Farmers could face €19m milk levy

IRISH farmers are facing a milk super levy fine this year of about €19 million for over-production if supplies to co-ops persist at their present rate, predicted the Irish Creamery Milk Suppliers Association yesterday.

Noting EU dairy farmers paid €221m in super levy in the 2006-2007 milk quota year, John O’Leary, deputy president, said Irish dairy farmers were 1.25% over quota at the end of December, with three months of the quota year to go.

Mr O’Leary repeated a call by the association for an EU-wide milk super levy scheme in order to allow Irish dairy farmers to benefit from the improved prices for dairy products while minimising any possibility of increased production undermining market prices.