AGRO PERSPECTIVE «AGRO+ MILK UKRAINE #43 November 25, 2010.
As reported Ministry of Agrarian Policy referring to regions operative data, as of Nov 19/10,
Ukrainian average purchase price for 1 grade milk raw milk sold by agricultural companies has grown by 2.1%, from UAH3,572 per MT (as of Oct 19/10) to UAH3,648 per MT.
As of Nov 19/10, 1 grade milk raw milk minimal purchase price (UAH2,910 per MT) was registered in AR of the Crimea, maximal in Dnipropetrovsk region (UAH4,150 per MT).
As to report, as of Nov 19/10, 1 grade milk raw milk average purchase price was up 3.2% against Nov 12/10 and up as of Nov 19/09 UAH2,104 per MT.
As to Ministry, as of Nov 19/10, Ukrainian average purchase price for 2 grade milk raw milk sold by agricultural companies has declined by 1.7%, from UAH2,960 per MT (as of Oct 19/10) to UAH2,911 per MT.
As of Nov 19/10, 2 grade milk raw milk minimal purchase price (UAH2,250 per MT) was registered in Lviv region, maximal in Kharkiv region (UAH3,500 per MT).
As to report, as of Nov 19/10, 2 grade milk raw milk average purchase price was down 1.5% against Nov 12/10, but up as of Nov 19/09 UAH1,611 per MT. As to Ministry, as of Nov 19/10, Ukrainian average purchase price for 2 grade milk raw milk sold by population individual economies has lowered by 3.3%, from UAH2,698 per MT (as of Oct 19/10) to UAH2,610 per MT.
As of Nov 19/10, 2 grade milk raw milk minimal purchase price (UAH2,200 per MT) was registered in Volyn region/Lviv region, maximal in Donetsk region (UAH3,200 per MT).
As to report, as of Nov 19/10, 2 grade milk raw milk average purchase price was down 2.1% as of Nov 12/10, but up as of Nov 19/09 UAH1,495 per MT.
As to Ministry, as of Nov 19/10, wholesale price (incl. VAT) for milk 2.5% fat (in plastic bags) sold by Ukrainian dairy processors remained UAH5,22 per kg (unchanged against Oct 19/10); minimal price (UAH3,93 per kg) has been registered in Poltava region, while maximal price (UAH6,27 per kg) has been registered in Lugansk region.
As to report, as of Nov 19/10, wholesale price (incl. VAT) for milk 2.5% fat (in plastic bags) sold by Ukrainian dairy processors was up 0.6% against Nov 12/10 and up as of Nov 19/09 UAH3,73 per kg.
Reportedly, wholesale price (incl. VAT) for unpacked butter 72.5% fat sold by Ukrainian dairy processors has risen by 1% from UAH45,93 per kg (as of Oct 19/10) to UAH46,41 per kg (as of Nov 19/10); minimal price (UAH30 per kg) has been registered in Cherkasy region, while maximal price (UAH56,24 per kg) has been registered in Donetsk region.
As to Ministry, as of Nov 19/10, wholesale price (incl. VAT) for unpacked butter 72.5% fat sold by Ukrainian dairy processors was up 1% as of Nov 12/10 and up as of Nov 19/09 UAH31,27 per kg.
In meanwhile, within reporting week Ukrainian dairy market situation remained mainly same as within previous week even despite EU domestic dairy products’ market has got activated. However, experts say Ukrainian domestic raw milk purchase prices will be growing up correspondingly to temperature decline/raw milk output fall, what will consequently result in ready dairy products’ domestic sale prices growth.
Ukrainian dairy market operators expect domestic dairy products’ sale prices will stop lowering and begin growing in near future; reverse process will start.
SMP
Within this week domestic market high-quality SMP offer prices remained UAH2225 per kg (low-quality UAH2122 per kg), same as within last week.
As of this week, SMP export prices ranged within US$2,4002,600 per MT. It is to be admitted, within this week companies have exported SMP small lots to RF/Kazakhstan at US$2,6003,000 per MT.
WMP
Within reporting week domestic market WMP prices have grown against previous week. Prices’ growth is to be explained with fact that all previously produced SMP lots have been already sold off. So, newly produced SMP lots were offered at UAH3537 per kg, up against previous week UAH3235 per kg.
Within this week Ukrainian SMP domestic/export markets’ demand has fallen to zero low.
As of this week, Ukrainian SMP export price remained unchanged against previous week, - US$3,800 per MT.
BUTTER
Within reporting week Ukrainian domestic market butter situation has somewhat changed. It is to be admitted, domestic market butter prices have been declining each week since this year mid Aug. However, prices have started growing, though slightly, since this week beginning.
Thus, within this week butter 72.5% fat domestic market offer prices have grown to UAH3942 per kg (up against last week UAH3940 per kg).
Due to all above factors, Ukrainian butter export has become unattractive: taking into account domestic market prices, butter 72.5% fat average export price should have already risen to US$5,000 per MT. However, it is simply senseless to sell butter at this price.
CHEESES
As to Ukrainian traders/producers data, within reporting week domestic market demand for cheese (as well as all other dairy products) has somewhat slackened.
Within this week cheeses 50% fat domestic market offer prices remained UAH4345 per kg (unchanged against last week); it is to be admitted, there were rather large spreads between prices of same kind of cheese depending on producer, region and cheese amounts remained on warehouses.
As of this week, domestic market offer prices for lower quality cheeses (that is, cheese products) were UAH4043 per kg. Within reporting week cheese products’ export prices remained US$5,5005,600 per MT, unchanged against previous week.
WHEY
Within reporting week domestic market whey prices have grown against previous week; domestic market experienced whey deficit.
As of this week, home market whey prices have risen to UAH7,58,0 per kg (up as of last week UAH7,0 per kg).
Within this week whey export offer prices have also grown against last week, to US$780 per MT (up as of last week US$750 per MT).
Within this week domestic market demineralized whey prices have boosted to UAH9,0 per kg (up as of last week UAH8,08,4 per kg); demineralized whey export price equaled to US$1,000 per MT.
CASEIN
Within reporting week domestic casein market situation remained same as within previous week. As of this week, there was actually no domestic market casein trade.
Within this week domestic market casein prices fluctuated within UAH5962 per kg (down against last week UAH6166 per kg).
There was no casein export within this week. As of this week, casein export offer prices ranged within US$7,6007,700 per MT (down against previous week US$7,9008,000 per MT).
Ukrainian dairy products’ export prices (US$ per MT)