Consumption and Internationalization: Determinants for the Development of the Dairy Market in Poland
Purpose: The aim of this study is to evaluate selected factors determining the development of the dairy sector production in Poland in view of integration with the European Union. Design/Methodology/Approach: This explanatory research uses secondary data obtained from Statistics Poland (GUS) and materials from the Institute of Agricultural and Food Economics (IERiGŻ) in Warsaw. The research covers the years 2004-2018. Data analysis techniques include dynamic indices, correlation analysis and internationalisation index. Findings: The results demonstrate that for the development of the analysed sector in recent years export sales proved more important than the level and dynamics of domestic consumption. In terms of the internationalisation structure of the dairy sector, a high position of cheeses and cottage cheese can be observed as the main, in terms of value, product group in exports. Among negative tendencies, there are high dynamics of foreign sales of unprocessed products, poor promotion of Polish brands on foreign markets, and accepting sales without own brand. This area exhibits a clear potential for further development of the sector. Practical Implications: The findings give us an interesting signal for building strategies for the internationalisation of the Polish dairy sector, both in terms of institutional support and business decisions. Originality/Value: The study provides recommendations for the dairy sector in Poland needed to boost the quality of export-oriented product groups. Dairy sector companies must attentively observe the market and boost internal demand to better compete with imported products.