raw milk,
milk prices
Surpluses of raw milk put pressure on its price
The presence of surpluses of raw milk and unsold exchange goods is putting pressure on purchase prices in Ukraine and the world. Stabilization of the market situation is likely at the end of the 3rd quarter of 2026 as the excess supply of dairy products disappears from the market, — reports Georgy Kukhaleyshvili, an analyst of the Association of Milk Producers.
The average purchase price of Extra Grade milk as of December 20 was 15.30 UAH/kg excluding VAT, which is 1.00 UAH less than the previous month. The price range for this grade in farms varies from 14.80 to 16.00 UAH/kg excluding VAT. The lower limit of the price range decreased by 1.20 UAH, and the upper limit decreased by 0.80 UAH.
Higher Grade costs an average of 15.20 UAH/kg excluding VAT, which is 0.90 UAH less than the previous month. Prices for Higher Grade milk range from 14.70 to 15.80 UAH/kg excluding VAT. The lower limit of the price range decreased by 1.30 UAH, and the upper limit decreased by 0.50 UAH.
The average price for Grade I milk was 14.80 UAH/kg excluding VAT, down 1.10 UAH from the previous month. The minimum farm price was 14.00 UAH/kg, down 1.80 UAH from the previous month. The maximum price was 15.00 UAH/kg, unchanged from the previous month.
Accordingly, the weighted average price of the three grades was 15.20 UAH/kg excluding VAT, down 1.05 UAH from the previous month.
Georgy Kukhaleyshvili notes that the decline in purchase prices in Ukraine continues under the pressure of surpluses of raw milk. In November, Ukraine produced 35 thousand tons of raw milk more than last year. These volumes were supposed to be exported in the form of finished products. However, the crisis continues on export markets, and the supply of dairy products is ahead of demand. On average, a Ukrainian today consumes 200 kg of milk per year. However, due to the reduction in the number of consumers within the country due to forced migration as a result of Russian shelling, a significant surplus of raw milk has appeared on the market.