UK rejects EU’s emergency dairy fund

FARMING Minister Jim Fitzpatrick said the UK would not support the EU’s €280 million package to boost the dairy sector.

The funding was proposed at yesterday’s (October 19), agriculture council meeting, where Ministers discussed a range of measures to help boost the dairy sector.

The UK however refused to back the funding, claiming it would be a backwards step on reforming the CAP.

Following the meeting in Luxembourg, Mr Fitzpatrick said: “We want to see a viable and competitive dairy sector in Europe, but will not support anything that takes us backwards to a regime of heavy market support for inefficient dairy producers at the expense of taxpayers and consumers.”

The meeting came as thousands of dairy farmers staged a protest, calling on Ministers to provide increased support for the ailing sector.

The Commission also presented proposals on changing the regulations to allow new extensive measures to be taken in times of crisis as well as extending the intervention period for butter and skimmed milk powder.

“I am pleased that the Commission has now been able to note that the situation in the milk market is beginning to show signs of stabilising,” said the chair of the Council, Swedish Minister for agriculture Eskil Erlandsson.

“It is satisfying that the Commission was able to present several future measures, which a large majority of my colleagues in the Council have called for. Many ministers can now take reassuring replies with them home to their dairy farmers.”

The €280 million funding will still need to be approved by the EU’s finance council before it can be put to a vote, and Agriculture Commissioner Mariann Fischer Boel warned Ministers the fund would leave her purse ‘empty’ for 2010, ruling out any requests for further funding.

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