Worldwide dairy prices fluctuate over the Ukraine crisis

Published Mar 23, 2022

Tridge summary

The article highlights the significant disruptions and challenges facing the global dairy industry as a result of the Russia-Ukraine conflict, with a focus on the impact on production costs, supply chains, and market dynamics. The conflict's effects on the availability and pricing of crucial raw materials like grains and nitrogen fertilizers, as well as the surge in financial market indices such as Fonterra's bond prices and the Global Dairy Auction prices, are discussed in depth. South Korea, in particular, is experiencing rising dairy product prices, with notable increases in cheese prices, affecting both the dairy sector and the broader food industry, indicating a potential widespread impact on consumer goods and food production.

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

Original content

[Reporter Min Byeong-jin, Livestock Newspaper] Concerns about risk escalation in the domestic dairy industry and food industry overall The Russian invasion of Ukraine has shaken the world dairy market. Due to the increase in raw material prices since last year, supply chain disruptions due to COVID-19, and climate abnormalities, production costs are rising and productivity is decreasing in major dairy countries. To make matters worse, this phenomenon is expected to become more pronounced as Russia invades Ukraine. The war between Russia and Ukraine, the major exporters of grains used for livestock feed, such as corn, soybeans, and wheat, and nitrogen fertilizers needed to grow them, has disrupted supply and demand, making it difficult to obtain feed and a sharp rise in prices. am. In fact, if you look at the price of corn in the Chicago grain market, the price per bushel on February 24, when Russia invaded Ukraine, was $7.18, up 5% from the previous day and more than 10% from the ...

Source: Chuksannews