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2009/2663(RSP) Resolution on the crisis in the dairy farming sector

Progress: Procedure completed

Legal Basis:
RoP 136-p5

Events

2009/09/17
   EP - Motion for a resolution
Documents
B7-0047/2009
2009/09/17
   EP - Motion for a resolution
Documents
B7-0051/2009
2009/09/17
   EP - Motion for a resolution
Documents
B7-0053/2009
2009/09/17
   EP - Motion for a resolution
Documents
B7-0054/2009
2009/09/17
   EP - Motion for a resolution
Documents
B7-0056/2009
2009/09/17
   Joint motion for resolution
Documents
RC-B7-0047/2009
2009/09/17
   EP - Results of vote in Parliament
Documents
Results of vote in Parliament
2009/09/17
   EP - Debate in Parliament
Details

O-0085/2009

Documents
Debate in Parliament
2009/09/17
   EP - Decision by Parliament
Details

Following the debate which took place during the sitting on the same date, the European Parliament adopted by 462 votes to 78 with 40 abstentions a resolution on the crisis in the dairy farming sector.

The resolution had been tabled by the ECR, EFD, EPP, S-D and ALDE groups.

It considers that, given the continuing critical situation on the dairy market, both far-reaching and short-term measures are necessary, and points out that the measures taken by the Commission to date are not sufficient to solve the crisis in the sector . Members note that there has been a dramatic deterioration in the situation on the dairy market in the last 12 months, with milk prices falling below EUR 0.21 per litre, despite intervention and export subsidies, and many farmers are now selling dairy products below production costs, with the viability of many EU dairy farmers now seriously at risk. They regret that the Commission failed to predict the severity of the current crisis and did not propose adequate measures sooner, and reaffirm their commitment to the creation of an EU Dairy Fund of EUR 600 million to aid producer organisations and cooperatives and to support farm investment .

Parliament calls on the Commission to do the following:

establish, as a matter of urgency, which measures could bring about market stabilisation, and to undertake an in-depth evaluation with stakeholders and Member States on the future of the milk sector with a view to analysing the possibility of reinforcing management mechanisms that avoid price volatility; present a detailed analysis concerning all the factors that impact on the price obtained by dairy producers, including the quota increase; apply the necessary measures to ensure that imported feedstuffs comply with the same standards that dairy farmers have to meet within the EU, in order to prevent imports of such products that do not meet those standards from undermining the EU's efforts to enhance sustainable milk production; propose measures to help producers increase the added value of their products and to encourage them to produce high-quality milk-based products (such as cheese), especially in those areas where there are few production alternatives; introduce immediate measures to stimulate demand for dairy products, noting the decline in demand for dairy products at precisely the same time as supply has increased owing to third countries such as New Zealand, Australia, Argentina, Brazil and the USA producing greater quantities; encourage contractual relations within the agro-food chain and strengthen producer organisations so as to balance relations between the various parties involved in the sector and forestall market risks, as a complement to the other regulatory instruments which the sector requires; examine the possibilities for an early retirement scheme for dairy producers, for example by setting up a quota buy-back scheme, similar to the grubbing-up scheme in the wine CMO; increase the maximum amount of de minimis State aid payments to all productive agricultural sectors from EUR 7 500 to EUR 15 000, by way of exception to the set national limit for State aid; extend private storage to cheese products and set adequate levels of support in order for that measure to be effective, as well as for an increase in the number of third countries – such as the USA – to which EU cheese products may be exported with export refunds; allow agriculture export credit insurance, as is the practice in the USA; improve price transparency within the food supply chain, as consumer prices in many Member States remain conspicuously high despite dramatically decreased producer prices; present its communication on food prices in Europe without delay, recalling that Parliament has, for a long time, been asking the Commission to investigate potential abuses of market power in the food supply chain, especially in the dairy sector, and that such an investigation is long overdue. Members note that over the period May 2006 to May 2009 prices paid by consumers for milk and cheese increased by more than 14 %, while prices received by producers in some Member States have decreased by 40 % over 12 months; implement an EU-wide code of conduct governing relations between retailers and producers; vigorously oppose initiatives by certain Member States to renationalise the Common Agricultural Policy.

