The European Parliament’s agriculture committee has backed a proposal to raise EU milk production quotas by 2% in April to allow producers to meet surging demand worldwide.
Go deeper with GlobalData
However, MEPs have suggested the increase be voluntary for member states – not compulsory as tabled by the Commission.
MEPs said a voluntary increase would allow some governments to keep their national dairy prices high if necessary.
German Christian Democrat MEP Elisabeth Jeggle said she feared a uniform increase of 2% would result in “lower prices paid to producers already in difficulty, in an environment where quotas are under-used in many regions”.
However, the Commission has argued surging demand for dairy products in emerging markets such as Brazil is creating export opportunities, especially for Europe’s top dairy producers such as France and Italy.
US Tariffs are shifting - will you react or anticipate?
Don’t let policy changes catch you off guard. Stay proactive with real-time data and expert analysis.
By GlobalDataEU milk quotas should disappear after 2015, with the Commission drafting proposals for a new system.
