The share of extra-grade milk has increased to 20%.

According to the results of three quarters of 2018, dairy processing enterprises of Ukraine received 3.3 million tons of basic fat milk, which is 3.7% less than the corresponding period of last year. It is 41.3% of the total milk production.

Of the total milk procured by processing enterprises, 2.06 million tons of milk came from agricultural enterprises (+ 1%). Income from households amounted to 906 thousand tons (-9.8%).

The share of milk of extra grade in the structure increased from 15.5% to 21% (426.4 thousand tons), the highest grade - from 35.8 to 38.2% (792.4 thousand tons), 33.9% of the first grade milk were purchased, compared to 39.4% last year (704.4 thousand tons).

Receipt of first grade milk from households increased from 9% to 12.8% (115.6 thousand tons), while the second dropped from 87.2% to 83.2% (754.3 thousand tons).

In October, the competitiveness of Ukrainian dairy products in the world declined by about 7-8%

The Ukrainian index of conditional profitability of milk (CPM) in October grew by 13%, the largest change in the index during the current year.

Such a dynamic growth of CPM occurred against the backdrop of falling global milk prices: FAO dairy prices dropped by 4.8% in October and GDI index by 3.1%. Growth of CPM occurred mainly due to the subsequent reduction of the value of the feed ration, and, to a lesser extent, due to the increase in purchasing prices for raw milk.

In fact, it can be said that the competitiveness of Ukrainian dairy products in the world in October decreased by about 7-8%, taking into account the rise in prices for raw milk against the background of lower export prices for finished products.

Such trends are likely to confirm the recovery of domestic demand for dairy products and show that the seasonality of milk production, though decreasing, remains high.

In October 2018, professional milk producers in Ukraine earned 15.8% less profit than in the same month last year, but for the first time in the current year, the CPM level for the month was higher than in the corresponding month of 2016.

In general, for the current year, the profits of professional milk producers have fallen by the same 15% compared to the 10 months of 2017. Consequently, the year can not be included in the assets of producers. And this means that the output is only one - increasing efficiency.

Sunday, 18 November 2018

 

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