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As Recession Deepens, So Does Milk Surplus


The long economic boom, fueled by easy credit that allowed people to spend money they did not have, led to a huge oversupply of cars, houses and shopping malls, as recent months have made clear. Now, add one more item to the list: an oversupply of cows.

And it turns out that shutting down the milk supply is not as easy as closing an automobile assembly line.

As a breakneck expansion in the global dairy industry turns to bust, Roger Van Groningen must deal with the consequences. In a warehouse that his company runs here, 8 to 20 trucks pull up every day to unload milk powder. Bags of the stuff — surplus that nobody will buy, at least not at a price the dairy industry regards as acceptable — are unloaded and stacked into towering rows that nearly fill the warehouse.
 
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Analitics
The overall score of agricultural holdings development in Ukraine*

The role and place of agricultural producers, dissimilar to traditional western farming practices, continue to increase in the agro industrial complex of Ukraine. The classic type of agricultural holdings is the association of legal persons concerned to each other with contract liabilities or common activity in the sphere of agricultural production. At the same time, one legal person functions as the managing company. Considerable cultivated land areas (several tens of thousand ha) is the main feature of such associations. Also legal persons can have joint ownership.


Читать только с утра! Новости международных рынков касаются и аграриев!

14.10.2008 14:12
Сергей Егишянц, главный экономист ЗАО "ИК "Ай Ти Инвест"".

Обзор мировых рынков ИК "ITinvest" за 13-19 октября 2008 года


High prices on agricultural commodity markets: situation and prospects

The paper responds to concerns about causes and prospects of high agricultural commodity prices which started increasing in 2006/2007 and soared in early spring 2008, and thus focuses on agricultural commodities utilised mostly as food. It takes stock of and elaborates existing analysis within the DG AGRI and elsewhere of causes of high prices on agricultural commodity markets, and prospects for their developments.










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