Milk production cost in Russia increased by 3.1% in September

Published 2024년 10월 31일

Tridge summary

In Russia, the cost of raw milk production increased by 3.1% last month compared to August and by 9.2% compared to the same month last year, driven by higher prices for production components such as feed grain and electricity, as well as inflation, rising labor costs, and higher loan rates. Despite these increases, the rise was slightly lower than expected due to smaller wage adjustments. Since early 2017, milk production costs have surged by 83.6%, while purchase prices for raw milk have only risen by 29.5%. Currently, the average price for milk with 3.2% protein and 3.7% fat is 38.6 rubles per kilogram, marking a 22% increase from last year.

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

Original content

The cost of raw milk production in Russia increased by 3.1 percent last month compared to August, Milknews reports, citing data from the Soyuzmoloko analytical center. It also exceeded the level of the same month last year by 9.2 percent. Its increase is due to the continuing rise in prices for the main components of production. In particular, according to Rosstat, the cost of meals and cakes increased by 4.2 percent in a month, feed grain by 1.8, and electricity by 0.9, amid continued inflation and expectations of further increases in labor costs, as well as a seasonal decline in productivity. In addition, the increase in the Central Bank's key rate and the growth of rates on short-term loans (including preferential ones) attracted by agricultural producers to finance operating activities also contribute to the increase in cost. However, this increase in cost was 0.3 percentage points less than the old forecasts due to a less significant (compared to expected) adjustment in ...

Source: Rosng