Reaction mixed to dairy proposals

THERE were mixed reactions yesterday to the dairy sector proposals in the Health Check of the Common Agricultural Policy.

IFA dairy committee chairman, Richard Kennedy said the proposed 1% quota increase for 2009/2010 went some way towards improving the “soft landing” to quota abolition in 2015.

But he said the Agriculture Minister Brendan Smith must resist the proposed savaging of dairy market supports.

Mr Kennedy said provision for an overall 5% quota increase over six years, instead of 4% in the previous proposals, are a step in the right direction.

ICMSA leader Jackie Cahill said phasing out the quotas will not keep dairy incomes up and that must be the ‘bottom line’ in any sensible review of Europe’s dairy sector, he said.

Macra na Feirme president Catherine Buckley said the commission’s disappointing interpretation of a “soft landing” for the abolition of milk quotas will impact on young people involved in dairying who are trying to expand their business.

ICOS president Padraig Gibbons said the document fails to provide a “soft landing” for dairy farmers in the lead-up to the removal of quotas in 2015.

Fine Gael spokesperson Michael Creed TD said it is a worrying time for farmers. On the dairy side prices are falling up to six cents a litre for May milk.

“This brings into stark focus the Health Check proposals to increase milk quotas. On balance, I am in favour but price at farm gate level is critical and the WTO proposals on tariff reductions further complicate matters,” Mr Creed said.

Labour spokesperson Sean Sherlock TD called on the government to survey all farmers countrywide on the proposals.

The minister said: “I will work on building alliances and understandings with member states as well as outlining my concerns to the commission in order to achieve progress on issues such as an acceptable and ambitious increase in milk quotas for Ireland.

“I will also be voicing my concern at the proposed increase in the rate of modulation so that I can ensure the protection of farm payments in Ireland and I will be pushing for the retention of market management.”