The Russian Federation: review of the dairy sector
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In recent years, positive trends have been noted in the dairy sector in the Russian Federation. The national average milk production rose 60 percent, from 2.2 tonnes in 1997 to 3.5 tonnes in 2007. Regions of intensive production have emerged in the Northwest and Central federal okrugs, which are near centres of industrial milk processing around Moscow and St. Petersburg. These regions are characterized not only by high yields per cow but also by increasing production volumes. There has also been significant progress in smoothing out the seasonality of milk production, which has been completely overcome in some regions, in particular in the Leningrad Oblast, Moscow Oblast, Krasnodar Krai and in the Republic of Tatarstan. Both private and public investments in the sector have increased, enabling the creation of large dairy farms with modern technology. Against a background of increasing consumer demand, the milk processing industry has developed rapidly. The increase in the per capita co nsumption of dairy products, although still laging behind consumption levels in European countries, is an indicator of the high potential of the domestic dairy market.