Raw milk production in Ukraine decreased in 2025 amid falling purchase prices, increased production costs, shipping disruptions, as well as severe frosts and heating problems that led to a decline in cow productivity, according to the Association of Milk Producers (AMP), citing data from the State Statistics Service.
The industry association noted that in December 2025, farms of all categories produced 478,000 tons of raw milk, which is 29,000 tons less (-6%) than in November of the same year and 75,000 tons less (-14%) than in December 2024.
At the same time, milk production in Ukraine in 2025 amounted to 6.86 million tons, which is 374 thousand tons less (-5%) than in the previous year. In December 2025, the share of enterprises in raw milk production was 57%, and that of private farms was 43%.
In December 2025, enterprises produced 271,000 tons of raw milk, which is 6,000 tons more (+2.1%) compared to November, but 12,000 tons less (-4%) compared to December 2024.
Last year, commercial dairy farms produced 3.18 million tons of raw milk, which is 210,000 tons more (+7%) than the previous year.
According to the ABM, milk production in private households in December 2025 amounted to 206 thousand tons, which is 35 thousand tons less (-14%) than in November and 64 thousand tons less (-24%) than in December 2024. In January-December 2025, households produced 3.67 million tons of raw milk, which is 583 thousand tons less (-14%) than the year before last.
“Raw milk production volumes are declining in Ukraine, primarily due to the household sector, which is ceasing to play an important role in the dairy industry. It is likely that if private farms do not consolidate by 2030, their milk will no longer be sent for processing and will be used for their own consumption. To remain in the industry, PFFs must unite into cooperatives and form commercial milk batches or independently increase their cow herds and develop craft production of dairy products,” emphasized AVM analyst Georgiy Kukhiashvili.
He noted that the industrial sector is compensating for the decline in the share of private farms and demonstrating stability in raw milk production. However, in December, milk production in the industrial sector declined compared to the same period last year amid a decline in purchase prices for raw milk under pressure from the collapse of world prices for commodities, including butter.
“Low raw milk prices do not correspond to its cost at dairy farms, which have increased production costs due to energy supply problems, which worsened in January 2026, and the need to spend more money on diesel generators. Due to long blackouts, there were interruptions in the shipment of raw milk from dairy farms to milk processing plants. The plants report that they cannot accept milk and send it for processing when the power is off. The severe frosts this winter, combined with heating problems, have led to a decline in cow productivity,” the AVM said.
The association suggested that, in the context of the crisis, dairy farms may revise their investment plans for 2026, as it is difficult to increase raw milk production during blackouts, and a significant recovery in demand for dairy products on the domestic market is unlikely in the short term.
“It is likely that in 2026, the reduction in raw milk production will occur not only in the household sector, but also in the industrial sector. Due to unprofitability, certain farms with less than 400 head of cattle are likely to close. In this case, raw milk production in Ukraine may decline to 6.0-6.2 million tons. However, those dairy farms that are able to maintain their cow numbers in 2026 and invest in sustainability should benefit in the coming years,” the UAM concluded.
In 2025, the metallurgical enterprises of the Metinvest mining and metallurgical group began production of 11 new types of products, including a joint venture, the Zaporizhstal plant, which mastered the production of three new products.
According to the group’s press release on Tuesday, having operated under conditions of full-scale Russian invasion for almost four years, Metinvest remains the country’s economic and industrial backbone. Overall, during more than a decade of Russia’s war against Ukraine, the group has managed to establish the production of 433 new products.
Last year, the company mastered new positions in the segments of semi-finished products and rolled products (four each), hot-rolled coils and sheets (two), and cold-rolled coils and sheets (one). The lion’s share of new products was produced by the Kametstal and Zaporizhstal plants. One product was mastered by the group’s Bulgarian rolling mill, Promet Steel.
It is specified that Kametstal has established the production of four types of continuously cast billets measuring 335×400 mm from various steel grades used for the manufacture of pipe products.
Zaporizhstal has mastered two types of hot-rolled coils: a new coil size in the S235JR grade (1.8×1045 mm) and products made of S235JRC steel, which is suitable for cold forming by bending and profiling. Both products are manufactured in accordance with European standard EN 10025-2 and are used in the construction and machine-building industries for the production of steel structures, pipes, and closed profiles for structural purposes.
