Hamm, 17.12.2010: „Last week the EU Commission has published disappointing proposals for the dairy market. Not a single instrument was proposed that could prevent the failure of the market that we saw in 2009. In particular milk producers are still not allowed to organise themselves effectively on the market and to adapt their milk production to the requirements of the market.

Romuald Schaber, president of the European Milk Board (EMB) says: “Given this rejectionist attitude of policy-makers the EMB can no longer ask European milk producers to limit their production voluntarily. Up until now many milk producers have, on the advice of the EMB, curbed their production to prevent the milk market from collapsing completely. However, as the EU continues to promote liberalisation, i.e. a market without volume control, a limitation of individual farmers would be of no avail. „The EU Commission has to be aware that it promotes excess production. It has to deal with this issue. We call on the Commission to analyse of the development of prices that would occur if producers fulfil the increased quotas till 2015” says Sieta van Keimpema, vice-president of the EMB. „We run the risk that the milk processing cooperatives will gain more influence and that the milk producers will be put in an even weaker position if we see the expected overproduction” adds Sieta van Keimpema.

To prevent prices from plummeting once more the EMB calls for a monitoring agency at the European level to be created as soon as possible. This monitoring agency should immediately be provided with competencies and instruments for a flexible, market-oriented volume management.

Please click here for the EMB press release.