Macra support for new quota regime

MACRA na Feirme has welcomed the announcement by Agriculture Minister Mary Coughlan that up to 30% of milk quota will be set aside for young farmers under the new regime.

Colm Markey, Macra president, said it was good news for young farmers and would ensure most of them would not be priced out of the market for quota. He said the new regime had struck a balance between keeping prices down and releasing more milk quota. Mr Markey said Ms Coughlan had included vital “price cooling measures” in the new regime.

“Farmers in Ireland spent over €300 million on milk quota since the year 2000 and it is vital that quota prices are kept down at a time when milk price is falling,” he said.

Mr Markey said farmers who exit dairy farming will retain the decoupled diary premium payment. This would be worth almost €1 per gallon over the next six years to those who gave up milking cows.

“It is regrettable that the EU rules mean that these payments will continue to go to farmers who leave dairying rather than those who are milking the cows,” he said.

ICMSA president Jackie Cahill said it would be madness for any dairy farmers to consider paying more than 10c a litre for milk quota under the new exchange system.

He claimed the minister, by bringing in the quota exchange, has brought added uncertainty and increased expectation on farmers selling their quota. Mr Cahill said the focus must be on increasing milk price, not increasing the price of quota.