SCENARIOS FOR LATVIAN DAIRY PRODUCTS EXPORT DEVELOPMENT

Dairy industry in Latvia shows rapid growth since milk production facilities are being modernised and milk product assortment is being expanded in the last years. Latvian dairy products export value reached 165.5 million EUR in 2016, decreasing by 23.2% in comparison with export value in 2014. It is impossible to determine the probable industry's of dairy products development and certain products export prospects because Latvian dairy industry researches are included in the whole researches of food and beverage industry. The authors' research is actual in modern market since it analyses production of milk and dairy products in Latvia and contains evaluation of external markets potential. The research aim is to analyse the potential of external markets for Latvian milk and dairy products industry. The research uses statistical data processing methods, system analysis, comparison methods, forecasting methods. The results of the research reveal scenarios for Latvian dairy products export development, which theoretically reflects the dynamics of Latvian milk processing industry development. The authors emphasize that the revealed tendencies are the basis for further research. The credibility of the results will increase after inviting experts and members of industry. According to the authors, the major factors preventing the export of Latvian dairy products are great competition in foreign markets, high logistics costs and low economic freedom. The main export conducive factors are large and open markets and stable demand for dairy products.