In the dairy sector, the original proposals allowed for compensation for the intervention price reductions at the level which applied in the Agenda 2000 agreement, or 56%. The Minister has achieved compensation of approximately 80% for the additional intervention price reduction of over 4% which is now agreed. The compensation will be paid through a dairy cow premium. In total, losses to the dairy sector from the net effect of the 4% intervention price reduction and the increase in the dairy cow premium will be less than €14 million a year. The Minister was correct to stress that the intervention price reduction will have effect only if product is sold to intervention. While this represents a decrease in intervention, if a farmer is not tied to or dependent on it, there is no reason prices should be reduced by that, or any, amount. If product is sold on the market, as it should be, there may be no loss at all and it is possible, subject to market prices, that there could be substantial gains. The Prospectus study published by the Minister earlier in the year emphasised clearly the need to increase the product range of the Irish dairy industry. Selling to intervention is not a feasible long-term option.