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Ceturtdiena 24.08.2017 | Name days: Boļeslavs, Bērtulis
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Trader: Russian embargo has created serious changes for dairy farming

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Baltic news, News from Latvia, BNN.LV, BNN-NEWS.COM, BNN-NEWS.RU«This year has marked clear differences in demand and turnover before and after the Russian embargo, when milk procurement price had reduced by 25% and dairy farmers had limited their expenses,» – says Dimela Veta Latvia manager Girts Budis.

A trend has been noted in the medium and small customers sector this year. It demonstrates the will of traders to reduce expenses on cow feeds and other necessary nutrition. Available information also states that trade volumes of milk replacement for newborn calves had increased 21% in the first half-year compared to 2013. In the second half-year, however, they had decreased by 62%. The decline in turnover can be explained with low milk procurement prices caused by over-production.

In regard to the observed changes on the dairy market, it should be concluded that not everything is negative. A trend observed on the market last year continues to become stronger. This trend depicts the demand on eco and animal-friendly medicine. Sales of homoeopathic medicine have increased 12% in 2014. An enormous increase has been noted in the category of newborn calf disease prevention medicine (+85% in 2014). This demonstrates that dairy farmers have understood that disease prevention is cheaper than disease treatment.

«We plan to offer several new homoeopathic and herbal medicine products produced in Europe next year. Education events are also planned to be held next year. These include consultations regarding alternative, eco-friendly products in modern dairy farming,» – says Budis.

Dimela Veta Latvia managed to increase its turnover 8% in the first half-year compared to the same period of 2013. The achieved result is proof of the industry’s dynamic development in the first six months of 2014 and the unexpected decline in the second half of the year, when sales had decreased 11%. The total turnover of 2014 is planned at EUR 3.6 million (no VAT), which is 1% less than that of 2013.

This year, the company became the official representative of the French Vel’phone brand in Baltic States.

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