DairyCo

CAP Health Check

Published 24 June 09

CAP Health Check

In November 2008, the EU Agricultural Council reached agreement on the 'Health Check' proposals. Milk quotas will cease by 2015 and transition arrangements will be put in place to increase quotas by 1% every year between 2009/10 and 2013/14. For Italy, the 5% increase will be introduced in the first year, 2009/10. In 2009/10 and 2010/11, farmers who exceed their milk quotas by more than 6% will have to pay a levy 50% higher than the normal penalty. A further change by the Commission to the co-efficients for producers whose fat content in their milk deliveries is over their reference fat level will have the effect of further increasing quotas. The EU Agricultural Council also agreed that intervention will continue, with unaltered limits of 30,000t for butter and 109,000t for SMP, beyond which intervention will be by tender.