Lastly, Members insist that the Commission report regularly to Parliament over the coming months on the situation on the dairy markets.

Documents
T7-0020/2009
2009/09/17
   EP - End of procedure in Parliament
2009/09/14
   EP - Oral question/interpellation by Parliament
Documents
B7-0208/2009
2009/09/10
   all - Additional information
Details

COM(2009)0385

SEC(2009)1050

2009/09/07
   CSL - Debate in Council
Details

The Council took note of the Commission communication on the dairy market situation in 2009 ( COM(2009)0385 ) and held an exchange of views on the matter in the context of a Presidency questionnaire.

Most delegations welcomed the in-depth analysis carried out by the Commission and the market measures undertaken since the beginning of the crisis, but had divergent views on which additional measures would be best suited to solve the current difficulties. However, the outcome of the health check was not called into question.

Several delegations indicated that the measures listed in the communication were insufficient to solve the crisis. Comments were made inter alia regarding quota management on an individual producer level, the proposed temporary state aids and the use of Article 68 of Regulation (EC) No 73/2009.

The Council instructed the Special Committee on Agriculture to further examine the issue with a view to a new discussion at Council in October 2009. The Commission representative ruled out those suggestions which she estimated could contradict the “Health Check” commitments, such as the increasing of intervention prices or the freezing of dairy quotas, requested by some Member States. However, she declared that she was ready to look closely at another set of suggestions addressing labelling, quality, or promotion issues.

The communication is a response to the June European Council's request for an in-depth market analysis and possible options for stabilising the dairy market while respecting the outcome of the Health Check results.

Documents
2959
2009/09/07
   CSL - Council Meeting
2009/07/22
   EC - For information
Documents
COM(2009)0385
EUR-Lex
2009/07/22
   EC - For information
Documents
SEC(2009)1050
EUR-Lex

Documents

Activities

History

(these mark the time of scraping, not the official date of the change)

