UFU discuss Milk Market Conditions with Local Processors
Wednesday, 15 October, 2014
Ulster Farmers’ Union President Ian Marshall, Deputy President Barclay Bell and Policy Director Wesley Aston, along with the Chairman and Vice Chairman of the Union’s Dairy Policy Committee met with representatives from Dairy UK Northern Ireland to discuss the current difficulties being experienced in the world dairy market.
UFU President Ian Marshall said: “Dairy prices have been and are currently experiencing significant downward pressure which has come about by an unprecedented combination of factors in the market. Both the UFU and Dairy UK NI recognise that there is currently an oversupply situation despite the continued underlying demand. This has been further compounded by the Russian Import Ban which has been in place since the beginning of August. We are however, encouraged by the quick and continued targeted action taken by the European Commission, particularly for the Baltic States who have been most affected, with the introduction of a Private Storage Aid Scheme for butter, skimmed milk powder and cheese. However, given the lead in time at an EU level there is a need to start exploring the potential introduction of other market measures such as intervention and export refunds now in case they are needed should the market situation deteriorate further.
Ian concluded: “It remains unclear how the market conditions will develop but it is important that the EU Commission closely monitor the situation and that prompt action is taken if necessary.”