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17.03.2008

Ministers of Agriculture Increase National Milk Quotas

The EU Agriculture and Fisheries Council, under its President, Slovenian Agriculture Minister Iztok Jarc, today decided a 2% increase in national milk quotas.

“The decision is based on the favourable EU and world market situation, affording realistic possibilities for increased milk production. It is important that the Commission has undertaken to consider the 2% quota increase in the context of the so-called ‘soft landing’ approach to the abolition of milk quota in 2015,” stressed Mr Jarc, and added, “We have on several occasions pointed out the need to protect sensitive areas where the abolition of milk quotas could affect milk production and, thus, their long-term dairy production.”

The proposal to increase the quota was prepared by the Commission on the basis of the requests by Member States last autumn and the milk market forecasts report. In drawing up legislative proposals in the context of the CAP review, the Commission will make provision for a comprehensive solution for the milk sector and will examine other measures for the soft landing, such as reducing levies for exceeding quotas, reducing the fat correction coefficient, and others.

As some countries do not make full use of the present national quota, EU-wide milk production will not go up by 2% overall. At the same time, the increase will impact on the sector’s development in those countries or regions that experienced quotas as restrictions on production and development.

 

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Date: 21.03.2008