Wednesday, October 07, 2009

Dairy Sector To Benefit From High Level Consultative Group

Junior Agriculture Minister and Fianna Fail T.D. for Clare, Mr. Tony Killeen has welcomed the announcement by his colleague and Minister for Agriculture Brendan Smith regarding the establishment of a consultative group to advise on medium and long term measures for the dairy sector.

The new group is being established following this week’s special meeting of EU Agriculture Ministers in Brussels where there was a full discussion on the need for measures to manage the dairy market in the period up to quota abolition and beyond. According to Minister of State Killeen: “By availing of the broadest possible range of views, the Department of Agriculture and the country will be better prepared to develop a long term strategy for ensuring the viability of the Irish dairy sector.”

The consultative group will be representative of all stakeholders including the IFA, ICMSA, ICSA, Macra na Feirme, ICOS, IDIA and IDB, who will be asked to nominate representatives. In addition, Teagasc and academic interest will be invited to participate.

Minister of State Killeen said that the high level group would examine medium term and long term ways of stabilising dairy farmers’ incomes and improving market transparency.

“In its work towards delivering a comprehensive report by June 2010, the group will examine means through which contractual arrangements in the supply chain can contribute to the highest possible returns for producers, giving them more bargaining power in the process and providing a buffer against extremes of market volatility such as those that are being experienced at present. It will also examine existing market instruments and consider what other means, including a dairy futures market, could contribute to the objective of price stability in the longer term”, he added.

The Department of Agriculture is expected to shortly convene the first meeting of the consultative group.