June 21, 2011

 

Surprise surge in Ukrainian milk prices 

 

 

A slight declination of purchase prices of milk in Ukraine in May, which is a usual occurrence for the spring-summer period, was reinstated by the stabilisation and even a minor increase in June, according to the Ukrainian Agribusiness Club.

 

The club stated that the present season is not easy for milk producers. In particular, not enough rain, difficulties with preparation of coarse fodder, a slight fall in milking due to high temperatures and worse green fodder have led to a fall in milk production over the first five months of 2011 by 1.2% year-over-year.

 

The club said that the stabilisation of purchase prices helps increasing business' profitability and restoration of its investment attractiveness for highly-efficient farms.

 

As reported by the State Statistics Service of Ukraine, in January-May 2011, milk output fell by 2%, to 4.2 million tonnes.