH.

Georgy Kukhaleyshvili notes that the increase in prices for raw milk in the second half of August is due to increased demand from cheese producers, as well as confectionery enterprises that use dairy products in the production of sweets. However, dairy processing enterprises mainly work on a warehouse basis, and further growth in purchase prices depends on the prospects for the export of exchange-traded goods to the EU after the European Commission abolished autonomous trade measures (ATMs) in June.