European Agriculture Commissioner Phil Hogan said at a press conference in Brussels on Monday 23 January that milk prices in the EU had increased by 25% since last August but he acknowledged that the recovery was fragile.
Against a backdrop of demonstrating producers who dumped a tonne of powdered milk outside the Council buildings in Brussels, Hogan gave assurances that the Commission was being careful in the return of skimmed milk powder (SMP) to the market. In three tenders for the sale of 20,000 tonnes of SMP from intervention stocks, the EU has rejected offers on two occasions as the prices proposed were too low, Hogan underlined (see EUROPE 11698). “We are showing caution to prevent the return of the SMP to the market affecting prices paid to producers”, he said.
The Maltese Presidency of the Council said that the situation remained somewhat unstable despite the improvement that has taken place. Producers are concerned since prices are such that farmers are selling at a loss, indicated Roderick Galdes, Maltese Agriculture, Fisheries and Animal Rights Minister.
Milk package. In Council, most member states supported extension of the rules beyond 2020 (see EUROPE 11707). France called for it to be possible to extend the provisions of the package on collective bargaining to all sectors. Denmark and Sweden stated that they would be prepared to accept extending the rules on condition that the extension is voluntary. Germany, for example, pointed out that, despite some good results, the milk package had not prevented the crisis in the sector. Lastly, several countries, including Spain, Greece, Ireland, Cyprus and Lithuania, called on the Commission to submit proposals to strengthen the position of farmers in the food supply chain. (Original version in French by Lionel Changeur)