European dairy farmers raise the alarm amid an acute and dramatic crisis – markets are flooded, prices are collapsing. Milk prices have been falling for months, pushing farms into severe existential difficulties and making it clear that a voluntary volume reduction must be activated immediately at EU level by the European Commission, before more farms are forced to shut down.

Tensions due to agricultural and trade policies are being felt throughout the European Union. This text from our French members provides a very tangible overview of the reality on the ground and how these massive challenges are perceived by producers.

Published on 1 February on Facebook

The dairy market in Switzerland has reached a new low. Milk is being processed into butter by the truckload and skimmed milk has to be disposed off in biogas facilities because of insufficient capacity for milk powder production. There is only one option left: the milk volume must go down. But how?

Major mobilisation and strong concerns have come forth from the dairy sector in recent months. MIG would like to recap the current key challenges and the actions undertaken to defend the interests of dairy farmers.

Large-scale farmer protests were held in December and January to oppose the free-trade agreement with Mercosur. MIG participated actively alongside numerous farmers. This agreement poses severe threats for our farms: unfair competition, lower prices for agricultural products, less strict environmental and social standards, weaker European food sovereignty. MIG remains fully mobilised to push for a clear rejection of this agreement and the implementation of fairer, more sustainable trade policies.

In the meantime, the drop in milk prices is a pressing issue for producers, putting dairy farms on the line. Income has reduced sharply, while production costs have stagnated or increased.

Considering this worrying situation, MIG calls for the urgent activation of a dairy market regulation mechanism to stabilise prices, guarantee cost-covering remuneration for producers, prevent yet another milk crisis and secure the future of the sector. Effective regulation is imperative to ensure the survival of our farms.

Governance of dairy cooperatives: need for professionalisation

MIG has also noted increasing difficulties in managing certain dairy cooperatives. Executive boards do not always have the necessary skills to manage what have become complex structures. MIG suggests increased support in the form of external experts to provide key competencies needed: economists, accounting experts, management and strategy specialists. This assistance would help improve transparency, financial management and decision-making viz-a-viz producers.

Another major source of concern is the corporate grabbing of agricultural land for carbon offsetting. This trend implies higher land prices, more difficult land access for farmers and a loss in food sovereignty. MIG warns against the long-term consequences of these practices and calls for a strict framework to protect agricultural land and maintain its key function of food production.

Against this challenging backdrop, unity and producer mobilisation are essential. MIG will continue to actively defend the interests of dairy farmers before policymakers, the European institutions and economic stakeholders.

MIG (Milcherzeuger-Interessengemeinschaft) team

The European Food Safety Authority (EFSA) has launched a public call to submit data on the use of 3-nitrooxypropanol in ruminants. EFSA has been mandated to prepare a scientific opinion on the safety of the feed additive for the target species under Regulation (EC) No. 1831/2003.