FDBusiness.com

Changing Consumer Preferences Undermine Profitability at Ukrainian Dairy Group

 Breaking News
  • Vion Names New CEO Vion, the international meat group, has appointed Ronald Lotgerink as its new CEO with effect from 1 September. Ronald Lotgerink is currently the CEO of Zwanenberg Food Group, a leading European producer and exporter of meat products, canned meat, snacks, soups and sauces. Ronald Lotgerink started his career at KPMG. In 1989 he joined Zwanenberg Food [...]...
  • Harrogate Water Reports Record Sales Harrogate Water has announced another year of record sales with growth of 24 per cent – almost four times higher than market growth for bottled water. The company has seen increased sales in the high-volume supermarket sector, continued strong growth in export and travel markets and greater demand for premium glass products in both grocery [...]...
  • Alcohol Worth £16 Billion is UK’s Leading FMCG Category Innovation in the drinks sector and a reduction in the amount of trade promotions has seen Alcohol retain its place as the top selling FMCG category in the UK, worth £16.1 billion (€18.2 billion) in value sales to the economy. This is according to big data and technology expert for consumer industries, IRI’s Top Categories Special Report – an analysis [...]...
  • Irish Grocery Market Fends Off the Beast from the East The latest grocery market share figures from Kantar Worldpanel, published today for the 12 weeks ending 25 March 2018, show that the Irish grocery market brushed off the Beast from the East to post strong sales growth of 3.8%. Douglas Faughnan, consumer insight director at Kantar Worldpanel, comments: “Although shoppers had upped their spend in preparation for [...]...
  • TrayTrack – A Unique Inline Overhead Concept For Optimum Tray Logistics Once trays have been filled with product, poultry processors will often be faced with how to transport them to packaging equipment elsewhere in the plant. This job can be done manually using crates. Alternatively, product can be transported on a complex system of belt conveyors, usually criss-crossing other similar systems. TrayTrack, a unique automated solution [...]...

Changing Consumer Preferences Undermine Profitability at Ukrainian Dairy Group

September 09
11:09 2010

Ukrainian dairy business Ukrproduct Group has reported a 5.3% drop in year-on-year revenue to £20.7m for the first six months ended June 30th 2010, although the figure remained stable in local currency, and gross profit dropped 18% to £3.2m as price sensitive consumers moved down market. Gross profit from branded dairy products, which account for two-thirds of total revenue, fell 42%.

“During the first half of 2010 Ukrproduct has witnessed a further decrease in the purchasing power of the local population, which resulted in a continued switch in consumer preferences from the middle to the mass market segment. At the same time growth in input prices outpaced the rise in consumer prices,” says Sergey Evlanchik, chief executive of Ukrproduct. “Domestic processed cheese prices have declined by 15% on average from January 2010 and have reached July 2009 levels, driven by aggressive pricing by local producers at the low end of the market. Prices for packaged butter were up by 25% year-on-year on average which has partially compensated for the increased cost of raw materials.”

About Author

colin

colin

Related Articles



Food & Drink Business Conference & Exhibition 2016

Upcoming Events

  • April 22, 2018Natural & Organic Products 
  • April 24, 2018Scandinavian Wine Expo
  • April 24, 2018Seafood Processing Global
  • April 24, 2018InterFood Krasnodar
AEC v1.0.4

find food jobs

The Magazine

F&D Business Preferred Suppliers

New Subscriber





Subscribe Here



Advertisements