Brendan Smith (Cavan-Monaghan, Fianna Fail)
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218. To ask the Minister for Agriculture, Food and the Marine the amount by which the milk supply was over quota at the end of November 2014; the projected over supply of milk at the end of the quota year; the amount under quota the European Union was as a whole at the end of November 2014; the amount under quota the whole of the EU is projected to be at the end of the quota year; and if he will make a statement on the matter. [49063/14]

Simon Coveney (Cork South Central, Fine Gael)
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The estimated total volume of milk supplies up to the end of November 2014, taking into account the relevant butterfat adjustment, leaves Ireland at 6.5% over quota.  This compares to being 1.4% over quota this time last year, but is down slightly from the 7.2% over quota at end of October. One of the positive factors coming from the November figure is that there is evidence that milk suppliers are taking steps to manage their milk supply in the final months of the quota regime. This is evidenced by the fact that there was a 13% drop in the volume of milk delivered in November 2014 when compared to the same month last year. I am heartened by this development and would encourage milk producers to continue this trend by urging them to use the time period between now and the removal of milk quotas to identify, with their dairy adviser, steps to manage both their milk supply and their dairy herds so that they have an efficient herd as they enter the post quota era.

Working on the basis that farmers have commenced taking steps to adjust supplies up to next April it is difficult to project what the quota position will be at year end. What is certain is that an over quota position of 6.5% will cost Irish farmers in the region of €100m in super levy payments.

At EU level, the end of the 2013/14 milk quota year saw total milk deliveries come in at 4.6% below quota, following being 6% below quota in the 2012/13 quota year. Again, while it is difficult to project what the end of quota year position will be in the EU next April, details taken from the Milk Market Observatory show that deliveries for the whole of the EU up to the end of September 2014 are about 5% above the same period last year. This would suggest that overall deliveries may be nearer to quota than in previous years, but the softening of milk prices may impact on this projection.