Bulgarian milk and dairy prices are increasing, despite raw milk prices remaining stable or falling, due to speculative activities by processors and traders. Danail Nikolov, a farmer, has reduced his herd by over half due to the situation. Dairy farms are being liquidated as they are priced at or above cost, while milk processors will import and profit from milk. The production of Bulgarian raw natural milk is being suppressed by the import of cheap milk powder, and the dairy cattle breeding in the country is nearing collapse.