Milk reduction scheme may be attractive, says IFA

Farmers interested in the new EU milk reduction scheme will have to consider if they can cut their production, in light of their volume/contract commitments (such as liquid milk, winter milk, seasonal peak management, forecasting commitments, etc), advises the IFA dairy team.

They said the scheme may be attractive to Irish creamery milk producers, because it primarily targets production reduction in the last quarter of the year.

However, any farmer wishing to participate will need to apply by September 21 and offer to reduce production in October, November, and December (compared to 2015), for certainty of funding, because applications for later three-month periods will be rejected if the first come, first served scheme is oversubscribed in the first period.