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Nicholson Cautiously Welcomes EU Commission Remarks on NI Milk Prices

Conservative and Unionist MEP Jim Nicholson has cautiously welcomed the European Commission's remarks on the dairy sector in Northern Ireland after representatives from the European Commission cited Northern Ireland as a region where the dairy industry was showing signs of recovery after the price of milk at the Northern Ireland Auction rose by almost 2.5 pence last week.

Speaking during the meeting Mr Nicholson said,

"While a rise in the price of milk is of course welcome, we must remember that the current market price still falls short of production costs. Moreover, while we realise that intervention is absolutely necessary at the moment, it is certainly not a long term solution.

"The truth is, at EU level, we are not in total control of factors which affect the dairy industry. Events on a global scale have a huge impact, such as consumer trends in China and what is happening in New Zealand. It is for this reason the export refunds should be maintained.

"It is imperative that an investigation into profit making along the supply chain is carried out. Despite the fact that the farm gate price has dropped by almost 40%, the price paid by consumers has remained the same. There are here discrepancies here that need to be urgently addressed.

"I wish to see concrete proposals emerge when EU agriculture ministers meet next week. However, the solution in one member state may not be the same as in another so we must be flexible."

Earlier in the day, Mr Nicholson met with the French minister for Agriculture, Mr Bruno Lemaire, along with other senior members of the Parliament's Agriculture committee. The group discussed the future of agriculture in the context of CAP reform and debated what could be done to support the flailing diary industry.