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type
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url: https://www.europarl.europa.eu/doceo/document/TA-7-2009-0020_EN.html title: T7-0020/2009
summary
events/4
date
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type
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body
EP
docs
url: http://www.europarl.europa.eu/doceo/document/TA-7-2009-0020_EN.html title: T7-0020/2009
summary
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Rules of Procedure EP 136-p5
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activities
  • body: CSL meeting_id: 2959 docs: url: http://register.consilium.europa.eu/content/out?lang=EN&typ=SET&i=SMPL&ROWSPP=25&RESULTSET=1&NRROWS=500&DOC_LANCD=EN&ORDERBY=DOC_DATE+DESC&CONTENTS=2959*&MEET_DATE=07/09/2009 type: Debate in Council title: 2959 council: Agriculture and Fisheries date: 2009-09-07T00:00:00 type: Council Meeting
  • date: 2009-09-10T00:00:00 body: all type: Additional information
  • date: 2009-09-17T00:00:00 docs: url: http://www.europarl.europa.eu/oeil/popups/sda.do?id=17443&l=en type: Results of vote in Parliament title: Results of vote in Parliament url: http://www.europarl.europa.eu/sides/getDoc.do?secondRef=TOC&language=EN&reference=20090917&type=CRE type: Debate in Parliament title: Debate in Parliament url: http://www.europarl.europa.eu/sides/getDoc.do?type=TA&language=EN&reference=P7-TA-2009-20 type: Decision by Parliament, 1st reading/single reading title: T7-0020/2009 body: EP type: Results of vote in Parliament
committees
    council
    • body: CSL type: Council Meeting council: Agriculture and Fisheries meeting_id: 2959 url: http://register.consilium.europa.eu/content/out?lang=EN&typ=SET&i=SMPL&ROWSPP=25&RESULTSET=1&NRROWS=500&DOC_LANCD=EN&ORDERBY=DOC_DATE+DESC&CONTENTS=2959*&MEET_DATE=07/09/2009 date: 2009-09-07T00:00:00
    docs
    • date: 2009-07-22T00:00:00 docs: url: http://www.europarl.europa.eu/RegData/docs_autres_institutions/commission_europeenne/com/2009/0385/COM_COM(2009)0385_EN.pdf title: COM(2009)0385 url: https://eur-lex.europa.eu/smartapi/cgi/sga_doc?smartapi!celexplus!prod!DocNumber&lg=EN&type_doc=COMfinal&an_doc=2009&nu_doc=385 title: EUR-Lex type: For information body: EC
    • date: 2009-07-22T00:00:00 docs: url: http://www.europarl.europa.eu/RegData/docs_autres_institutions/commission_europeenne/sec/2009/1050/COM_SEC(2009)1050_EN.pdf title: SEC(2009)1050 url: https://eur-lex.europa.eu/smartapi/cgi/sga_doc?smartapi!celexplus!prod!DocNumber&lg=EN&type_doc=SECfinal&an_doc=2009&nu_doc=1050 title: EUR-Lex type: For information body: EC
    • date: 2009-09-14T00:00:00 docs: url: http://www.europarl.europa.eu/sides/getDoc.do?type=MOTION&reference=B7-2009-208&language=EN title: B7-0208/2009 type: Oral question/interpellation by Parliament body: EP
    • date: 2009-09-17T00:00:00 docs: url: http://www.europarl.europa.eu/sides/getDoc.do?type=MOTION&reference=B7-2009-47&language=EN title: B7-0047/2009 type: Motion for a resolution body: EP
    • date: 2009-09-17T00:00:00 docs: url: http://www.europarl.europa.eu/sides/getDoc.do?type=MOTION&reference=B7-2009-51&language=EN title: B7-0051/2009 type: Motion for a resolution body: EP
    • date: 2009-09-17T00:00:00 docs: url: http://www.europarl.europa.eu/sides/getDoc.do?type=MOTION&reference=B7-2009-53&language=EN title: B7-0053/2009 type: Motion for a resolution body: EP
    • date: 2009-09-17T00:00:00 docs: url: http://www.europarl.europa.eu/sides/getDoc.do?type=MOTION&reference=B7-2009-54&language=EN title: B7-0054/2009 type: Motion for a resolution body: EP
    • date: 2009-09-17T00:00:00 docs: url: http://www.europarl.europa.eu/sides/getDoc.do?type=MOTION&reference=B7-2009-56&language=EN title: B7-0056/2009 type: Motion for a resolution body: EP
    • date: 2009-09-17T00:00:00 docs: url: http://www.europarl.europa.eu/sides/getDoc.do?type=MOTION&reference=P7-RC-2009-47&language=EN title: RC-B7-0047/2009 type: Joint motion for resolution
    events
    • date: 2009-09-07T00:00:00 type: Debate in Council body: CSL docs: url: http://register.consilium.europa.eu/content/out?lang=EN&typ=SET&i=SMPL&ROWSPP=25&RESULTSET=1&NRROWS=500&DOC_LANCD=EN&ORDERBY=DOC_DATE+DESC&CONTENTS=2959*&MEET_DATE=07/09/2009 title: 2959 summary: The Council took note of the Commission communication on the dairy market situation in 2009 ( COM(2009)0385 ) and held an exchange of views on the matter in the context of a Presidency questionnaire. Most delegations welcomed the in-depth analysis carried out by the Commission and the market measures undertaken since the beginning of the crisis, but had divergent views on which additional measures would be best suited to solve the current difficulties. However, the outcome of the health check was not called into question. Several delegations indicated that the measures listed in the communication were insufficient to solve the crisis. Comments were made inter alia regarding quota management on an individual producer level, the proposed temporary state aids and the use of Article 68 of Regulation (EC) No 73/2009. The Council instructed the Special Committee on Agriculture to further examine the issue with a view to a new discussion at Council in October 2009. The Commission representative ruled out those suggestions which she estimated could contradict the “Health Check” commitments, such as the increasing of intervention prices or the freezing of dairy quotas, requested by some Member States. However, she declared that she was ready to look closely at another set of suggestions addressing labelling, quality, or promotion issues. The communication is a response to the June European Council's request for an in-depth market analysis and possible options for stabilising the dairy market while respecting the outcome of the Health Check results.
