Resumption of milk powder exports to Japan: a new direction for the Ukrainian dairy industry

Ukraine is preparing to resume supplies of milk powder to Japan – a promising step that could open up new opportunities for the dairy industry. According to Arsen Didur, executive director of the Union of Dairy Enterprises of Ukraine, Ukrainian producers are again interested in a full return to the Japanese market.

Previously, Ukraine already had a significant volume of milk powder supplies to Japan. However, cooperation was later suspended due to various factors. In March 2021, the country received a second permit to export dairy products to Japan, but supplies still remain at a low level.

According to Didur, the current global state of the dairy market is highly turbulent due to falling world prices, so it is important for Ukraine to look for alternative markets besides the European Union. Japan is seen as one of the potentially reliable sales channels in this context.

Resumption of exports to Japan has several strategic advantages. First, it will help reduce dependence on limited European quotas and unstable markets. Secondly, entering the Asian market will allow expanding the geography of sales of Ukrainian dairy products and increasing their competitiveness.

However, there are also significant challenges. In particular, for successful entry into the Japanese market, it is necessary to ensure compliance with the quality, hygiene and certification requirements that Japanese importers put forward for dairy products. Given that a significant part of Ukrainian milk comes from farms and may not meet the “extra” category, this is an additional task for the domestic industry.

Overall, the initiative to resume exports of powdered milk to Japan opens up an interesting opportunity for Ukrainian producers. If the Ukrainian dairy industry manages to overcome regulatory, technical and certification barriers, Japan can become an important partner for long-term growth.

If you want, I can prepare an analysis of potential export volumes to Japan, market requirements and comparison with exports to the EU.