Don't milk the milk price broken

Germans argue for a brake on milk production

14 December 2017 - Herma van den Pol

Dairy farmers in the north of Germany are asking for a brake on the milk supply. This is in an attempt to prevent a reduction in the milk price. Recently, processors announced that they would lower the milk price in the near future.

De Workplace Gemeinschaft Bäuerliche Landwirtschaft (Abl), an advocate of agricultural entrepreneurs in Germany, argues for a brake on the milk supply. In concrete terms, they ask the processors to take measures against a sharp increase in milk production. "This is to prevent the announced reduction in the milk price."

8

percent

more milk

More milk than in 2015
In the press release, the organization states that the milk supply has been increasing again since the summer. "In the north of Germany, the fatal record volume of 2015 is even being exceeded. We have to step on the brakes otherwise we will milk the relatively good milk price." In Lower Saxony, the milk supply is 8% higher and in North Rhine-Westphalia it is 7% higher than last year's volume.

In the autumn of 2016, the European Commission intervened by giving money for less milk. In Germany, the Ministry of Agriculture seized the measure to limit milk production at the beginning of 2017. "In the meantime, no good instrument has emerged to intervene."

Call for standstill
Abl wants northern German processors, and especially DMK, to punish the extra liters of milk with a discount. Less milk may be rewarded with a bonus. With this, the union proposes to take over a system that is comparable to the FrieslandCampina standstill. "Our processors need to follow suit."

DMK previously announced that the milk price will drop significantly in the coming year. It also means that dairy farmers who supply DOC Kaas must take into account a reduction in the milk price. “What we need now is a courageous frontrunner among processors,” said Abl.

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Herman van den Pol

Herma van den Pol has been with us since 2011 Boerenbusiness and has developed over the years into a market expert Milk & Feed. In addition, she can be seen weekly in the market flash about the dairy market.

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