More than a year on from Russia’s invasion of Ukraine, dairy commodity prices have started to recover from the highs experienced in 2022. But as the market adjusts, processors find themselves under increasing pressure to reduce farmgate milk prices.
Dairy farmers globally continue to be impacted by elevated feed prices, which increased significantly during the early stages of the war in Ukraine. According to commodity prices and market intelligence data firm Mintec, global feed ingredient prices slid back down during H2 2022, but remain higher than in January 2022. Corn and wheat availability is also expected to be tight in 2023, with Russia and Ukraine accounting for 70% of the global supply and dry US weather expected to result in lower crop yields.
Published by: Damián Morais
Dairy Reporter
Teodora Lyubomirova
MAR 21, 2023
