Ukraine’s Dairy Industry to End 2025 with Increased Milk Processing

This year, Ukraine’s dairy industry enterprises plan to process about 3.5 million tonnes of milk, which is 10% more than in 2024. This was reported by Vadym Chagarovskyi, Chairman of the Union of Dairy Enterprises of Ukraine (UDEU), during the 17th All-Ukrainian Conference “Dairy Business 2025”, ProAgro Group reports.

According to him, the growth in processing volumes became possible thanks to the efforts of raw milk producers, who managed to supply additional volumes of high-quality milk despite wartime challenges, rising production costs, and resource shortages. This indicates a gradual stabilization of the dairy sector after several difficult years.

At the same time, the industry faces a number of systemic problems. Among the key challenges, Chagarovskyi highlighted the growing share of counterfeit dairy products on the domestic market, which creates unequal competition conditions for bona fide producers and undermines consumer trust.

Another serious concern is the increase in cheese imports, which intensifies pressure on Ukrainian processors, especially in the value-added products segment. According to the head of the UDEU, under conditions of an open market and differences in state support for producers across countries, this poses a significant challenge for the domestic dairy industry.

The shortage of qualified personnel remains another acute issue, affecting both milk production and processing. The lack of specialists complicates enterprise modernization and the implementation of new technologies.

To enhance market stability and predictability of cooperation between participants in the production chain, Chagarovskyi expressed hope that in 2026 the UDEU will be able to introduce a standard long-term contract between milk producers and processing companies. In his opinion, such a tool would help reduce risks, improve planning, and strengthen partnerships within the industry.

Earlier it was reported that Ukrainian dairy processors are actively increasing the production of fresh dairy products, despite the need to sell them with significant discounts.

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