Dairy refunds will end in 2013, says Boel

EXPORT refunds for the dairy sector will go in 2013, world trade deal or no deal, according to Mariann Fischer Boel, member of the European Commission responsible for agriculture and rural development.

Over recent months the EU’s dairy management committee have scrapped refunds on all exported dairy products for the first time in 40 years, as increased demand from processors and consumers continues to drive up prices.

In the world trade talks, the EU has already offered to phase out export refunds. Ms Boel said, “Without a Doha deal the situation is only slightly different. We do not have an international obligation to phase out export refunds, but quite frankly I do not see that we can come up with a credible policy plan for a Common Agricultural Policy after 2013 that still contains export refunds. In this scenario we have, of course more flexibility in the way, how and when exactly we phase out the export refunds for the different sectors.”

“We will provide for a soft landing for those dairy products where export refunds might still be needed up to the end,” she said.