According to UDEU experts, the reasons for this phenomenon are a sharp and significant increase in the cost of raw milk, which lasted several months. In addition, demand has decreased due to a decrease in consumer purchasing power, as well as prices for major export products, namely butter and milk powder, which made exports unprofitable.

“In the current situation, the UDEU considers it necessary to hold consultations with partners – milk producers – to develop a new model of relations. The UDEU believes that the new model should take into account the practices adopted in the EU countries, where long-term contracts are the basis of relations between producers and processors,” the statement said.

It is expected that such agreements will provide predictability in the work and contribute to the sustainable development of the domestic dairy industry.