EU Intervention Stocks

Published 17 December 14

The European Commission re-opened Private Storage Aid (PSA) on 5 September 2014 in response to the threat of market disruption due to the loss of the Russian export market.

PSA is a payment made by the European Commission to processors in return for keeping products in storage and off the market for an agreed period of time. The scheme covers butter and SMP and had also been extended to cheese.

Since the scheme started 20,678 tonnes of butter have been offered into the scheme, 841 tonnes from the UK. The majority of offers have come from Ireland and the Netherlands.

A total of 15,100 tonnes of SMP have been offered into PSA since the scheme opened. The majority of these offers have come from Germany.

After low levels of offers throughout November, the amount of SMP offered into storage during the first week in December has increased to 765 tonnes. This is likely to be reflecting the quiet powder markets in the run up to Christmas.

PSA for butter and SMP will now remain open until 28 February 2015.

PSA for cheese was repealed on 23 September due to a disproportionate surge in offers from cheese producing countries not traditionally exporting significant quantities of cheese to Russia. In the 18 days that the scheme was open 100,803 tonnes of cheese were offered. The majority of the offers came from Italy.

 

tonnes

   

 

Butter

SMP

week commencing

UK

EU

UK

EU

13/10/2014

106

1,211

4

491

20/10/2014

0

754

76

1,709

27/10/2014

0

1,079

0

1,183

03/11/2014

0

422

0

292

10/11/2014

0

280

0

168

17/11/2014

0

359

0

471

24/11/2014

0

203

0

137

01/12/2014

0

158

0

765

Cumulative Total

841

20,678

80

15,100

Source: MMO

Figures reflect quantities offered to PSA.

 PSA stocks