Ukraine is boosting its dairy product exports amid a decline in domestic raw material prices.

In March, Ukraine exported 12,270 tons of dairy products valued at $37.9M. Compared to February, physical export volumes rose by 20%, and compared to March 2024, by 44%. The largest receiving markets were Germany and Poland. Export revenue increased by 39% from February and by 110% from March 2024. The biggest gain was in ice cream exports, which rose to 1,520 tons (+76%).

In the first quarter, Ukraine exported 31,140 tons (+21%) of dairy products worth $89.77 million (+62%). The most exported categories were butter, milk, and cheese. In March, the cost of raw dairy products in Ukraine was 28% lower than in Europe, contributing to the growing interest in local products.

However, Serhiy Vovchenko, a top manager at the Milk Alliance holding, said that European producers who can offer lower prices for their products are pushing Ukrainian dairy products out of the markets in the Middle East and North Africa. He states that completing the duty-free trade agreement with the EU will also present a significant challenge for the industry.