Is the export of Polish milk profitable?

- Currently the situation on the milk market is very difficult – it has been like this since the end of 2007, therefore, we are talking about a crisis. A cause of this state is world economics, but also a too low consumption of milk, especially in Poland. Due to the limited demand for milk and its products on the home market – an economic rescue for co-operatives and factories should be export. However, export conditions in comparison to the years 2006 and 2007 are weak. The export situation was difficult in the sense that milkmen demanded the restitution of export fees. Thanks to the pressures imposed on the Ministry of Agriculture, such fees were able to be restored. Aside from this, the European Commission supported the dairy industry with other instruments – however, it is still too little to talk about profitability of export. Competition, when it comes to dairy products, is huge on European and other countries’ markets. In order to reach a given market with the product, huge financial commitment in promotion is necessary. And the circle closes here – for the difficult situation disables to generate such funds. 

In what way has the international economic crisis influenced the dairy industry?

- It is difficult to say that it was the international economic crisis that influenced our industry. These matters rather converged. We already had signs of the crisis in the dairy industry in 2007, when export collapsed. 

How can the commitment of Polish milk producers be summed up, and the Government’s in its promotion on Western-European markets?

- Polish products are practically promoted on foreign markets on an ongoing basis, directly through the producers themselves – this is of course justified – the label is promoted, a specific product, in order to arouse the interest of the consumer, increase demand, thereby, export. There are also forms of promotion realised by e.g. Polish representatives in Brussels, or other countries during trade fairs, missions and other events of this type. However, due to mainly financial circumstances, this promotion is insufficient. It is a similar case in the realisation of promotion projects financed from European Union and national funds. However, obtaining such resources from the European Commission is very difficult. 

In what way do you try to promote your products on the international arena?

- Our products are known in many countries of Europe and outside it. In order to increase the level of export, we must promote – without promotion, effective competition is not possible. One of such forms of promotion is trade fairs. Next year, we will be present at trade fairs in Moscow and Paris. When it comes to the national market – we conduct promotional activities on a wide scale. I think that our media messages referring to the labels Łaciate, Milko, Mazurski Smak are very well known to our clients. 

Have you noticed changes in consumer’s preferences, both Polish, as well as European?

- The dairy industry is a very competitive industry. In Poland, the milk sector is very specific – it is fragmented. Many small and medium-sized co-operatives concentrate on sales on the local market. Large dairies – such as ours – exist countrywide and abroad, and they must compete both with the smaller ones, as well as the world dairy moguls. Such competition is difficult, however, as results show – not impossible to win. The basis for competition is the final quality of the product – which must be repetitive. A client, who is discouraged by a product of lower quality, will not choose it again. The quality must of course go hand in hand with taste and a rich product offer. Our co-operative, as the only in the country, has a modern research and implementation laboratory, in which studies on new products are conducted; we study preferences of consumers and create novelties, which will meet the expectations of consumers. Preferences of consumers are changing. More and more often, products that are functional and convenient in use are searched for. Enriched by additional ingredients, such as those that have health assets. Mass is also important – therefore, we have a wide offer of yoghurts, buttermilk and kefir in smaller packaging, or packed cheeses, among others, in slices of smaller masses. To add to this, convenient packaging such as open-close, or small boxes with screw caps on buttermilk or yoghurts are most frequently chosen by clients. Clients both in Poland, as well as Europe, have such needs in terms of product quality and their packaging. For Polish dairy products are very good. Our products are made of milk of the highest quality; our technological lines are the most modern in the world.

Thank you.

Maja Święcka