Milk producers aim to escape penalty

MILK producers are holding their breath this week in hopes of another ‘great escape’ in the annual battle against super levy penalties.

As the EU 2002/03 milk production year ended at midnight on Monday, there was welcome relief for producers who have over-supplied their milk quota for the year.

They had been under pressure to withhold milk supplies on the farm during the final days of the outgoing year.

It is likely that Ireland had slightly exceeded its national quota by midnight on Monday.

Up to 1m gallons in excess of quota may have been supplied. But dairy industry observers are not ruling a complete escape from super levies, by coming in within national quota.

It will be up to two months before the final outcome is confirmed.

Figures available by this week-end will give a good indication when the intakes by processors are compiled. These must then be adjusted for butterfat levels and the distribution of flexi-milk.

Fine weather during the past month added to super levy concerns, as increasing numbers of cows calved down. Some of the big co-ops have reported supplies up to 22% ahead of 20002, over the past two weeks.

Milk collection drivers in some areas of Leinster confirmed that collections from farms over the past two weeks were higher than during June of last year. Last summer, cows had to be returned from the fields to yards because of adverse ground conditions caused by heavy rain.

In Munster, a surge in milk production in the early grass regions was a welcome income booster, but was potentially worrying for those delivering over quota.

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