Cheese Imports Force Ukrainian Producers to Cut Production
Ukrainian dairy processing companies are compelled to reduce cheese production volumes in response to record imports of this product into the domestic market. Dairy plants, including PJSC “Dubnomoloko” (TM “KOMO”), are already facing the need to adapt their production plans to the new market conditions.
This is reported by AgroReview
Decline in Domestic Producers’ Market Share
The General Director of PJSC “Dubnomoloko”, Agnesa Monashko, noted that the rapid increase in cheese imports is leading to a reduction in the market share of Ukrainian producers. Manufacturers, under pressure from competition posed by imported products, are forced to cut production to avoid losses.
“For example, the production of cheese under the TM ‘KOMO’ has already decreased by 30%, and a similar situation is observed among other producers in this sector,” said Agnesa Monashko.
Consequences for the Industry and Consumers
According to Agnesa Monashko, this trend could result in serious negative consequences for the industry. The decrease in production volumes leads to an increase in costs per unit of product, which automatically raises the production cost of cheeses. Consequently, the price for consumers also rises, further complicating the competition for Ukrainian producers against cheaper imports.
Thus, the strengthening of imported cheese positions creates additional challenges for Ukrainian enterprises, forcing them to seek new ways to maintain competitiveness in the market.