The company has also mastered the production of cold-rolled coils made of S280GD steel, the chemical composition and mechanical properties of which comply with the European standard EN 10346. These products are intended for further processing, profiling, and the application of protective coatings. These coils are used to produce lightweight thin-walled steel structures for construction, load-bearing and decorative elements of facade systems, etc.
The Kametstal plant has also established the production of reinforcing steel for the Polish and Romanian markets. B500SP reinforcement complies with the Polish construction standard and is used to strengthen concrete. B500C reinforcing steel for Romania, which has a similar strength level, is characterized by increased plasticity, which allows it to be used in more complex and earthquake-resistant structures.
In addition, Kametstal has mastered the production of 100 mm diameter grinding balls of the fifth hardness group according to the Ukrainian standard DSTU 8538. They are used in the mining and metallurgical industry for grinding ore, concentrates, or intermediate products in drum-type ball mills.
Last year, the Promet Steel plant began producing reinforcing bars in accordance with the MKS 1021:2019 standard for the North Macedonian market. The product is designed for reinforcing concrete structures and is used in construction. It has a corrugated surface for reliable adhesion to concrete and is suitable for welding, ensuring the strength and safety of reinforced concrete structures.
Metinvest is a vertically integrated group of mining and metallurgical enterprises. Its enterprises are located in Ukraine – in the Donetsk, Luhansk, Zaporizhzhia, and Dnipropetrovsk regions – as well as in the European Union, the United Kingdom, and the United States. The main shareholders of the holding are SCM Group (71.24%) and Smart Holding (23.76%). Metinvest Holding LLC is the managing company of the Metinvest Group.
The Kametstal plant, part of the Metinvest mining and metallurgical group (Kamensk, Dnipropetrovsk region) took into account the demands of the Ukrainian and European markets in 2025, expanding its range of continuously cast billets (CCB) by four items and its range of sought-after rolled products by three items.
According to the company, in 2025 Kametstal once again confirmed its leading position among Metinvest’s metallurgical enterprises in terms of the number of new products developed. Of the 11 new types of metal products brought to market, seven are the work of the Kametstal team.
It is specified that the achievements of the steelmakers of the converter shop include four new steel grades: 10U1, 20U, 26G2TR, and S355NL-1N with enhanced requirements for chemical composition, primarily in terms of sulfur and phosphorus content.
The casting of new steel grades into continuously cast billets with a cross-section of 335×400 mm has been mastered at continuous casting machine No. 2, where the reconstruction of electrical equipment was completed last year. This, in particular, contributed to the stabilization of the casting speed and, consequently, to the improvement of the cutting accuracy of billets, minimizing metal waste. The purpose of the new semi-finished products is the manufacture of round rolled products and their further processing into seamless pipes for critical applications.
The rolling mill team offered Ukrainian and European consumers three new product ranges that had not previously been produced at the plant. First and foremost, these are 8-32 mm diameter rebars for the Polish and Romanian markets, the production of which has been mastered on the 400/200 mill. Thanks to certification in accordance with the building standards of these countries, Metinvest has already shipped more than 100,000 tons of B500SP class rebar to Poland in 2025.
The ball mill has mastered the production of 100 mm diameter grinding balls with high surface and volume hardness, which corresponds to the fifth group. By experimentally determining the optimal heat treatment mode after rolling, specialists have achieved stable production of products with increased wear resistance, which is necessary for the stable and efficient operation of the company’s mining and processing plants.
Kametstal is part of the Metinvest Group.
Sugar production in Ukraine in the 2025-2026 marketing year has already reached 1.615 million tons, but the sugar season is not over yet, said Yana Kavushevska, head of the board of the National Association of Sugar Producers Ukrtsukor, in an interview with Interfax-Ukraine.
“According to our expectations, sugar production in 2025-2026 MY will exceed 1.7 million tons. As of January 10, the factories that are members of the association have produced 1.615 million tons,” she said.
Kavushevska specified that in 2025, sugar beets were grown on 199,000 hectares in Ukraine, with a yield of 58 tons/hectare, and 11.4 million tons were harvested. The 27 sugar factories that are members of Ukrtsukor and operated in the 2025/26 marketing year received 10.8 million tons for processing, but beet deliveries are still ongoing.
