The domestic dairy industry suffers greatly from limited prices

By: Trademagazin Date: 2023. 03. 23. 23:46

The dairy industry is boiling over, after last year’s brutal price increase, the price drop has already started in recent months and may soon accelerate. Anyone who does not participate in this may be pushed out of the Hungarian market, because the chains have so much loss due to the price cap that they seize everything where the purchase price can be reduced, the Telex reveals.

And with the fact that the government destroyed the market-based operation, the chains are forced to look for yellow label (own brand) agreements with foreign producers, even for 2.8 milk. If a Polish or German cheese manufacturer were to sell out its warehouses at a discount store, Hungarian stores would be happy to help them, if only for a little while they could sell at a lower price and with a higher profit.

At the same time, the Hungarian milk market is also facing a minor consolidation step, presumably completely independently of this. It turned out that a not very big but well-known player on the market, Cserpes Sajtműhely, is for sale.

The dairy industry really wants to finally see a world without price caps, but for the time being it also knows that it still has to wait. However, he does not want to accept that his long-term relationships are damaged during this period. Talking to the actors of the dairy industry, we found that the issue of István Cserpes’ exit from the Cserpes Cheese Factory was a topic in the sector, but the “big guys” also said that the range of the Kapuvár company, which conquers with its “homemade” and “handmade” image, would look better in the portfolio of a smaller cheese company.