Current State of Ukraine’s Dairy Industry: Challenges, Opportunities and Strategic Directions of Innovative Development

Authors

DOI:

https://doi.org/10.58423/2786-6742/2025-11-179-193

Keywords:

dairy processing industry, dairy sector, innovation, influencing factors, development trends, production dynamics, milk and dairy products market

Abstract

The dairy and milk products market in Ukraine remains a key component of national food security. Ensuring access to high-quality dairy products is crucial for maintaining public health. The purpose of this study is to comprehensively examine the current state, key trends, and development prospects of the milk and dairy market in Ukraine, as well as to identify innovative directions for the activities of dairy processing enterprises to enhance their competitiveness.

The subject of the study is the set of economic relations and managerial decisions that shape the strategies of functioning and development within the dairy industry.

The research methodology is based on systematic, factor, and comparative approaches, which made it possible to evaluate production dynamics, foreign trade orientations, and innovation-driven development.

The findings reveal that the operation of dairy enterprises is complicated by instability in the raw material base, price fluctuations, intense market competition, and the negative impact of military actions on production capacities and logistics chains. The study emphasizes that sustainable development in the sector depends on the implementation of innovative technologies, modernization of production facilities, diversification of high-value-added products, and increased export activity. A clear trend is observed toward the growth of enterprises focused on innovation and compliance with international quality standards.

The practical significance of the results lies in their applicability for enterprise-level strategy development and for public authorities seeking to improve support tools for the agro-industrial sector.

The conclusions highlight that the effective development of the dairy industry requires a systemic combination of market mechanisms and state regulation, stabilization of the raw material base, attraction of investment, and support for innovation projects. Strategic planning must also take into account global challenges and integration processes.

Author Biographies

Nataliia Skopenko, National University of Food Technologies

Doctor of Science in Economics, Professor

Iryna Severyna, Taras Shevchenko National University of Kyiv

Candidate of Economic Sciences, Associate Professor

Mykola Vozniuk, National University of Food Technologies

PhD Student

References

1. State Statistics Service of Ukraine. (2024). Production of main types of livestock products in 2024. Kyiv: Derzhstat of Ukraine. https://ukrstat.gov.ua [in Ukrainian]

2. Association of Milk Producers of Ukraine. (2024). Analytical review of the milk and dairy products market for 2024. Kyiv: AMP. https://avm-ua.org [in Ukrainian]

3. Donets, L. Ya., Rodina, O. V., & Kurbatska, L. M. (2024). Trends in the development of the milk market in Ukraine. Problems of Modern Transformations. Series: Economics and Management, (11). https://doi.org/10.54929/2786-5738-2024-11-03-04 [in Ukrainian]

4. Stakhurska, S. V. (2023). Research on the dairy products market of Ukraine. Journal of Strategic Economic Studies, 2(13), 102–109. https://doi.org/10.30857/2786-5398.2023.2.11 [in Ukrainian]

5. Mozhelianska, A. (2023). Current trends and challenges of the dairy industry in Ukraine. Bulletin of Sumy National Agrarian University, 4(96), 8–11. https://doi.org/10.32782/bsnau.2023.4.2 [in Ukrainian]

6. Association of Milk Producers of Ukraine. (2025). Milk map of Ukraine 2025: achievements despite losses. https://avm-ua.org [in Ukrainian]

7. Ivashyna, L., Byshovets, L., & Oliferchuk, O. (2024). Dairy market in Ukraine: assortment and quality. Innovations and Technologies in the Sphere of Services and Nutrition, 4(14), 16–24. https://doi.org/10.32782/2708-4949.4(14).2024.3 [in Ukrainian]

8. Bondarenko, V., & Omelianenko, O. (2024). Milk market in Ukraine: threats and prospects. Modeling the Development of the Economic Systems, 2, 346–351. https://doi.org/10.31891/mdes/2024-12-48 [in Ukrainian]

9. Kozak, O., & Hryshchenko, O. (2022). Milk and dairy market: global development trends and prospects for Ukraine. Herald of Khmelnytskyi National University. Economic Sciences, 308(4), 90–96. https://doi.org/10.31891/2307-5740-2022-308-4-14 [in Ukrainian]

10. Agroberichten Buitenland. (2024). Dairy Industry in Ukraine: Challenges and Opportunities. (n.d.). openknowledge.fao.orgams.usda.govagroberichtenbuitenland.nl

11. FAO. (2022). The impact of the war in Ukraine on agriculture and food security. Rome: FAO. https://fao.org

12. Agroportal. (2025). Empty storages: since the beginning of the year, dairy exports reached record figures. https://agroportal.ua/publishing/analitika/komori-pusti-z-pochatku-roku-eksport-molochnoji-produkciji-syagnuv-rekordnih-pokaznikiv [in Ukrainian]

13. State Statistics Service of Ukraine. (2025). https://www.ukrstat.gov.ua [in Ukrainian]

14. MilkUA.info. (2025). Raw milk prices remain stable. https://milkua.info/uk/post/cini-na-moloko-sirovinu-trimaut-stabilizaciu [in Ukrainian]

15. MilkUA.info. (2024). Future of the dairy industry discussed during the XVI International Dairy Congress: challenges, investments and EU integration. https://milkua.info/uk/post/pid-cas-xvi-miznarodnogo-molocnogo-kongresu-obgovorili-majbutne-molocnoi-galuzi-vikliki-investicii-ta-integracia-z-es [in Ukrainian]

16. The Union of Dairy Enterprises of Ukraine. (2023). State Statistics Service published data on the number of dairy processing enterprises. https://uadairy.com/derzhstat-oprylyudnyv-dani-shhodo-kilkosti-molokopererobnyh-pidpryyemstv [in Ukrainian]

17. Ukrainian Business Award. (2025). Ranking of the Best Dairy Producers. https://uba.top/dairy-producers-in-ukraine [in Ukrainian]

18. Milk Alliance. (2025). https://milkalliance.com.ua/ [in Ukrainian]

19. TerraFood. (2025). https://terrafood.ua/ [in Ukrainian]

20. PJSC “Prydniprovsky Dairy Plant”.(2025). https://www.zlagoda.dp.ua/about/ [in Ukrainian]

21. Danone. (2025). https://danone.ua/#danone [in Ukrainian]

22. Loostdorf. (2025). https://www.loostdorf.com/ua/ [in Ukrainian]

23. Galychyna. (2025). https://dostavka.galychyna.com.ua/ [in Ukrainian]

24. PJSC “Ternopil Dairy Plant”.(2025). https://pjsc.molokija.com/ua/ [in Ukrainian]

25. PJSC “Yuriya”.(2025). https://uadairy.com/prat-yuriya/ [in Ukrainian]

26. Certified Organic Farm “Staryi Porytsk”. (2025). https://porytsk.com/#rec120211815 [in Ukrainian]

27. Nashe Moloko. (2025). https://nashe-moloko.com/ [in Ukrainian]

28. Association of Milk Producers. (2024). Ukraine increased dairy exports in 2024. https://avm-ua.org/uk/post/ukraina-narostila-molocnij-eksport-v-2024-roci [in Ukrainian]

Published

2025-12-17

Issue

Section

Economics and management