Market distortions lead to the closure of dairy farms

For the past 5 years, raw milk production in Bulgaria has decreased by about 25%, while dairy imports have increased by up to 43%. This is indicated by an in-depth study of the milk and dairy products market by the Commission for Protection of Competition in connection with the serious problems in the sector. The analysis also reports a sharp reduction in the number of farms and a significant decline in number of animals over the same period - 26% for cows, 46% for sheep and 42% for goats. At the same time, production costs are increasing and milk purchase prices remain about 10% below the EU average.

According to data from the CPC, Bulgarian consumers pay some of the highest prices for dairy products in Europe, which, according to the commission, shows an extremely unfair distribution of added value throughout the supply chain. The results of the analysis will be used to propose measures to the government.

Editor: Miglena Ivanova