Analysis of milk sector changes in Lithuania

Aim of the work was to analyze changes in Lithuanian milk sector after accession to EU. Impact of EU common market and support provided by structural funds and market support means was studied. Statistical and descriptive analysis of findings was applied. Study showed, that EU common market, structural funds and market support means have had the biggest impact to Lithuanian milk sector. In 2004 – 2008 common milk quota and quota for the milk delivery were increased. Quota for direct milk sale was reduced. However milk quota has never been delivered. Enlargement of farms and early retirement of farmers have reduced a number of keepers of milk quota. Growing milk production and common market has raised trade in dairy products. Milk has been used for production of variety of dairy products. In 2007 there was some decrease in trade of butter, cheese and cottage cheese, lactose and casein. There was high demand of ice-cream on the market. Enlargement and modernization of milk sector have significantly decreased a number of dairy farms keeping 1 – 4 cows. Dairy herds have improved in milk yield and milk quality