Coughlan welcomes refund rises

INCREASES in export refund rates for butter and whole milk powder agreed at a meeting of the European Commission’s milk management committee in Brussels have been welcomed by Agriculture and Food Minister Mary Coughlan.

The minister said these measures would improve the competitive position of EU and Irish products on the world market.

She said she had continually pressed the commission to take account of the difficult market conditions experienced by EU traders.

Ms Coughlan said she was in contact with European Commissioner Mariann Fischer Boel as recently as April 12.

She said she had advocated increases in export refunds for milk products to assist EU traders and appreciated the commissioner’s response.

Irish Co-operative Organisation Society (ICOS) president Padraig Gibbons welcomed the refund increases decided on April 27 as a step in the right direction.

He pointed out, however, that there is an ongoing weakness in the butter market and a recent decline in the US dollar exchange against the euro.

Further butter refund increases will, therefore, be required to re-establish sufficient export competitiveness and prevent a serious imbalance of butter on the EU market and increased intervention stocks, he said.

Mr Gibbons said ICOS and its members will be monitoring the situation in advance of the next milk management committee meeting on May 10.