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TheDairySite Newsletter - 30 November 2012

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TheDairySite
Friday 30th November 2012.
Chris Harris - TheDairySite Editor in Chief

Chris Harris
Editor in Chief


Editorial: European Protests Continue over Milk Market Volatility

The market difficulties faced by the European dairy sector were brought into sharp focus this week as more than 3,500 milk producers demonstrated outside the European Parliament.

The protestors called on the MEPs to act responsibly with the producer in mind and decide on efficient rules for the market.

"The fact that so many colleagues from all over Europe have demonstrated shows how important the future of rural agriculture is for society," said EMB President, Romauld Schaber.

"This future can only be secured through flexible supply management through a European Monitoring Agency," added Mr Schaber.

Sieta van Keimpema, Vice-President of the EMB said: "There is an answer to the closure of farms. With the aid of a flexible supply management further damage to the milk market can be prevented."

The Spanish Minister of Agriculture, Food and Environment, Miguel Arias Cañete, also warned this week that the end of milk quotas in 2015 could aggravate the problems of competitiveness of European producers.

"Unfortunately, I fear that the end of the milk quota regime will only exacerbate the diminished competitiveness of the dairy production sector," said Arias Canete in a speech at a public debate held as EU agriculture ministers, gathered in a Council in Brussels.

"In recent months Spain has raised awareness to the plight of the dairy sector, and followed developments with great concern," said the Spanish minister.

The European Commissioner for Agriculture, Dacian Ciolos, said that although the producers can not find immediate solutions to existing problems, he is willing to discuss "long-term answers."

Over the last week, farmers in Galicia went on strike for two days in protest over the farmgate milk prices in Europe being offered by Spanish processors, which the farmers said stifled dairy farming causing farms to sell up.

Meanwhile in the UK, concerns have been raised over the potential changes to the Common Agricultural Policy in the way they will affect dairy producers.

Dairy UK said that the Commission's proposals give too much emphasis to winning continued political support for the CAP at the risk of missing an opportunity to address the real challenges of the future.

The industry body said that dairy farmers in Scotland, Wales and Northern Ireland will be disproportionately affected by a move away from historic payments to flat-rate regional payments and the proposal for capping payments will act as a brake on industry restructuring and should be withdrawn.

Dairy UK Director General Jim Begg said: "We are now at the business end of the current round of proposals and in summary they are a mixed bag for our industry.

"The importance of CAP Reform to the United Kingdom dairy industry cannot be overstated. It provides the framework within which the industry, and its competitors, operates. It can act as a brake, or an accelerator, on the sector. It has the potential to encourage, or distort, competition and it can reduce, or create, inequalities."

The European farmers union Copa Cogeca has called for more agri-cooperatives, which it says have a crucial role in assisting farmers to manage in volatile markets.

Faced with low margins and extreme volatility on the agricultural commodity markets, Cogeca President, Christian Pees, underlined the essential role agri-cooperative play in supporting farmers in these volatile markets and in enabling them to secure higher prices for their milk.

Speaking at a Cogeca Presidency Business Forum for the Dairy Sector Mr Pees said there is strong demand on the world market for milk and cooperatives are crucial in helping farmers to take advantage of these opportunities.


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This Weeks Articles and Analysis

Effect of Different Post-grazing Sward Height on Early Lactation Dairy Cow Performance
Research done in 2008 by McEvoy, et al.recommends a sward height of 4cm after grazing. However in the light of recent milk production targeting and the abolition of milk quotas in 2015 coming ever nearer Irish dairy farms are being urged to look to maximise milk yields per hectare which could be made easier by looking into other post grazed sward heights. A TEAGASC report has researched the effects of grazing pasture down to a height of 2.7 cm.

2012 - A Challenging Grazing Season Comes to an End
The AFBI review the grazing season as one of the most challenging growing seasons comes to an end.

Schmallenberg Virus: Analysis of Epidemiological Data
The analysis intends to give an overview of the disease in all affected countries one year after outbreak.

FAO Food Outlook - November 2012 - Milk and Milk Products
International prices of dairy products began to strengthen in mid-2012, reversing the steady decline that had characterized the previous twelve months, according to a report from the FAO.

