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Following the increase in oil prices and transportation tariffs in international markets, pressure is increasing for changes in other raw material prices.
Dairy processors will also face increased production costs due to the rise in the price of raw materials in international markets, especially plastics.
Foreign suppliers to manufacturing plants in Greece have notified local milk processors of an up to 2-fold increase in the price of plastic, compared to the previous price.
According to their announcement, a portion of the changed price will begin to be reflected for new supplies from May 1 to May 31.
"The international market for raw materials for plastics has experienced an unprecedented increase in prices, accompanied by a significant increase in transportation costs.
More specifically, the cost of raw materials has increased significantly, in some cases doubling compared to previous periods.
We are trying to absorb some of the costs so as not to reflect the full increase, and we will do our best to ensure that every order produced and delivered by April 30th remains at the current price.
However, due to the continuation of this trend and high cost pressure, we are forced to review prices, reflecting only a portion of this real increase.
This update has been made carefully, aiming to maintain the fairest possible balance between the market situation and our long-term partnership.
Considering the volatility of the market and the frequent price movements on the stock exchange, the factory will apply a monthly pricing policy, to ensure transparency and the most realistic adaptation to the market.
"Within the next week, we will send you the updated price list, valid for the period May 1 - May 31, 2026," the foreign suppliers' announcement sent to local processors states.
Representatives of local milk processing factories signal that the increase in the price of the plastic they use to package dairy products will increase the cost of production.
Due to the increase in plastic announced at the beginning of May by foreign suppliers, processors are also warning that they may be forced to review prices for dairy products.
Previously, due to increasing costs, mainly due to the high price of milk as a raw material, which is purchased more expensively in Albania than in EU countries, processing companies requested government intervention to equalize VAT to 10% for the purchase and sale of milk.
A measure that, according to them, would not only reduce the financial pressure on processing plants, but would also prevent the increase in prices of dairy products for consumers. The request of the Dairy Processing Industry Association for halving VAT was submitted to the Ministry of Finance and the Ministry of Agriculture and Rural Development, for which a response has not yet been received.
Industrialists argued that EU countries apply reduced VAT rates for basic foods, usually in the range of 5–10%, while some member states even use a 0% rate for the most sensitive categories of food products, such as bread, milk, eggs and fresh fruit./Monitor
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