Ukraine’s dairy industry under threat: why farms may reduce their cow numbers as early as this spring

12 February 21:57

Ukrainian dairy farms are in a tough spot financially right before spring planting, according to Komersant.

According to the Association of Milk Producers (AMP), farms are already operating at a loss: purchase prices for milk are falling, while the cost of livestock and feed is rising.

The industry warns that if a massive reduction in livestock numbers begins in the spring of 2026, it could take years to restore production.

Why the situation has worsened right now

Spring is traditionally a critical period for livestock farming. It is just before the sowing season that farmers make decisions about

  • how many cows to keep in the herd,
  • whether to sow fields with fodder crops,
  • whether to reduce production to cut current costs.

When milk production becomes unprofitable, reducing the number of cows often seems to be the only quick way to ease financial pressure. At the same time , the industry emphasizes that rebuilding a herd is much more difficult than reducing it.

Request for emergency support

The UMA has approached the Ministry of Economy with a request for urgent financial assistance. According to the association, the ministry has already sent a request to the European Union for funding for a special support program.

The key proposal is a subsidy of €160 per cow per year. These funds are intended to compensate for the costs of the so-called dry period — the time when a cow does not produce milk but requires full maintenance.

What farmers expect

The UAF emphasizes that the decision must be made before the start of the spring sowing season. According to market participants, this will be a signal to farms:

  • not to reduce their livestock numbers,
  • not to abandon the cultivation of fodder crops,
  • to preserve jobs in rural areas.

AVM Director General Hanna Lavreniuk emphasizes that this is not just about current financial difficulties, but about preserving the production potential of the entire industry.

The dairy industry in Ukraine has been under pressure for several years due to the war, logistical problems, and rising energy and feed prices. In these conditions, even a short-term reduction in livestock numbers can have long-term consequences, from a decrease in domestic milk production to an increase in dependence on imports.

Марина Максенко
Editor

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