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Dáil Éireann debate -
Thursday, 9 Dec 1999

Vol. 512 No. 5

Written Answers. - Milk Quota.

Johnny Brady

Question:

18 Mr. J. Brady asked the Minister for Agriculture, Food and Rural Development if he will issue a detailed schedule giving the timetable for announcements of changes in the milk quota regime; and if he will make a statement on the matter. [26343/99]

The regulatory framework arising from the Agenda 2000 agreement allows for greater flexibility in the operation of the milk quota regime. I have decided to take the opportunity to make significant changes in the system which operates in Ireland in order to ensure that active, committed producers have greater access to quota over the coming years. It is essential that the new system will bring a greater degree of certainty to these producers so that the dairy industry will be in a position to meet the competitive challenges that lie ahead.

To achieve this I have decided that the transfer of quota based on the rigid link between quota and land will be replaced by a system that allows for the sale of quota in a structured manner and in line with priority categories which will be set. This will be done in a fair and balanced way to encourage the best possible development of the industry while recognising the interests of all the parties involved. I hope that this will facilitate a more orderly arrangement for the distribution of quota.

I recognise that the introduction of changes to the manner in which quotas can be transferred is a complex process and the new legislation will therefore have to address the question of family transfers and other exceptional circumstances as well as seeking to provide adequate protection for all milk producers. It is also intended to include arrangements for dealing with existing and expiring leases.

The new regulation does not come into force until 1 April 2000 and therefore, the changes which I intend to make cannot come into effect until that date. I expect to be in a position to make a further announcement on details of the proposed changes to the milk quota regime in the near future.

I have already announced the eligibility criteria for the allocation of the additional 20.5 million gallons milk quota which becomes available to producers on 1 April 2000.

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