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Россия 19.05.2020

Vladimir Surovtsev: reduced demand will be observed for dairy products with added value

Источник: The DairyNews
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For dairy products, we can predict a significant decrease in demand for products with high added value. Vladimir Surovtsev, acting Director of the Federal state budgetary scientific institution North-Western research Institute of Economics and agricultural organization commented on this to The DairyNews.

- This applies to yoghurts, dairy drinks, cheese, aimed at the so - called "middle class" in terms of income, - the expert explained. - Reduced demand for "white" dairy products - milk and fermented dairy products will be significantly lower. According to experts, the demand for high-quality dairy products may grow this year, because it is more difficult to import "sanctioned" dairy products, a significant part of consumers of dairy products in the "upper" price segment will not be able to travel abroad and will have to switch to the consumption of domestic dairy products.

At the same time, Vladimir Surovtsev clarified that a significant decrease in the level of income of the population will lead to a decrease in the overall effective demand for all goods. Despite the fact that food is classified as a product with low price and income elasticity, demand will also decrease for a number of food products.

- Macroeconomic factors can have an even more significant impact. Many well-known economists write about their impact on the economy. The most difficult situation will be on farms and at dairy processing enterprises with a high credit load, - the expert added. - Problems in the macroeconomics can lead to a "break in economic ties", "crisis of non-payments", respectively, problems for all participants in long production and economic chains, especially those whose participants are focused on" profit " in the short term to a greater extent than on stable relations.

Earlier, Vladimir Surovtsev said that there were no special changes in the market of dairy products in St. Petersburg and in Leningrad region.

Read the complete expert comment in the "Hot topic" section on The DairyNews.

Read more at © DairyNews.ru

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