Kavushevska noted that the industry association had expected a smaller sugar beet harvest and a smaller volume of sugar produced, but good weather conditions helped farmers achieve higher yields than last year. She recalled that last year, 250,000 hectares were sown with sugar beets, the yield was 55 tons/hectare, and 29 sugar factories produced 1.812 million tons of sugar.
Ukrtsukor specified that domestic sugar consumption in Ukraine before the full-scale war, even after the loss of Crimea and parts of Donetsk and Luhansk regions, amounted to 1.2-1.3 million tons, and is currently 300-400 thousand tons less. Therefore, it is desirable for Ukraine to export at least 700,000 tons in the current marketing year.
According to Kavushevska, the geography of Ukrainian sugar exports in 2026 is unlikely to change—it will be countries with convenient logistics, the cost of which allows Ukraine to be competitive compared to other global producers.
“In 2025, Ukraine exported 464,000 tons of sugar, 27% of which went to the European Union, and the rest was supplied to the world market (…) to countries in the Middle East and the Balkans. The undisputed leader in the purchase of Ukrainian sugar in 2025 is Lebanon (71,000 tons), while a year earlier it was Turkey with a similar volume. In second place is a European Union country – Bulgaria (66,000 tons), third is North Macedonia (39,000 tons), fourth is Libya (34,000 tons), and fifth is shared by Syria and Turkey (over 27,000 tons each),” said the chair of the board of Ukrtsukor.
According to Interfax-Ukraine, an informed source in the market reported that in the 2025 season, 3,000 hectares of sugar beets remained unharvested in Ukrainian fields, mainly in the Vinnytsia and Khmelnytsky regions. Due to rain during the harvesting period, farmers did not risk bringing their equipment into the fields for fear that it would get stuck. According to experts, it is quite possible that these sugar beets will be able to overwinter in the fields under the snow and will likely be suitable for processing. Assuming maximum losses (13% yield) after the snow melts, sugar factories will hypothetically be able to produce approximately 22,600 tons of sugar.
As reported, in Ukraine in 2024/25 MY, sugar production amounted to 1.812 million tons, which is 6.2% more than in the current year.
In 2025, the Kryvyi Rih plant increased its production of 6% moisture coke by 16.4% to 1 million 460.3 thousand tonnes. This allows it to meet its own needs for main production.
At the same time, the mining department, whose work depends on a stable power supply, showed a decline:
– Iron ore concentrate production fell by 3.3% to 7.56 million tonnes.
– Iron ore mining decreased by 4.2% to 18.4 million tonnes.
Management explained this as a direct result of energy supply restrictions caused by attacks on infrastructure, which caused the mining complex to operate below pre-war levels.
ArcelorMittal Kryvyi Rih is the largest producer of rolled steel in Ukraine. It specialises in the production of long products, in particular, rebar and wire rod. The company has a full production cycle, with production capacities designed for an annual output of over 6 million tonnes of steel, more than 5 million tonnes of rolled products and over 5.5 million tonnes of pig iron.
ArcelorMittal owns Ukraine’s largest mining and metallurgical complex, ArcelorMittal Kryvyi Rih, and a number of small companies, including ArcelorMittal Beryslav.
Pig iron smelting at the ArcelorMittal Kryvyi Rih plant increased by 16.9% in 2025, reaching 2 million 534.6 thousand tonnes. This is the largest increase among all the main types of products manufactured by the company.
Despite this, CEO Mauro Longobardo noted that the plan was to operate two blast furnaces continuously, but this was not possible due to the war. Production remains adaptive and depends on energy supplies and the market situation.
The key objective of the company remains to preserve production capacity and jobs for the future reconstruction of the country.
ArcelorMittal Kryvyi Rih is the largest producer of rolled steel in Ukraine. It specialises in the production of long products, in particular, rebar and wire rod. The company has a full production cycle, with production capacity designed for an annual output of over 6 million tonnes of steel, more than 5 million tonnes of rolled products and over 5.5 million tonnes of pig iron.
ArcelorMittal owns Ukraine’s largest mining and metallurgical complex, ArcelorMittal Kryvyi Rih, and a number of small companies, including ArcelorMittal Beryslav.