EU Ministers Propose Additional Dairy Measures

EU - The UFU has welcomed a letter by eight EU Farm Ministers to the European Agriculture Commissioner, Marian Fishler Boel in response to the Commission’s Dairy Report published on 22 July.

12 August 2009

2 minute read

Ministers from Austria, France, Germany, Latvia, Lithuania, Slovakia and Slovenia expressed their concerns that the proposals tabled by the Commission were “largely insufficient”. Previously, the UFU commented that the proposals fell short of achieving what was needed to help the EU dairy sector and now praises the Ministers’ letter for recognising that more needs to be done to address the on-going crisis in the European Milk sector.

UFU Deputy President, John Thompson, comments; “We fully agree with the view from these Ministers’ that the Commission must not limit its scope to “a catalogue of measures”, rather that, the Commission should adopt a comprehensive range of measures, combining short and medium term strategies; as indeed we have set out in the UFU’s Roadmap to recovery.

“As far as short-term measures are concerned, we welcome the call for measures to be taken in addition to increasing the ceiling of the state aid regulation and budgetary funds to be made available for dairy promotions. In particular, the requests for additional measures such as a temporary rise in the intervention price, increases in rates, and scope of export refunds for butter, powder and cheese, is particularly welcome”.

John Thompson added; “The UFU fully supports the recognition by the Ministers that market management measures should be lasting, more flexible and efficient to make them more responsive to market situations and to help smooth price variations over time. We also agree that lasting and effective relationships between producers, processors and retailers must be encouraged and supported with the end goal being better market stability and risk sharing.

“We also support the call for measures to be taken which enhance the competiveness of the dairy sector, in particular product diversification, innovation and market segmentation. The letter also calls for the introduction of “Country of Origin labeling” which is in line with the UFU Dairy Roadmap for Recovery.”

He concluded; “The UFU has already made our three NI MEPs aware of this letter and we will be urging that these points are taken into consideration at the next meeting of the EU Farm Council on September 7.”