The rise in prices for dairy products has reached a painful level in Hungary

The milk processors are under pressure due to a number of circumstances, said Péter Szautner, co-chairman of the Milk Product Council and CEO of FrieslandCampina Hungária Zrt. The expert cited as examples the drastic increase in the prices of raw materials (raw milk and others), packaging materials, gas and electricity, as well as the shortage of labor in the food industry and the significant increase in production and logistics costs, the Portfolio wrote. According to Péter Szautner, these negative effects were further exacerbated by the Russia-Ukraine war conflict and the resulting increased geopolitical risk, while at the same time increasing the capital requirements for product and technology developments necessitated by changing market and consumer expectations. For example, a temporary decrease or loss of imports of sunflower oil and other basic raw materials from Ukraine or Russia is a new risk and cost-increasing factor. The current significant inflationary pressures and ...