RussianDairy.com: The farmgate milk price drops. But very slowly

According to the data from the Center of the dairy market research, RussianDairy.com, during the first decade of the June the factual farmgate milk price set at 18.0 Rubles per liter including VAT.

According to the data from the Center of the dairy market research, RussianDairy.com, during the first decade of the June the factual farmgate milk price set at 18.0 Rubles per liter including VAT. This is three kopek (Ruble cents) lower than the previous results for the end of the May 2013.  

As it was pointed earlier, there is an abnormal situation with the milk price this year. The expected seasonal milk price decrease has not started yet. On the contrary, experts see the raw milk price rise in the number of regions. According to the representatives of the RussianDairy.com, the situation is related both with the prevailing prices in the world and with hard times for the dairy cattle. In particular, since the February 2013 dairy cattle number decreases. The main causes could be: the last year's drought, the subsequent feed shortage, the changed terms for the receiving subsidies per liter of supplied milk and the delayed allocation of the specified funds.

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