Ukraine exports fewer dairy products to the EU: why the quotas remain underutilized

The reinstatement of tariff quotas between the EU and Ukraine, along with a significant decline in prices in the dairy sector, has led to a sharp decrease in exports of these products. Butter and skimmed milk powder have been affected the most.

A comparison of Ukrainian dairy exports to the EU during the first five months of 2025 and 2026 shows a significant contrast in quota-covered product categories:

EU share of total exports (January–May 2025):

skimmed milk powder (SMP) – over 71%;

butter – 55%.

EU share of total exports (January–May 2026):

skimmed milk powder (SMP) – 36% (down by half);

butter – 13% (4.3 times lower).

Meanwhile, the EU's share in exports of non-quota products, namely whey and fresh cheeses, remained virtually unchanged. In the case of whey, it even increased in 2026, from 37.5% to 40.7%; for fresh cheeses, it consistently exceeded 26%.

It is also worth noting Ukraine's utilization rate of the EU dairy quotas during the first half of 2026:

70% – for skimmed milk powder (SMP);

only 25% – for butter.

The low utilization of the butter quota is due to the complex licensing mechanism, particularly the requirement to provide a financial security deposit to guarantee supplies.

Reference source: http://surl.li/ghwodkhajcbrewretwtwrte  

 

Read all news