“In the Ukrainian butter market, there is an aggravation of problems. After intensive summer exports, the warehouses of enterprises were full, and the sale of products within the country became more difficult. Leading manufacturers who are able to lower prices remain afloat, but for most this leads to unprofitability. At the same time, growing purchase prices for milk do not allow to maintain the profitability of production. Source — Infagro Price reduction of oil at the end”, — write on: ua.news
In the Ukrainian butter market, there is an aggravation of problems. After intensive summer exports, the warehouses of enterprises were full, and the sale of products within the country became more difficult. Leading manufacturers who are able to lower prices remain afloat, but for most this leads to unprofitability. At the same time, growing purchase prices for milk do not allow to maintain the profitability of production.
Source — Infagro
The price reduction of oil at the end of October did not improve the situation. Packaged products retain some advantages, but competition is increasing. On foreign markets, particularly in Moldova, prices are also falling, which adds to the difficulties of producers. Hopes for new duty-free quotas to the EU have not been fulfilled due to low price offers that do not cover costs.
These losses caused some mills to halt oil production, resulting in October output down year-on-year, which is a warning sign for the industry. The situation requires urgent measures to maintain market stability and prevent further production cuts.
