Due to mobilization in Ukrainian agriculture, there is a shortage of labor

Oleg Pendzin, the leader of the Economic Discussion Club, highlighted that many villages are experiencing a shortage of able-bodied men due to their participation in the war. This situation is leading households to dispose of domestic livestock. Given the traditionally high presence of private farms in the Ukrainian milk and meat market, the decrease in livestock is affecting both supply and prices.

Milk prices in Ukraine have seen a significant surge since the fall, with increases occurring almost every week. Over a span of four months, the price of milk has risen by one-third, reaching approximately 16 hryvnias per liter—nearly reaching European price levels. This surge is primarily attributed to a new phase of reducing the number of cows, particularly in the private sector, where people are culling livestock due to the challenges associated with their care.

Consequently, the cost of dairy products has already experienced an upturn. According to State Statistics, in December of the previous year, the retail prices of milk increased by 2.3%, cheese and curd by 1.5% and butter by 2.7%. These price trends are accelerating, indicating that both milk and meat will continue to witness price hikes.