Pat Breen (Clare, Fine Gael)
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Question 157: To ask the Minister for Agriculture and Food if her attention has been drawn to the practice operated by a company (details supplied) in selectively accepting milk suppliers whose main supply goes elsewhere; if she is satisfied that the offer to lease or purchase quota to these selected suppliers is not in breach of any Irish or EU quota regulations; and if she will make a statement on the matter. [31373/06]

Mary Coughlan (Donegal South West, Fianna Fail)
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Regulation 38 of the European Communities (Milk Quota) Regulations, 2000, as amended, provides that milk producers may transfer quota from their existing milk purchaser to a new milk purchaser in any quarter beginning 1st January, 1st April, 1st July or 1st October, provided a set notification procedure is followed.

A producer may, in certain circumstances, apply in writing to my Department to transfer all or part of his or her quota to another purchaser with effect from a date specified in the application and stating a reason for such an application. The relevant milk purchasers are given an opportunity to state their views prior to such a transfer being effected.

In the case of recent quota transfers to the company referred to, I am satisfied that the appropriate procedures were followed. Producers may apply to purchase quota from a scheme operated by a milk purchaser in which they hold permanent quota, and to which they have made deliveries in the current year. However, producers who hold quota in more than one co-op may purchase quota from one co-op only. Under the annual Temporary Leasing Scheme, a producer may apply for a temporary allocation of quota provided he or she is a supplier to the co-op in question.

These schemes and the quota transfer procedures are operated in accordance with the provisions of the relevant Council and Commission Regulations.