A new vision for agriculture
momagri, movement for a world agricultural organization, is a think tank chaired by Christian Pèes.
It brings together, managers from the agricultural world and important people from external perspectives,
such as health, development, strategy and defense. Its objective is to promote regulation
of agricultural markets by creating new evaluation tools, such as economic models and indicators,
and by drawing up proposals for an agricultural and international food policy.
Focus on issues

The Rapporteur of the Committee Regions thinks the EC’s proposals
will not resolve the milk crisis



European Commission’s Committee of Regions (CoR)



Further clarifications on the aid package to safeguard the European livestock farming were expected during the Council of European Agriculture Ministers held in Luxembourg on September 15. Yet once again, the measures considered are a disappointment. Christian Pèes, President of the Cogeca, deplores that the package includes “very few measures to improve market operations and confront the growing volatility and the short term problems.” In fact, €420 million have been approved by Brussels towards direct subsidies to farmers, and €80 million to support markets.

As with the proposals put forward by the European Commission on September 7, the measures will not safeguard and stabilize farmers’ incomes. Once more, the European Commission reacted too late and too little, given the serverity of the crisis that is gaining a foothold in Europe. In a recent press release from the European Union’s Committee of Regions that we are publishing below
1, René Souchon regrets the wait-and-see position and self-delusion of the Commission, which has not come up with solutions “to the structural problems of the deregulated dairy sector.”

The think tank momagri agrees with this statement. Subsequent to the Commission’s useless actions, it is now more than ever urgent to initiate a new strategic course, if we do not want to see the CAP failing and collapsing because of a crisis that is difficult to control and lacks suitable measures.


momagri Editorial Board



The European Committee of the Regions (CoR) has claimed that the European Commission has waited for the milk situation to become untenable for producers before announcing emergency measures. The new package, it argues, will still not tackle structural problems in the EU's deregulated dairy sector.

In April 2015 the CoR – the EU's assembly of local and regional authorities - had adopted its position on the future of the dairy sector warning the European authorities that the market was deteriorating. The Commission, however, continued to insist the market would remain favourable in the short to medium term and that the abolition of quotas would not be problematic. The CoR President – Markku Markkula – said, "The Commission must introduce measures to safeguard producers' incomes and examine the Market Responsibility Programme put forward by the European Milk Board which should be applied when the milk market is threatened by imbalance".

René Souchon , President of the Auvergne Region in France who led the CoRs' opinion, believes the Commission has failed to grasp the full extent of the problem since it offers only a one-off aid measure which will not deliver a medium or long term solution. The CoR is therefore asking the EU's agriculture ministers to place pressure on the Commission during the Agriculture Council meeting on 15 September to complement the emergency measures with a series of measures of a more structural nature.

The CoR, for its part, had made the following recommendations:
  • raising the level of the safety net for a limited period in order to cope with the looming crisis, pending the implementation of another mechanism;
  • strengthening the role of producers' organisations so that they play a clear economic role in managing prices and supply and improving the effectiveness of the contract system by making it available to the whole sector and including large-scale retailers in particular;
  • improving the operation of the European Milk Market Observatory and providing the necessary resources for this observatory to become a genuine steering mechanism, and not just a tool for post hoc observation. To this end, it is vital for the observatory to produce real-time data on a sub-Member-State scale, to take account of the diversity in circumstances between the European regions;
  • taking urgent measures to safeguard the income of all dairy producers, along the lines of the proposals of the European Milk Board.

1 The entire press release is available from the CoR website:
http://cor.europa.eu/en/news/Pages/cor-ec-emergency-package-wont-resolve-milk-crisis.aspx



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Paris, 19 December 2018