Dairy Union of Russia complained to FAS about markups of up to 150% in retail chains

The Dairy Union of Russia complained to the FAS and the government about high markups for dairy products in retail. About it reported the chairman of the council of the union Lyudmila Manitskaya.

“It is on milk-intensive products that there is a lot of promotion. Milk, kefir, fermented baked milk – to a lesser extent; butter, cheese, sour cream – there are very serious margins here, ”said Malitskaya.

According to her, markups in retail chains range from 50% to 150%. “No other country in the world has such a mark-up for dairy and other products,” said the chairman of the union.

According to the general director of the National Union of Milk Producers Artem Belov, the profitability in the industry has significantly decreased due to the growth in the cost of production and processing of dairy products with a “restrained” increase in prices for finished products.

“Over the past year, the cost of raw materials has grown by almost 18% on average, almost all components of costs have grown – feed, diesel fuel, mineral fertilizers. The increase in the cost of protein feed was 60%. A similar situation in processing – the growth of the cost of the order of 6-8%, while the rise in the price on the shelf – 3.5%, “Belov said.

According to him, 2021 will be a turning point for the dairy industry in terms of a number of parameters. Manufacturers will also have additional costs in connection with the introduction of labeling and increased environmental requirements for enterprises.