{"id":5348,"date":"2022-05-26T10:23:54","date_gmt":"2022-05-26T07:23:54","guid":{"rendered":"https:\/\/qftp.org\/?p=5348"},"modified":"2022-05-26T10:23:55","modified_gmt":"2022-05-26T07:23:55","slug":"the-first-of-a-series-of-expert-discussions-on-the-current-state-of-the-dairy-sector-main-problems-and-steps-to-address-them-took-place","status":"publish","type":"post","link":"https:\/\/old.qftp.org\/en\/the-first-of-a-series-of-expert-discussions-on-the-current-state-of-the-dairy-sector-main-problems-and-steps-to-address-them-took-place\/","title":{"rendered":"The first of a series of expert discussions on \u201cThe Current State of the Dairy Sector: Main Problems and Steps to Address Them\u201d took place"},"content":{"rendered":"\n<style type=\"text\/css\" data-created_by=\"avia_inline_auto\" id=\"style-css-av-l3momoio-ec3db0f4acab406d66558afb61fe06be\">\n.avia-image-container.av-l3momoio-ec3db0f4acab406d66558afb61fe06be img.avia_image{\nbox-shadow:none;\n}\n.avia-image-container.av-l3momoio-ec3db0f4acab406d66558afb61fe06be .av-image-caption-overlay-center{\ncolor:#ffffff;\n}\n<\/style>\n<div  class='avia-image-container av-l3momoio-ec3db0f4acab406d66558afb61fe06be av-styling- avia-align-center  avia-builder-el-0  el_before_av_codeblock  avia-builder-el-first '   itemprop=\"image\" itemscope=\"itemscope\" itemtype=\"https:\/\/schema.org\/ImageObject\" ><div class=\"avia-image-container-inner\"><div class=\"avia-image-overlay-wrap\"><img decoding=\"async\" fetchpriority=\"high\" class='wp-image-5332 avia-img-lazy-loading-not-5332 avia_image ' src=\"https:\/\/old.qftp.org\/wp-content\/uploads\/2022\/05\/image_2022-05-18_14-01-58-1-300x195.png\" alt='' title='image_2022-05-18_14-01-58'  height=\"195\" width=\"300\"  itemprop=\"thumbnailUrl\" srcset=\"https:\/\/old.qftp.org\/wp-content\/uploads\/2022\/05\/image_2022-05-18_14-01-58-1-300x195.png 300w, https:\/\/old.qftp.org\/wp-content\/uploads\/2022\/05\/image_2022-05-18_14-01-58-1-1030x669.png 1030w, https:\/\/old.qftp.org\/wp-content\/uploads\/2022\/05\/image_2022-05-18_14-01-58-1-768x499.png 768w, https:\/\/old.qftp.org\/wp-content\/uploads\/2022\/05\/image_2022-05-18_14-01-58-1-705x458.png 705w, https:\/\/old.qftp.org\/wp-content\/uploads\/2022\/05\/image_2022-05-18_14-01-58-1.png 1431w\" sizes=\"(max-width: 300px) 100vw, 300px\" \/><\/div><\/div><\/div>\n\n<section  class='av_textblock_section av-l3morpxk-9c42af235d324f41eb7bb10cd9c9a27f '   itemscope=\"itemscope\" itemtype=\"https:\/\/schema.org\/BlogPosting\" itemprop=\"blogPost\" ><div class='avia_textblock'  itemprop=\"text\" ><p><span style=\"color: #000000;\"><strong>On 18 May 2022<\/strong>, the first session of expert discussions on the topic <strong>\u201cThe Current State of the Dairy Sector: Main Problems and Steps to Address Them\u201d <\/strong>to support and promote dairy export during the war was held.<\/span><\/p>\n<p><span style=\"color: #000000;\">First Deputy Minister of Agrarian Policy and Food of Ukraine Taras Vysotskyi, Deputy Head of the State Service of Ukraine on Food Safety and Consumer Protection Olga Schevchenko, Head of the Union of Dairy Enterprises of Ukraine Vadym Chagarovskyi and leading analyst of the analytical agency INFAGRO Maksym Fastieiev spoke at the event. \u00a0\u00a0\u00a0<\/span><\/p>\n<p><span style=\"color: #000000;\">The experts discussed the current state of dairy export, state support to the dairy sector in international trade, outlined the current problems of the dairy sector and, in particular, in international trade, new rules and export opportunities. \u00a0<\/span><\/p>\n<p><span style=\"color: #000000;\">According to <strong>Taras Vysotskyi<\/strong>, the government have not limited dairy export, while for other product categories there is an export ban or export licensing. The Ministry is confident that the dairy sector can be profitable \u2013 it can satisfy both the domestic demand and dairy export. Thus, the dairy producers can plan their long-term export activities. The good news is green corridors at the border for two product groups \u2013 fuel and agricultural products.\u00a0<\/span><\/p>\n<p><span style=\"color: #000000;\"><strong>Olga Schevchenko<\/strong> highlighted that a transit possibility via the EU is a relevant issue for exporters. Today the businesses have the right to export their products to the third countries in transit through the EU countries. The only requirement is having a transit certificate which certifies compliance with animal health requirements.\u00a0<\/span><\/p>\n<p><span style=\"color: #000000;\"><span style=\"color: #99cc00;\"><a style=\"color: #99cc00;\" href=\"https:\/\/drive.google.com\/drive\/u\/6\/folders\/10i4ymqzxegksyU2wDV_G5uzDQBMb6_Bz\" target=\"_blank\" rel=\"noopener\">Transit through the EU<\/a><\/span> can now be in two ways. The first way is in containers properly sealed and certified by the SSUFSCP inspectors for the third countries. In this way the products are transited without transhipment and delivered to the destination countries with a relevant certificate. \u00a0<\/span><\/p>\n<p><span style=\"color: #000000;\">The second way includes the procedure of transhipment. There might be problems here, as the certificates issued in Ukraine for the third countries become void after transhipment. There is work underway to organize transhipment in the Polish warehouses. It is planned to organise additional certification by Polish veterinary inspectors. There is a certain problem in this approach \u2013 the transhipment certificate has to be recognized by the third country. \u00a0<\/span><\/p>\n<p><span style=\"color: #000000;\">Olga Schevchenko also informed about opening new border crossing points. The additional railway border crossing point was opened on the Ukrainian-Polish border, two railway and road pints &#8211; on the Ukrainian-Romanian border.