The dairy market of Ukraine in the context of integration into global value chains
Anastasiya VirkovskaThe Ukrainian dairy market holds a leading position in the agri-food complex, accounting for a significant share of domestic consumption and forming an important segment of the country’s export potential. The study aimed to identify the specific features of the dairy industry’s functioning under wartime challenges and its integration into global value chains. The dynamics of milk production in 2020-2025 were analysed, revealing a decline in raw milk output due to a reduction in household cattle, while the growing share of industrial farms was seen as a positive trend. Foreign trade indicators showed that dairy exports decreased in the early years of the war but are gradually recovering, driven by an orientation toward EU and Middle Eastern markets. Regional disparities in enterprise productivity and technological equipment were identified, which limit integration into global value chains. Development barriers were summarised, including high production costs, limited access to investment resources, and uneven raw material quality. At the same time, prospects for shifting from a raw-materials model to the production of high-value-added goods (cheese, butter, milk powders, innovative products) were analysed. The role of European integration processes was studied, as they contribute to harmonising quality, safety, and traceability standards. Based on the conducted analysis, strategic directions for industry development were outlined: modernisation of production capacities, expansion of the processing sector, implementation of innovative technologies, intensification of export activities, and adaptation to global market requirements. Integration into international value chains is defined as a key instrument for enhancing competitiveness and ensuring the long-term resilience of Ukraine’s dairy industry
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