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EU Raises Romania’s Annual Milk Quota By 2% As Of April

Annual national milk quotas in European Union member states will be increased 2% in the market year April 1, 2008-March 31, 2009, the EU’s Council of Ministers for Agriculture decided Monday.
EU Raises Romania’s Annual Milk Quota By 2% As Of April
18 mart. 2008, 12:18, English

The Council of Ministers thus approved a proposition from the European Commission, the Commission said in a statement.

The milk quota allotted to Romania is 3.05 million tons and is divided into two categories: for direct sales and for deliveries to processing units. Starting April 1, to quota increases to 3.11 million tons.

Producers expected the increase, as they have planned investments in new production units. For the current market year, producers estimate Romania will produce only 80% of the quota, as some breeders are affected by the lack of animal feed and funds to invest in farm development and increased milk quality.

The European Commission in December enacted a proposal to increase milk quotas for members states by 2% on higher demand on throughout Europe and the world. The European Parliament in March said member states should be able to choose whether to increase quotas. The Parliament also opined that taxes for exceeding quotas should not be applied unless there is a surplus in the EU.

The rise in milk quotas is meant to secure a soft landing on the completely free market after 2015, when the quota system is eliminated.