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Dáil Éireann debate -
Wednesday, 7 Jun 2000

Vol. 520 No. 4

Written Answers. - Milk Quota.

John McGuinness

Question:

71 Mr. McGuinness asked the Minister for Agriculture, Food and Rural Development the assistance his Department will give to a person (details supplied) in County Kilkenny who is anxious to increase his milk quota by 10,000 gallons. [15961/00]

Under the new rules on the milk quota regime which I introduced on 1 April this year, the main instrument for the transfer of milk quotas will be a milk quota restructuring scheme operated at milk purchaser level.

This year's milk quota restructuring scheme will cater, as a matter of priority, for those producers who had been dependent on temporary leasing over recent years and for those producers who were unable, for reasons outside their control, to renew existing land leases.

Of the total pool available for sale under the restructuring scheme, 85% will be allocated to producers who were dependent on temporary leasing over the past three years and to producers who were unable, for reasons outside their control, to renew existing land leases. The remaining 15%, plus any quota remaining unallocated after the entitlements of the special priority producers have been satisfied, will be allocated to all producers who applied for quota under the 2000 milk quota restructuring scheme. These allocations will be weighted in favour of producers in the small and medium size categories.

With the aim of making quota available at a reasonable cost, and having taken advice from the milk quota review group, I introduced a maximum price of £0.36 per litre for the purchase of quota from the 2000 restructuring scheme. In addition, the Minister for Finance introduced a favourable tax structure for the purchase of quota from the restructuring scheme.

The Deputy will be aware that the milk quota appeals tribunal is a body established to consider applications for additional quota from producers who have suffered extreme hardship as a result of the introduction of the milk quota system. The tribunal has not as yet commenced examining applications for the 2000-2001 milk quota year.

I have arranged for an application form to be issued to the person named as soon as they become available.

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