Commission proposes 2% quota increase
by Tony Carver
December 21, 2007
Last week the EU Commission proposed a 2% increase in milk quotas effective from 1st April 2008 to meet growing demand both within the EU and on global markets. The increase, a total of 2.84 million tonnes, would apply on an equal basis to the 27 Member States.
The proposal is in line with a report on the outlook for the EU dairy sector that shows that the demand for milk has grown between 2003 and 2007 and is expected to continue growing between 2007 and 2014 making the proposed increase fully justified.
Nothing has been finally decided and/or approved but the Commission hopes that the Council and Parliament will be able to reach a rapid decision to allow the increase to take effect by 1 April. The timetable for approval of the application is likely to be:
·       ÂJanuary - discussion in Council
·       ÂFebruary - European Parliament opinion delivered and political agreement at Council
·       ÂMarch - adoption by Council (if they all agree)