Both the global and European shortage of raw milk has led to an increase in milk prices, which in the first two months of 2025 has translated into profits for Estonian dairy producers.
AS Pajusi ABF CEO and owner Lembit Paal told ERR that milk prices in European markets have continued rising steadily since last June.
Currently, the average price for a metric ton of milk in the EU is €543, and in the first two months of the year, the resulting profits have finally reached Estonian dairy producers.
Pajusi ABF and 20 other dairy producers in Jõgeva County have joined forces in the agricultural cooperative Jõgeva County Agricultural Producers’ Union (JPTL), whose supervisory board member Kristjan Rebane says that by working together, they are able to negotiate better prices from buyers.
Rebane, the majority shareholder and a board member of Laiuse Põllumajanduse OÜ, declined to disclose the exact purchase price of milk, but did confirm that it exceeds €500 per ton. The milk produced by JPTL members is sold to Lithuania.
Paal added that if the purchase price of milk should remain at the level Lithuania has paid this January and February, dairy producers in Estonia will actually be able to set aside some funds for investments.
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