The profitability of milk production has significantly decreased in Ukraine

The profitability of milk production in 2018 decreased by 14%. According to experts, it happened because of an increase in prices for concentrated feeds and a decrease of world prices for dairy products, writes “Agro-Center”.

The Ukrainian dairy index is an indicator of the profitability of milk production at professional farms. It decreased by 14.1% compared to 2017.

“Professional milk producers in Ukraine who were unable to increase the production efficiency became 14.1% poorer. The main reason is an increase in prices for concentrated feeds by 21.6% in 2017. Another factor – the external one – the world prices for dairy products were on average 5% lower than in 2017. Prices for cheese decreased by 6%, for milk fat – by 8%, and for milk protein – by 4%,”

wrote Andrew Yarmak on his Facebook page.

At the same time, the expert assured that in the near future the first cooperative factory of a national scale will begin its work in Ukraine:

“I know that I have been promising this for a long time, but our farmers are conservative, and not very willing to negotiate. We are really close to the goal! In 2020, there should be at least two factories. Alright, maybe in 2021. And I’m not talking now about small factories. These will be national players, possible leaders,”

added Andrew.

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