Company News

Gene Technology to Manage Animal Health
BELGIUM - The way in which herd and flock health is managed could change radically over the next 20 years thanks to developments in molecular technology - this was one of the conclusions from a recent meeting in Brussels on Advances in Diagnostics.
Market Reports

National Dairy Products Sales Report - 23 November 2012
UK Milk Prices and Composition of Milk - Review of October 2012
National Dairy Products Sales Report - 28 November 2012
USDA Outlook for U.S. Agricultural Trade - November 2012
Irish CSO: Agricultural Price Indices - 2012 - Preliminary Estimates
UK Total Income from Farming 2011 – 2nd Estimate

Global Dairy Industry News

   United Kingdom

Wet Summer Results in Fodder Bank Relaunch
'Get Back to Basics' Urges HSBC's Head of Agriculture
Hypocrisy Causes Outrage Amongst Welsh Farmers
NFU Scotland Unveil Beef Blueprint
Banks Alerted to Weather Impacts on Businesses
CAP Reform Present Mixed Bag to Dairying
Farming Can Meet 3m Tonne GHG Reduction Target by 2020
Over 1400 Badgers Vaccinated
Average UK Milk Price Down
Study Proves Direct Link Between Cattle TB and Badgers

   Spain

Young Farmers Make Dairy Saving Demands
Galicia Dairies Take First Ever Strike Action
Industry Coordinator Hopes to Resolve Dairy Crisis
Spanish Water Reserves at 51.8 per cent Capacity
Galicia Strike Boycotts 6million Litres of Milk
Quota Abandonment Detrimental to Competitiveness
Industry Agrees to Suspend Strike

   United States

Production Underway at Animal Nutrition Center
Post Election: 2012 US Farm Bill and the Fiscal Cliff
Focus on Soybean Oil
Stopping Flies Before They Mature
Organic Dairy Farms Benefit Both Producer and Economy
Publication Addresses Raw Milk FAQs
US Butter Prices Down
US Agricultural Trade to Hit Record Levels

   Australia

Murray Darling Basin Plan Now Law
Johne's Disease Detected in Rockhampton
Johne's Outbreak Requires Quarantine
Johne's Disease Present in Herd for Many Years
NSW Govt Threaten to Limit Water Buy Back Amount

   Brazil

Brazil Needs to 'Ensure Food Supply'
Isolated Communities Reached in FMD Vaccination Programme

   Germany

Agricultural Exports Up in Income, Down on Volume

   New Zealand

Industry Claims 2011/12 as Best Dairy Season
Fonterra Announce Interest in Shareholder Scheme
Disputes Continue Over One Plan Policy

   Russian Federation

Farm Subsidies Create One Thousand New Jobs
Kabardino-Balkaria Farmers Receive State Aid

   Ukraine

Farmers Receive Support for Maintenance of Young-stock Herd

   Haiti

FAO, Haitian President Urge Increased Investment in Haiti

   Global

Growing Populations and Wealth Changing Food Demand
Fullwood Showcase New Feeding Precision Technology
US, Mexico Sign Landmark Water-Sharing Agreement for Colorado River

   Canada

'Buy Local' Scheme Coming to British Columbia
Canadian Beef Supplies Remain Tight

   Venezuela

National Milk Output Only Half of National Demand

   European Union

EU Dairy Production: Condensed Milk Increases by 20 per cent
EU Dairy Production: Farmgate EU 15 average 27.84 pence
Dairy Farmers Continue Brussels Protest
Cooperatives Underlined as Essential for Dairying

   China

OIE: Foot and Mouth Disease Reported in East China

   Ireland

Budget Decisions Must Not Add to Farming Woes
Irish Agricultural Production Costs Rise

   Sweden

Supermarkets Offer Cattle Farmers Great Opportunity
Cattle Receive Half of Farm Subsidies

   Colombia

Agriculture Minister Announces Dairy Funding Boost

   India

Fonterra Opens Delhi Office

   Bolivia

Rural Community Commits to FMD Vaccination

   Paraguay

Training for Livestock Farmers Offers Certification

   Armenia

OIE: Armenian Anthrax Outbreak Reported

Events/Promotions

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V Latin American Animal Nutrition Congress. CLANA

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