European cheese has captured one-third of the Ukrainian market, displacing domestic producers

Ukrainian cheese producers are facing growing competition from imported products from the European Union. Against the backdrop of declining domestic consumption and increasing imports, some companies are forced to fight to maintain their market share.

In May, imports of European cheese to Ukraine—excluding fresh and processed cheeses—rose by 25% compared to April. The largest increase was seen in shipments of hard and semi-hard cheeses—up 28% month-over-month and 38% year-over-year.

Poland remains the main supplier, accounting for more than half of rennet-based cheese imports. Significant volumes also came from Germany, the Netherlands, Latvia, and the Czech Republic.

According to analysts’ estimates, the share of imported semi-hard cheeses on the Ukrainian market has already reached about 30%. The falling prices of European products, particularly block-style “Gouda,” are putting additional pressure on local producers.

At the same time, Ukrainian cheese producers have been unable to offset losses in the domestic market through exports. In May, cheese exports fell by about a quarter compared to the same period last year due to high production costs.

Kazakhstan remains the largest buyer of Ukrainian cheese, accounting for 66% of exports. Another 19% of shipments go to Moldova. Some of the products are also exported to Azerbaijan, Uzbekistan, and Georgia.

Analysts note that on the Kazakh market, Ukrainian producers are forced to compete with cheaper Belarusian cheeses, which further complicates their position.

Source: Delo.ua, “Infagro.”

As a reminder, inflation in Ukraine in March turned out to be higher than the National Bank’s forecast, with the main cause being a sharp rise in fuel and energy prices on global markets. This led to rising business costs, which were reflected in the prices of transportation, services, and some food products.

In March 2026, annual inflation in Poland stood at 3%. One of the key reasons for the rise in prices was the increase in energy costs amid the situation in the Middle East.