Ukraine’s dairies shifting west

Chris McCullough For Agri-View

UKRAINE – Despite continued attacks on Ukrainian farms by the Russians, Ukraine’s dairy industry is recuperating by building 125 new dairy farms. The 125 farms are either being newly constructed, or are existing farms undergoing total modernization, with the goal of preparing for European Union integration and boosting production of dairy produce in the country. Shelling of farms continues mainly in the eastern regions, so the new farms are concentrated in central and western areas.

Speaking at the recent Dairy Industry: Ukraine-EU conference in Kyiv, Ukraine, Vitalii Koval – Ukraine’s Minister of Agrarian Policy and Food – said Ukraine is currently constructing and modernizing 125 dairy farms despite challenges posed by the ongoing conflict.

Discussing the trends for agriculture production in Ukraine going forward, Koval highlighted that livestock and processing should account for more than 50 percent of Ukraine’s agricultural sector, but ensuring there was fair profit distribution among producers, processors and retailers. With Ukraine most likely to become an EU member soon, its dairy industry is shaping up to integrate into European production methods and comply with regulations.

As a result of the Russian war, in 2024 dairy farmers in Ukraine experienced issues with energy supply, a decrease in cow numbers and other logistical problems. The result was dairy production decreased to 7.2 million tonnes from 8.1 million tonnes in 2023.

Ukrainian dairy producers have long focused on European markets, but cooperation with the EU opens new prospects for growth, improving product quality and expanding export opportunities. In 2024, about 30 percent of Ukraine’s exported dairy products went to EU countries, the main ones being Poland, Bulgaria and the Baltic countries.

According to Olena Zhupinas, Deputy CEO and Head of Processing Cooperation Projects at the Association of Milk Producers in Ukraine, the dairy industry is recovering after the effects of the Russian war.

Zhupinas said, “After a 4 percent drop in raw-milk production in 2022, Ukrainian dairy farmers were able to not only restore raw-milk production volumes in 2023-2024, but also increase them by 7.2 percent compared to pre-war 2021.

“The introduction of modern feeding methods and improved genetics made it possible to increase cow productivity and milk yield. Commercial dairy farms showed record productivity growth, as the average milk yield per cow per year reached 8,167 kilograms (about 18,005 pounds), which is almost 20 percent higher than in pre-war 2021.

“The first quarter of 2025, despite the ongoing challenges of war, also shows positive results for dairy farms, with milk production increasing by 5 percent compared to the first quarter of 2024, and the number of cows increasing by 1 percent.”

Ukraine has already made available US$9.6 million in targeted funding from the State Fund for Support of Farms, which has helped 7,766 recipients modernize the infrastructure and technology on their own farms.

Regarding Koval’s announcement of new dairy farms being constructed, Zhupinas said dairy farmers were not prepared to give up, despite the harsh realities some of them faced.

Zhupinas said, “During the full-scale invasion, 100 dairy farms were partially or completely destroyed, and unfortunately the shelling of farms and destruction continues.

“However, dairy farmers are not giving up and are rebuilding farms in liberated territories, such as in the Kyiv and Chernihiv regions, modernizing old farms where livestock from occupied and frontline territories – in central and western Ukraine – has been relocated, and building new ones to relocate livestock from dangerous regions.

“To compensate for their losses, farmers in safe regions are expanding their existing businesses by increasing livestock numbers and productivity. Currently, 125 commercial dairy farms are being restored, modernized and expanded in Ukraine.”

One dairy farmer whose farm is located in the heavily bombed Kherson region, in the south of Ukraine, said there is no way he can rebuild his farm now.

Andrii Pastushenko was milking 350 cows on his farm just 12 miles from Kherson, Ukraine, a city that was liberated from Russian army control in 2023. He said it’s become impossible to maintain and run the farm there, given the problems still faced from the Russians.

He said, “Sadly, it’s game over for us. I left the farm and have been running it remotely since the end of October 2023. There were just too many problems we were having every day.

“Currently, we still have about 30 cows and 40 calves on the farm but we are closing the barn. All the fields are covered in mines laid down by the Russians.

“We have hardly any feed left for the animals, and the Russians continue to intimidate us by sending drones from the other side of the Dnieper River, where they retreated to, targeting and hitting our tractors and bicycles.

“With all this going on there is no point in us rebuilding the farm. I know at least two people who are rebuilding their farms at their own expense. We have never heard of the government program building 125 new dairy farms; it’s probably all just on paper.”

This is an original article written for Agri-View, a Lee Enterprises agricultural publication based in Madison, Wisconsin. Visit AgriView.com for more information.