Austin Deasy
Question:46 Mr. Deasy asked the Minister for Agriculture, Food and Forestry if he will give details of the December 1986 EC agreement on the reduction of milk quotas and the compensation to be paid to farmers in Ireland.
Written Answers. - Milk Quotas.
Following a review of the operation of the milk quota system in 1986 the Council of Ministers agreed in December of that year on a quota reduction by way of the temporary suspension of quota. In 1987/88, 4 per cent of the national quota was suspended and in 1988/89 a further 1.5 per cent was suspended. In 1989/90, I per cent of the quota which had been temporarily suspended was reallocated to producers by way of a special reserve. The temporary suspension of 4.5 per cent of quota remained in place, with compensation being paid annually up to and including 1991/92. In total, the compensation over these five years from 1987/88 amounted to £1.78 per gallon. While the 4.5 per cent suspension remained in place from 1 April 1992, no specific provision was made for any further compensatory payments. I have, however, been pressing at the Council to have the position regularised.