\u00a0 For the full list of border crossing points see the <u>infographics<\/u>.<\/span><\/p>\n<p><span style=\"color: #000000;\">Meanwhile, according to Olga Schevchenko, there is still a high level of trust to the Ukrainian products in the EU. It is confirmed by the fact that even during the war three more dairy enterprises have been included in the list of food exporters to the EU.<\/span><\/p>\n<p><span style=\"color: #000000;\">In addition, during the event <strong>Vadym Chagarovskyi<\/strong> outlined the current problems of the dairy sector, which include increase in the dairy production costs, reduction in the number of consumers on the domestic market, loss of produced dairy products in the occupied territories and in a war zone, problems with settlements on the part of retail chains, lack of effective lending tools for dairy processing enterprises for the wartime, freezing the state support programs for dairy producers and processors for the wartime by the Ukrainian government. \u00a0\u00a0The logistical problems include: absence of sea connections, lack of shipping containers in the Baltic region, lack of fuel, foreign carriers do not allow road transport to the cities which are shelled from time to time, the cost of road transportation has grown by more than 40-60% (for instance, Kazakhstan via Moldova, Romania, Turkey). The financial problems include: traders\u2019 refusal to work on a prepaid basis (it is proposed to introduce payment with government bonds), lack of working capital to fulfil export orders, large stocks in warehouses accumulated in March-April. Among the problems related to veterinary and customs control are complicated border crossing and\/or low border crossing capacity on the Ukrainian-Romanian and Ukrainian-Polish borders, uncoordinated scheme of re-issuing veterinary and customs documents in the EU countries and Turkey at transhipment from vehicles to containers. \u00a0\u00a0\u00a0<\/span><\/p>\n<p><span style=\"color: #000000;\">In their turn, the analytical agency INFAGRO, in Maksym Fatieiev\u2019s speech, presented <span style=\"color: #99cc00;\"><a style=\"color: #99cc00;\" href=\"https:\/\/infagro.com.ua\/ua\/wp-content\/uploads\/2022\/05\/Dairy_Export_B01_ENG_a.pdf\" target=\"_blank\" rel=\"noopener\">the analytical survey of the dairy export <\/a><\/span>\u00a0during the war.<\/span><\/p>\n<p><span style=\"color: #000000;\">According to the INFAGRO\u2019s calculations, the level of self-sustainability of the dairy market will exceed 100% in 2022 (with a 115% peak in Q2), which means that under the current difficult condition there is need for support to the sector due to limited import and facilitating export opportunities for the operators.\u00a0\u00a0<\/span><\/p>\n<p><span style=\"color: #000000;\">According to the INFAGRO\u2019s preliminary forecasts, there can be about 500 thousand tons of milk left for the export needs in 2022, that is 17% of the total proposal of raw milk for industrial processing. Today there are some developments in renewing the export, but the indicators are still far from those in previous years. The main problem is logistics. The majority of shipped goods are exported directly to the EU or Moldova. We are still experiencing huge problems with transit of our dairy products to the traditional importers via the EU. \u00a0<\/span><\/p>\n<p><span style=\"color: #000000;\">For all the event materials, including speakers\u2019 presentations, analytical bulletin and SSUFSCP infographics see <a style=\"color: #000000;\" href=\"https:\/\/infagro.com.ua\/ua\/eksport-v-umovah-viyni\/\" target=\"_blank\" rel=\"noopener\"><span style=\"color: #99cc00;\">here<\/span><\/a>.<\/span><\/p>\n<p><span style=\"color: #000000;\">You are welcome to join the next expert discussion on the topic <strong>\u201cExport Logistics of Ukrainian Dairy Products\u201d <\/strong>which will be held on 1 June. Follow the event announcements on the websites of INFAGRO and State Enterprise \u201cExport and Entrepreneurship Promotion Office\u201d.<\/span><\/p>\n<p><span style=\"color: #000000;\">__________________<\/span><\/p>\n<p><span style=\"color: #000000;\"><em>This event was organized together with the State Enterprise \u201cExport and Entrepreneurship Promotion Office\u201d and analytical agency INFAGRO with support of Switzerland in the frame of the Swiss-Ukrainian Project \u201cHigher Value Added Trade from the Organic and Dairy Sector in Ukraine\u201d implemented by the Research Institute of Organic Agriculture (FiBL, Switzerland) in partnership with SAFOSO AG (Switzerland) <\/em><a style=\"color: #000000;\" href=\"http:\/\/www.qftp.org\"><em><span style=\"color: #99cc00;\">www.qftp.org<\/span><\/em><\/a><em>. <\/em><\/span><\/p>\n<\/div><\/section>\n\n<style type=\"text\/css\" data-created_by=\"avia_inline_auto\" id=\"style-css-av-l3motalm-5f8dff21b3553ded7d62fdbb1274607a\">\n#top 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