Dairy exporters face bleak future, Danes warn

IRISH dairy farmers and processors welcomed the EU’s strong negotiating stance in the WTO talks. But the Danish Dairy Board (DDF) has warned EU dairy exporters may be in for a difficult future in a world governed by bilateral trade deals which favour the EU’s competitors.

The DDF has called for the WTO process to be revived as soon as possible. “A clear WTO agreement with improved market access and uniform rules for all would be far more valuable to the European market than forever hiding behind a tariff wall.” The DDF said Australia, New Zealand and the USA have been active in making bilaterial trade agreements, while the EU has been reluctant.

As a result, tariff-free access has been gained for Australian milk powder in a number of Asian countries, while countries without such similar agreements — like the EU — lose ground, and a WTO deal with identical conditions for all would have been a clear advantage for the EU dairy industry.