Vol. 422 No. 5
26 Mr. Deenihan asked the Minister for Agriculture and Food whether the Government agreed to the increase in the milk quota for Italy, Spain and Portugal; and if the Government sought a pro rata increase for Ireland's milk quota.
There was no agreement on the Italian request for additional quota. The overall agreement on Common Agricultural Policy reform did include a decision in principle to adapt the milk quota levels for Spain and Greece from 1993/94 onwards subject to full and rigid compliance with the quota regime by those member states in the current year. As regards Spain, the decision is expected to reduce national milk production.
27 Mr. Connor asked the Minister for Agriculture and Food if, in view of the predicted numbers of small and medium dairy producers who will cease dairying and opt for suckler herds arising from the new Common Agricultural Policy arrangements, he will outline the way in which this additional quota will be distributed; and if he will consider the reintroduction of a milk restructuring scheme to help distribute the quota to smaller producers who wish to improve the level of their production.
When a milk quota holder ceases milk production, he/she retains the benefit of the milk quota. That producer may however decide to transfer the benefit of the milk quota.
This can be done by means of a permanent sale or transfer by inheritance of the land to which the quota attaches. Leasing of quota land is also an option. In the past, quota holders ceasing production could avail also of cessation or restructuring schemes.
No decision has yet been made on a cessation or restructuring scheme for the current year and indeed none is even possible before the regulations to apply the milk quota arrangements for future years are adopted by the EC Council of Ministers later this year. In the event of a restructuring scheme being put in place, smaller producers, as has been the case up to now, will be given special consideration.
