Milk programme update

Ukrproduct Group Ltd
15 June 2007




                                                                    14 June 2007



                  Ukrproduct Group Ltd ("UPG" or the "Group")



      Implementation of a programme for the improvement of milk quality is 
                               progressing to plan



The implementation of a programme for the improvement in the quality of milk
processed by UPG is continuing. The programme commenced at the beginning of 2006
and was aimed at securing an uninterrupted supply of quality raw milk to the
Group's processing plants, By the end of 2006, the programme resulted in the
installation of over 50 milk-cooling facilities in the main districts of the
Group's supply zone.  A further 20 facilities were installed during January to
May 2007. As a result, the Group now has 74 stationary refrigerated facilities
with a total cooling capacity of 90 tonnes of milk per day. This upgrade ensures
that the Group's increased processing capacity is now matched by the stable
supply of quality milk in the midst of a seasonal peak in milk supply. The
milk-refrigeration facilities are necessary to store the crucial buffer stocks
of raw milk in hot-weather conditions before being moved to the Group's
processing plants.


As part of the programme, the fleet of special vehicles required for the
transportation of milk has also been upgraded. Since the start of this year,
three large milk carriers, with an enhanced transporting capacity, have been
acquired. A further six vehicles will be added to the fleet by the end of the
summer. These milk carriers are used for the transportation of raw milk to the
Group's milk-collection points and processing plants.




For further information:

Ukrproduct Group Limited                             [phone]
Iryna Yevets, CEO, [e-mail]
Dmitry Dragun, CFO, [e-mail]


WH Ireland Limited                                   0161 832 2174
David Youngman









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