Killeen Urges Farmers To Apply For 5th Milk Quota Trading Scheme
Tony Killeen T.D., Minister of State at the Department of Agriculture, Fisheries and Food has urged Clare farmers wishing to participate in the fifth Milk Quota Trading Scheme to submit applications to the Department by 31 October.
[ClickPress, Thu Aug 21 2008] The new Scheme, which was announced this week by the Minister for Agriculture, Fisheries and Food, Brendan Smith TD, will be the first of two Trading Schemes to allocate quota in respect of the 2009/2010 milk quota year.
Minister Killeen confirmed that the new Scheme would be published in the farming press next week and application forms would be available from Co-ops shortly thereafter.
The Clare T.D. and IFA member explained that the new Scheme would remain largely unchanged.
The Scheme will again be run in respect of each Co-op area, and will be comprised of a priority pool and a market exchange. Sellers will continue to contribute 30 per cent of the total quota offered for sale to the priority pool. The individual bid limit for buyers will remain at 80,000 litres, and the method for calculating the market-clearing price, including the 40 per cent price corridor, will remain unchanged.
The 3:2 ratio on the distribution of priority pool quota between young farmers and category 1 producers will be retained, as will the option for sellers in certain Co-op areas to sell at one or two cent per litre less than their original offer price.
‘The main changes arise in the administration of the priority pool’, stated Minister of State Killeen.
He continued, ‘The maximum price at which quota is traded in the priority pool will be reduced to 10 cent per litre, unless the exchange price for that Co-op area drops below 10 cent, in which case the priority pool price will be the same as the exchange price. In addition, participants in Milk Production Partnerships, whether new entrants or long-standing milk producers, will have access to quota in their own right as individuals, whether on the basis that they are under 35 years of age or that their existing quota is less than 350,000 litres. Farm Managers participating in partnerships with established milk producers will have access to quota on the same basis.’
Minister Killeen confirmed that, contrary to previous Schemes, new entrants over 35 and those who previously sold all or part of their quota into a Restructuring or Trading Scheme will be allowed to purchase quota under the 2009/2010 Scheme.
Notes to Editor:
- Tony Killeen T.D., Minister of State at the Department of Agriculture, Fisheries and Food (with special responsibility for Fisheries and Forestry), is available for interview and further comment on 0035387-2525304. Alternatively please contact Mark Dunphy of Dunphy Public Relations on 00353868534900 or firstname.lastname@example.org
High-resolution images of Minister Killeen are available
Dunphy Public Relations