A new vision for agriculture
momagri, movement for a world agricultural organization, is a think tank chaired by Christian Pèes.
It brings together, managers from the agricultural world and important people from external perspectives,
such as health, development, strategy and defense. Its objective is to promote regulation
of agricultural markets by creating new evaluation tools, such as economic models and indicators,
and by drawing up proposals for an agricultural and international food policy.
A look at the news

The dairy crisis and the elimination of quotas: time to react

January 12, 2015

Simon Coveney, Ireland's Minister for Agriculture, recently urged the European Union to develop tools for the EU dairy industry, to cope with the industry’s inherent instability and eventually survive the elimination of quotas. Among the tools put forward by the Minister is support for private stocks or the introduction of export refunds.

According to Covney, 2015 promises to be complicated for EU dairy markets, constrained by a geopolitical context and a market environment that is difficult to control. Producer prices are expected to fall this year as “today there are 6 billion litres of milk too many on the world market. The European Union has largely contributed to this surplus”, says the Dairy Processors Association (DPA). In France, experts predict price drops between 10 and 20% depending on the region. Per 1,000 litres of milk, farmers’ incomes could soon go from about 360 euros to less than 300 euros.

Simon Coveney is not the only one in Europe to worry about the situation, as some suggest an impending dairy crisis. For Stéphane le Foll, the end of milk quotas in Europe, “must be better prepared” and production “better regulated” and “mechanisms must be sought to avoid sudden price falls”.

The Irish Minister for Agriculture’s reaction is not only more generally symptomatic of a malaise in the dairy sector but of a growing disconnect between Brussels’ perception of this sector and the reality on the ground. And the European Agricultural Council refuses, for now, to speak of a crisis as the consensus struggles to find the right response to the elimination of quotas scheduled for April. An opinion that joins the view of the new European Commissioner for Agriculture Phil Hogan, for whom the crisis can be avoided.

For a little over a year, we have been trying to shed light on the new reality of the European agricultural sector, and the dairy sector by the same occasion, particularly in the context of the new CAP reform. And it has to be said that officials in Brussels often still use avoidance strategies, while today more than ever, it is imperative to give European agriculture a geostrategic role.

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Paris, 17 June 2019