Published in Scientific Papers. Series "Management, Economic Engineering in Agriculture and rural development", Vol. 23 ISSUE 1
Written by Deiva MIKELIONYTĖ, Ovidija EIČAITĖ
This study aimed at examining the developments in the Lithuanian dairy sector since the accession of the country into the EU and assessing the main factors affecting these developments. In order to achieve this aim, a descriptive method of statistical data analysis and document analysis was employed. The developments in milk production and dairy processing industry were presented by examining issues such as milk production, sales of raw milk for processing, quantities of milk sold directly, number of dairy cows, milk yield, self-sufficiency in milk, imports of raw milk, self-sufficiency in domestic raw milk, sales by the dairy processing industry, and exports of dairy products. The accession of Lithuania into the EU in 2004 initially had a positive effect on the primary dairy sector, with an increase in raw milk production, sales of raw milk for processing, and farm gate milk prices until 2007. However, in the period between 2008 and 2021, both raw milk production and sales of raw milk for processing showed a decreasing trend. The opposite trend was observed in the dairy processing industry. In 2021, as compared to 2004, sales of dairy products on both domestic and foreign markets increased significantly, by a factor of 2.5 and 3.0, respectively. The developments in milk production and dairy processing were affected by factors such as the levels of concentration among milk producers and processors, the cooperation between milk producers, and the shape of the Common Agricultural Policy.