Bulgaria: Dairy Sector Update
The Bulgarian dairy industry has experienced its most challenging year in the last 5 years. Lifting of European milk quotas combined with lower milk prices, higher milk supply in the EU, limited export opportunities for dairy products, and stagnant local purchases all have negatively affected the dairy market development. Dairy inventory has continued to shrink at small farms. Medium and larger sized dairy farmers were highly motivated to continue to invest in productivity, technology and genetics improvements as well as in better management practices. A number of domestic support programs were introduced to provide more direct or indirect aid to struggling farmers. Several key changes in the veterinary and animal health regulations were introduced and are expected to have a positive effect on the sector in the medium to long term.
