Comparison of spot prices of raw milk and exchange-traded dairy products in Ukraine and the EU

Published 2024년 9월 10일

Tridge summary

The article highlights the recent trends in raw milk prices in Ukraine and the EU. In Ukraine, raw milk prices have surged to early 2024 levels due to the hryvnia's devaluation, which favors exports. Meanwhile, the EU has experienced a 26% rise in spot milk prices over the past month, driven by high demand and increased dairy product values post-holiday season. This has led to raw material costs in the EU surpassing milk powder and butter prices, indicating a raw milk shortage. In Ukraine, raw milk pricing is closely linked to butter costs, with a significant price gap between Ukrainian and EU dairy products.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

Against the background of record hryvnia indicators, the conversion into euros shows that the price levels of raw milk on the spot have only now reached the indicators of January-February 2024 (the average value of last week corresponds to 43 euro cents per kg in the 3.7/3.2 base). Such a situation is, of course, connected with the devaluation of the hryvnia, which automatically creates advantages for exports. For comparison, we look at the "rocket", that is, the price dynamics of spot milk in the EU (average for Germany, France and the Netherlands). Over the last month, milk on the secondary market has risen in price by 26%(!) and is calculated at the level of 58 eurocents per kg in the 3.7/3.2 base. Such wild growth clearly reflects the current demand and increasing value of exchange-traded dairy products (unpackaged butter, wholesale cheeses, milk powder and whey). It was formed in the last two weeks (for butter - earlier), immediately after the end of the mass holiday period ...

Source: MilkUA