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Milk Quota

Dáil Éireann Debate, Tuesday - 25 October 2011

Tuesday, 25 October 2011

Questions (474)

Michael Creed

Question:

495 Deputy Michael Creed asked the Minister for Agriculture, Food and the Marine the way under the milk quota trading scheme, quota is distributed to the four priority categories; the number of applications from these four priority categories received under the recent trading scheme; and if he will make a statement on the matter. [31408/11]

View answer

Written answers

Milk quota allocations from the priority pool to the priority categories are effected in the following order of preference:

1. Successors

2. Producers with "Lost Lease" Entitlements.

3. New and Recent Entrants to Dairying Under 35 Years.

4. Category 1 Producers/New and Recent Entrants to Dairying over 35 Years.

The following extracts from the detailed rules of the Milk Quota Trading Scheme explain the process of quota allocation through the priority categories:

1. Successors

First priority for the allocation of surrendered quota is granted to a son, daughter, nephew or niece of

(i) a person who was no longer entitled to temporary lease his/her quota in accordance with Regulation 27 of S.I. No. 94 of 2000, as amended, and who sold his/her quota under the 2000, 2001 or the 2002 Milk Quota Restructuring Scheme,

OR

(ii) a person who sold his/her quota under the 2003-2006 Milk Quota Restructuring Schemes, or the 2007/2008, 2008/2009 or 2009/2010 Trading Scheme.

2. Producers With "Lost Lease" Entitlements

The remaining quota after allocation in accordance with 1 above is available for allocation to producers who had taken out a land and quota lease before 1 April 2000, which has expired. The net entitlement to quota is based on the following criteria:

Producers whose land and quota leases expired on 31 March 2011 and/or expired on 31 March 2010, or earlier, on the following basis:

(a) 2/3 of milk quota leased with land where the lease expired on 31 March, 2011 and which has not been or will not be renewed,

and/or

(b) 1/3 of milk quota leased with land where the lease expired on 31 March 2010 and where permanent allocations from previous Restructuring or Trading Schemes have not satisfied the full entitlement arising from the lease,

and/or

(c) any previous entitlements arising from land and quota leases that expired on 31 March 2009, or earlier and which have not already been satisfied by permanent allocations under previous Restructuring or Trading Schemes.

The quota remaining in the Priority Pool after the allocation of quota in accordance with 1 and 2 above is allocated on a distribution ratio of 3:2 between:

3. New And Recent Entrants To Dairying Under 35 Years Of Age on 31st March 2012 (including those who have obtained quota from the Scheme for New Entrants to Dairying but who have not yet commenced production).

4. Category 1 Producers/New And Recent Entrants To Dairying Over 35 Years of age on 31st March 2012 (including those who have obtained quota from the Scheme for New Entrants to Dairying but who have not yet commenced production).

Category 1 Producers are defined as existing producers whose total permanent quota does not exceed 350,000 litres.

Access to quota from the priority pool for categories 3 and 4 expires when the applicant's total permanent quota reaches 350,000 litres.

The processing of applications is on-going; therefore I am not yet in a position to comment on the numbers of applications received in the four priority categories for this stage of the Trading Scheme. I intend to announce the results of the scheme in early December and the figures will be available at that time.

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