Jackie Cahill (Tipperary, Fianna Fail) | Oireachtas source

The Minister talks about what the position would be if I had gotten my way. The floor price of skimmed milk powder was agreed to to protect dairy farmers' incomes. If I had my way, the floor price would be kept in place and I make no apology for saying this. It was agreed in the last round of CAP proposals that there would be a floor price in the purchase of 109,000 tonnes of skimmed milk powder in each calendar year. The Minister gave us a commitment that it was being taken away for one year only. As he said, stocks have reduced greatly, but he has now given another commitment for 2019. How can farmers have any faith that what was agreed to will be kept in place? The taking away of the floor price of skimmed milk powder in 2018 had a dampening effect on skimmed milk powder prices. That is fact. The intervention product was sold significantly below the fixed price and the price processors received for skimmed milk powder all through 2018 was below the floor price. That was the direct result of the European Commission taking away the floor price. As the Minister admitted, we are facing into what will be a more difficult marketing year in 2019 and the Commission has already taken away one of the prime supports farmers need to stabilise markets. I am extremely disappointed that he has allowed this to happen for a second year. As he said, stocks have been greatly reduced. Whatever justification there was for doing it in 2018, it is not there for 2019.

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