EMB calls for ‘immediate activation of voluntary reduction scheme’
The European Milk Board (EMB) has called for the immediate activation of the voluntary volume reduction scheme at EU level.
A statement from the board described the reduction scheme as “a central crisis instrument”.
At the Salon International de l’Agriculture (SIA) in Paris, EMB president Kjartan Poulsen and EMB vice-president Boris Gondouin shared their views on the European milk market.
The EMB said that “many farms are once again operating far below cost coverage and are increasingly facing an existential threat.
"This is not a sustainable model for Europe’s milk production."
The board listed the following “problematic” issues:
- Global milk volumes “at excessively high levels” while “production costs remain high”;
- Price pressure from international competition “further aggravating the situation”.
The body said that a voluntary volume reduction “has already demonstrated” that production volumes can be reduced quickly “with a direct and effective impact on the market”; price pressure “can be eased”; and that “market stability can be restored more rapidly than through passive crisis management”.
“The market must not remain trapped in overproduction,” the EMB president added.
“A temporarily and responsibly managed supply framework is not an intervention against the market – it is a prerequisite for markets to function properly.”
Fair Milk
In addition to the crisis analysis, the topic of ‘Fair Milk’ was also at the centre of discussions at the SIA.
Fair Milk is an EMB initiative for a “fair farm gate price".
At the FaireFrance stand, the EMB presented itself together with its French partners.
FaireFrance is a fair trade brand owned by more than 350 dairy farmers across France.
“Fair Milk is not a marketing tool – it is a model for long-term viability,” EMB vice-president Boris Gondouin said.“What has been built here, and also through the outstanding Fair Milk projects in other countries, is exemplary for Europe,” Kjartan Poulsen added.
“FaireFrance and the Fair Milk colleagues from Germany, Luxembourg, Belgium and Switzerland show how farms can regain influence through initiative and solidarity.”
The EMB has said Europe needs an active market policy and effective crisis instruments immediately.
“Europe needs fair prices: for producers, for a reliable food supply, and for consumers.”
