Brussels, 18/03/2008 (Agence Europe) - On Monday 17 March, agriculture ministers from EU member states adopted a regulation by qualified majority allowing a 2% rise in dairy quotas for the 2008/2009 marketing year beginning on 1 April. Germany and Austria voted against the text and France abstained. These three member states adopted a joint declaration to explain the reasons for their reticence. Germany and Austria pointed to the fact that prices have fallen recently and bemoaned the lack of accompanying measures in favour of producers in sensitive areas (e.g. mountainous regions). Poland would have preferred to see a 5% rise in dairy quotas.
The 2% rise in dairy quotas corresponds to an additional volume of 2.85 million tonnes of milk. Total milk production quotas amount to 145.7 million. This rise aims to facilitate the production of larger quantities of milk within the Community and meet the demands of the market for dairy products, the regulation states.
Dairy quota figures for 2008/2009, taking the additional 2% into account, are: Germany: 28.847 million tonnes (t); Austria: 2.847 million t; Belgium: 3.427 million t; Bulgaria: 998,580 t; Cyprus: 148,104 t; Denmark: 4.612 million t; Spain: 6.239 million t; Estonia: 659,295 t; Finland: 2.491 million t; France: 25.091 million t; Greece: 836,923 t; Hungary: 2.029 million t; Ireland: 5.503 million t; Italy: 10.740 million t; Lithuania: 1.738 million t; Latvia: 743,220 t; Luxembourg: 278,545 t; Malta: 49 671 t; Netherlands: 11.465 million t; Poland: 9.567 million t; Portugal: 1.987 million t; Czech Republic: 2.792 million t; Romania: 3.118 million t; United Kingdom: 15.125 million t; Slovenia: 588,170 t; Slovakia: 1.061 million t; and Sweden: 3.419 million t.
The original proposal from the Commission for 2003 reform included a quota increase of two times 1% in addition to the increases already set out in Agenda 2000 (in 1999). In the June 2003 compromise, the Council decided that there would not be any further general increase in quotas in 2007 and 2008 and called on the Commission to present a report on market prospects, once the reform was fully implemented. In a press release, the Commission explains that favourable market development combined with reform has resulted in a situation without precedent since the system was established in 1968, in that all export refunds are currently equal to zero and there are no more intervention stocks. Aid for the disposal of products in the European Union is also equal to zero, which was the aim of the reform.
Upon arriving at the meeting, German Agriculture Minister Horst Seehofer recalled his opposition to the 2% rise in dairy quotas this year. In his view, it is a “mistaken” political decision. “For several weeks now, prices have been falling. A rise in quotas would make them go down still further and would place the livelihood of many milk producers in danger”, he explained to AFP. His French colleague, Michel Barnier, also expressed reservation, saying: “I can quite understand a very modest rise in quotas this year as the demand is there, but I would warn against decisions that can be heavy with consequences in the future”, he said. (L.C.)