By 2020, Ukraine will become a net importer of milk — FAO

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Ukraine is gradually moving towards the status of the net importer of milk, it is expected to happen in 2019-2020.

This was reported in the collection of FAO materials.

"So far the Ukrainian dairy business has not been successful in finding new markets for dairy products, so we should expect the development of the pessimistic scenario. In this situation, it is likely that a significant number of the outdated processing enterprises will go out of business", the report says.

According to the report, in 2017 we should expect recovery in domestic demand for milk by 2-3%. The dairy import is likely to grow by 15-20% due to high prices and increasing the profitability of production, followed by a decrease in profitability of milk processing.

"In 2020-2022, the attractiveness of investment in the modern processing and commercial production of quality milk will increase. In the 2023-2025 years Ukraine will probably restore the status of net exporter of milk", predict FAO experts.

We would like to remind that the Ukrainian dairy index (UDI) in November 2016 amounted to 3.65, which is 18.1% more than in the same period last year (3.09).