asked the Minister for Agriculture if our present national milk quota system will be affected as a result of the recent EC farm prices agreement; and if he will make a statement on the matter.
Written Answers - Milk Quota System.
79.
The recent agreement provided for the introduction of a milk cessation scheme under which compensation will be paid to producers who undertake to discontinue milk production definitively. The quotas involved will be suppressed. As a result the quotas of all member states will be reduced by 2 per cent from 1 April 1987 and by 1 per cent from 1 April 1988.
Individual farmer's quotas will not, however, be affected unless the quantities bought up under the cessation scheme fall short of the required national reductions.
The agreement also provided for an extension for a further year of the arrangements under which in any member state deliveries above the quota to any co-operative or dairy can be offset by shortfalls in deliveries elsewhere in the same state.