In 2018, a consumer switch from butter to spreads was evident, despite rising incomes. This was because of strong price increases for butter due to a deficit of milk because of drought, and successful export-led local price increases.
During the economic crisis 2014-2017, butter saw a decline in volume sales, as this product can be replaced by spreads, and Ukrainians economised wherever possible. At the same time, Ukraine was and is one of the top exporters of butter in Western Europe and globally.
Traditionally, the pack sizes in butter were 200g and 100g. However, big sizes such as 400g and 500g and even 1kg are appearing in the portfolios of leading companies such as Terra Food Group (Ferma), Valio and private label producers such as Fozzy Group (Premiya).
Schedro continued to lead butter and spreads in value terms in 2019, due to its strong and rising share within margarine and spreads. In the last three years of the review period consumers chose this brand as category leader in the “Favourites of Success” vote.
In Ukraine, according to the product content, the producer is required to indicate whether the product is butter or a dairy spread (with vegetable fat content). Historically, dairy spreads have traditionally been priced lower than butter.
Olkom Kyivskyi Margarinovy Zavod (Olkom brand) invested in modernisation and new equipment in 2018 and 2019. It added a new line for the production of edible fats, and expanded its warehouse space.
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