According to a special report by the European Court of Auditors published on Thursday 24 June, EU aid to milk producers following the Russian embargo was not sufficiently targeted.
The EU had adopted measures to support farmers during the disruption of the milk industry between 2014 and 2016.
However, according to the European Court of Auditors’ report, the real needs of producers were not sufficiently assessed, while granted the aid was not sufficiently targeted. The European Court of Auditors conclude that the European Commission reacted quickly to the Russian embargo.
At the end of 2014, after estimating the volume of export losses of butter, cheese and other dairy products, the European Commission presented a first package of exceptional financial support measures for milk producers in the countries most affected, namely the Baltic States and Finland. However, the European Court of Auditors also note that it had taken longer to address the underlying market imbalances.
The European Commission allocated some €390 million of EU funds, available throughout the Union, to the voluntary reduction of production. However, in the face of historically low prices, many farmers had already reduced their milk production even before the aid measures came into force. (Original version in French by Lionel Changeur)