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Russian Ban Warrants Milks Production Cuts, Says Industry Body

02 September 2014

EU – European farmers should be made to produce less milk to relieve a congested dairy market amid Russia’s import ban, the European Commission heard last week.

A request for voluntary production cuts across Europe was made by European Milk Board (EMB) President Romuald Schaber, in order to prevent a major market crisis.

He said that Commission responses, including the announcement of private storage aid last week, have been “insufficient” and that milk quota should be used to cap milk output.

This would remove milk from the market, allowing a stable price for marketed produce, he explained.

"The quota system is indeed still in force until the beginning of 2015. Consequently, it can – and has to – be used as an instrument,” said Mr Schaber.

"Otherwise, the market will be exempt of any rules and it will be difficult to deal even with small crises – not to mention a Russian import ban.”

He said this provides “more stability with less money” than storing dairy produce.

 

TheCattleSite News Desk

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