11:29 17.06.2016

Ukrainian milk companies ask ministry to save sector via state-ordered goods purchases

1 min read
Ukrainian milk companies ask ministry to save sector via state-ordered goods purchases

Representatives of the Ukrainian milk sector are alarmed with low purchase prices of raw milk and the ongoing reduction of milking cows. They ask to conduct state-ordered goods purchases to emerge from crisis.

The press service of the Association of Milk Producers reported that milk production is on verge of loss-making for the second year in a row. Last year only milking cow numbers in the country decreased by 8% and milk production – by 4%. Milk companies have fears that if the trend continues milk cow breeding will be completely destroyed.

"The growth of raw milk purchase prices on the Ukrainian market could prevent this. The trend would not be seen on the global market in the short term and only state-ordered goods purchases could help to do this, purchases of powder milk and butter," the association said.

Some profile associations headed by the Association of Milk Producers on June 13 sent an official letter to Agricultural Policy and Food Minister Taras Kutovy asking to initiate a working meeting with representatives of the sector, sector nongovernmental organizations and the Agrarian Fund to draft a joint plan to emerge from the protracted crisis.

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