EC Aid Sought For Irish Dairy Market

The continued weakening of the Irish dairy market has led to increased efforts by the Irish Government to exert pressure on the European Commission to provide every available support to farmers.

Junior Agriculture Minister and Clare T.D. Tony Killeen said today that without such support the current deep crisis in dairy markets would continue to badly affect dairy farmers' incomes.

Minister Killeen said: "Farmers across the EC, and farmers in Ireland in particular, are facing very severe difficulties in making ends meet.

"Prices are historically low and while the Commission has made every effort to stabilise the situation, there is no real sign that a recovery is in sight.

"I share my colleague and Minister for Agriculture Brendan Smith's concern that the market continues to show resistance, and price returns to dairy farmers in Ireland are now at levels that threaten the very viability of many farm enterprises," he said.

Noting that the Irish Government has been to the forefront in pressing the Commission since last November for the activation of market measures, he continued: "The Government will continue to seek further steps that may assist in reversing the downturn and stimulating the market further.

"This includes prolonging the intervention purchases of butter and skimmed milk powder, and the private storage scheme for butter beyond their normal closing dates in August.

"I believe that the role that private storage plays in particular, but intervention too, are such that their continuation after the normal end dates will be crucial in evening out the supply/demand curves and preventing further market turbulence at a time when supplies would otherwise hit commercial markets," he said.

(BMC/JM)