Brussels, 05/04/2016 (Agence Europe) - On Thursday 31 March, the EU Management Committee voted in favour of the European Commission's proposal to allow producer and inter-professional organisations and cooperatives in the milk sector to voluntarily reduce production.
This involves one of the flagship measures contained in the most recent a package for certain agricultural sectors experiencing crisis (see other article and EUROPE 11511). An increase on the European milk market is expected from this measure and the implementing regulation is to be adopted in mid-April.
During the management committee vote, Denmark voted against the proposal. Several countries, including Poland, Romania and Slovakia, abstained because they wanted EU funds for encouraging farmers to participate in the supply management mechanism included in the Common Market Organisation regulation
(Article 222). Ireland voted in favour, as did 20 other member states, but it explained that it did not intend to regulate supply because Irish farmers had agreed to important investments for developing their production capacity.
Provisions on voluntary supply management in the EU will be applied during an initial six-month period (this measure could be extended for a further six months if necessary). According to the planned rules, member states would be able to use some of their targeted aid allocation (€420 million in September 2015) or use national level assistance (the Commission agreed to set maximum ceilings at €15,000 per farmer every year, without national ceilings) in an effort to compensate farmers that agree (on a voluntary basis) to reduce their milk production.
The Commission has so far rejected a French request to extend the voluntary supply management mechanism to the pork meat sector. (Original version in French by Lionel Changeur)