From yogurt looks like a new one is starting “price war” between dairy industry, a “war” that is mostly part of an effort by companies to limit the losses they have suffered on private label products. OUR “Greek dairy products” (Olympus) and Kri Kri have announced price cuts and promotions for yogurt and it will be interesting to see if other players follow suit. In 2022, sales in the yoghurt market decreased by around 6%, while turnover increased by 5.2% at the same time, driven solely by price increases. This was not the only change in the yogurt market. A wave of precision has boosted sales of private label yogurts, with the result that they now hold the second largest market share (by volume), while in 2021 they were the third largest loss in market share. EATwhich, nevertheless, retains the first place.

Decline in sales

Overall, the dairy sector, with price increases of over 20% year-on-year, recorded significant volume losses across all categories, with the most significant declines outside of yogurt being a 6.4% decrease in milk sales and 8.8% feta sales. .

So yesterday Cree Cree announced promotional campaigns for a total of 3 million euros, which, according to the head of the company, Mr. Panagiotis TsinavosWHO talk to “K”will last until the end of the year. These offers, which will be in the form of discounts rather than 2+1, will result in the consumer paying 5-10% less for the product. In addition, from April 10, the company continues to reduce prices by 10% for fresh cow’s milk and traditional cow’s yogurt. According to Mr. Tsinavos, if the reduction in energy costs, prices for milk and animal feed continues, it cannot be ruled out that the company will start new price cuts from September. However, it should be noted that the reduction in price lists, not offers, is for less popular Cree Cree products such as traditional yogurt and fresh milk, the latter only being sold in Northern Greece. Strained yogurt and baby yogurt, which account for the bulk of Kri Kri sales, will only see indirect price cuts through promotions.

The Kri Kri move comes just days after Hellenic Dairies decided to cut the price of cow’s milk yogurt by 5-13% effective April 1st. However, it should be noted that even “Hellenic Dairies” is not going to lower prices for its main product – fresh milk, the company’s management does not foresee such a thing even in the coming months. The price reduction also does not apply to yoghurts made from sheep and goat milk, since the main raw materials for these products remain extremely expensive.

In 2022, sales in the yogurt market decreased by 6%.

Choice MEVGAL

MEVGAL continues to cut prices mainly on some products intended for professional use (HORECA channel). “We review each case on a daily basis to see if we can lower prices and where. However, a price reduction is more likely for products with cow’s milk as a raw material, and not with sheep’s. pointed to “K” a source close to the leadership of the dairy industry in Northern Hellas.

The leader in the yogurt category keeps his mouth shut and hasn’t cut prices yet, while DELTA’s senior executive accent in “K” that the company follows all the developments, movements of its competitors and tries to remain competitive within its capabilities. However, it is possible that today there will be some announcements from DELTAwho will hold a press conference.

milk prices

According to ELGO-DIMITRA, the average price of cow’s milk is now 0.57 EUR/kg, and in some areas it has reached 0.60 EUR/kg. It should be noted that until autumn 2021, the average price of cow’s milk was 0.38 EUR/kg. The price of sheep’s milk remains at a very high level – 1.56 euros / kg, while before the war it was 1.17 euros / kg. A positive element is the de-escalation of animal feed prices. Thus, the price of corn now fluctuates at the level of 250 euros/t from 350 euros/t, which it reached last year. Before the war in Ukraine, the price of feed corn was at the level of 180 euros/t.