Tough time for milk producers

CHAOS looms in 2004 for milk producers, as owners of milk quota position themselves to take full advantage of earlier de-coupling of the EU dairy compensation payments, which commence next year.

At the other end of the scale, compensation for milk price support cuts will not be paid for additional quota acquired by expanding farmers after April 1, 2005.

Committed milk producers are being urged to increase production, if they want to maintain or increase their current incomes.