The European Milk Reduction Programme has been a roaring success among EU producers, particularly in the larger producer countries.
Of the total budget, 99% (€150 million) was taken up in the first call for applications, which expired on 21 September (see EUROPE 11633). There was only enough money left over to reduce milk production by 12,198 tonnes for the second (and therefore final) round (which ran until 12 October). The second round was open to those who had not applied under the first.
The quantities covered by the applications for aid put forward for the second milk reduction period (November 2016 to January 2017) exceed the total maximum volume available (12,198 tonnes). Applications were sent in for a total of 97,880 tonnes (more than 6,000 milk producers applied, 51,954 of them in the first round). An allocation coefficient was therefore calculated (0.12462762). It will be published in the Official Journal of the EU on Wednesday 19 October in the form of an implementing regulation.
This will help to reduce European production by around 3% (-1,071 million tonnes, including a reduction of 288,000 tonnes in Germany, 184,000 tonnes in France and 113,000 tonnes in the UK).
The Commission hopes that farm prices will start to rise. The success of the European Milk Reduction Programme has been unanimously hailed, but many observers have regretted that it was not launched earlier. (Original version in French by Lionel Changeur)