    • date: 2009-09-10T00:00:00 type: Additional information body: all summary: COM(2009)0385 SEC(2009)1050
    • date: 2009-09-17T00:00:00 type: Results of vote in Parliament body: EP docs: url: https://oeil.secure.europarl.europa.eu/oeil/popups/sda.do?id=17443&l=en title: Results of vote in Parliament
    • date: 2009-09-17T00:00:00 type: Debate in Parliament body: EP docs: url: http://www.europarl.europa.eu/sides/getDoc.do?secondRef=TOC&language=EN&reference=20090917&type=CRE title: Debate in Parliament summary: O-0085/2009
    • date: 2009-09-17T00:00:00 type: Decision by Parliament, 1st reading/single reading body: EP docs: url: http://www.europarl.europa.eu/sides/getDoc.do?type=TA&language=EN&reference=P7-TA-2009-20 title: T7-0020/2009 summary: Following the debate which took place during the sitting on the same date, the European Parliament adopted by 462 votes to 78 with 40 abstentions a resolution on the crisis in the dairy farming sector. The resolution had been tabled by the ECR, EFD, EPP, S-D and ALDE groups. It considers that, given the continuing critical situation on the dairy market, both far-reaching and short-term measures are necessary, and points out that the measures taken by the Commission to date are not sufficient to solve the crisis in the sector . Members note that there has been a dramatic deterioration in the situation on the dairy market in the last 12 months, with milk prices falling below EUR 0.21 per litre, despite intervention and export subsidies, and many farmers are now selling dairy products below production costs, with the viability of many EU dairy farmers now seriously at risk. They regret that the Commission failed to predict the severity of the current crisis and did not propose adequate measures sooner, and reaffirm their commitment to the creation of an EU Dairy Fund of EUR 600 million to aid producer organisations and cooperatives and to support farm investment . Parliament calls on the Commission to do the following: establish, as a matter of urgency, which measures could bring about market stabilisation, and to undertake an in-depth evaluation with stakeholders and Member States on the future of the milk sector with a view to analysing the possibility of reinforcing management mechanisms that avoid price volatility; present a detailed analysis concerning all the factors that impact on the price obtained by dairy producers, including the quota increase; apply the necessary measures to ensure that imported feedstuffs comply with the same standards that dairy farmers have to meet within the EU, in order to prevent imports of such products that do not meet those standards from undermining the EU's efforts to enhance sustainable milk production; propose measures to help producers increase the added value of their products and to encourage them to produce high-quality milk-based products (such as cheese), especially in those areas where there are few production alternatives; introduce immediate measures to stimulate demand for dairy products, noting the decline in demand for dairy products at precisely the same time as supply has increased owing to third countries such as New Zealand, Australia, Argentina, Brazil and the USA producing greater quantities; encourage contractual relations within the agro-food chain and strengthen producer organisations so as to balance relations between the various parties involved in the sector and forestall market risks, as a complement to the other regulatory instruments which the sector requires; examine the possibilities for an early retirement scheme for dairy producers, for example by setting up a quota buy-back scheme, similar to the grubbing-up scheme in the wine CMO; increase the maximum amount of de minimis State aid payments to all productive agricultural sectors from EUR 7 500 to EUR 15 000, by way of exception to the set national limit for State aid; extend private storage to cheese products and set adequate levels of support in order for that measure to be effective, as well as for an increase in the number of third countries – such as the USA – to which EU cheese products may be exported with export refunds; allow agriculture export credit insurance, as is the practice in the USA; improve price transparency within the food supply chain, as consumer prices in many Member States remain conspicuously high despite dramatically decreased producer prices; present its communication on food prices in Europe without delay, recalling that Parliament has, for a long time, been asking the Commission to investigate potential abuses of market power in the food supply chain, especially in the dairy sector, and that such an investigation is long overdue. Members note that over the period May 2006 to May 2009 prices paid by consumers for milk and cheese increased by more than 14 %, while prices received by producers in some Member States have decreased by 40 % over 12 months; implement an EU-wide code of conduct governing relations between retailers and producers; vigorously oppose initiatives by certain Member States to renationalise the Common Agricultural Policy. Lastly, Members insist that the Commission report regularly to Parliament over the coming months on the situation on the dairy markets.
    • date: 2009-09-17T00:00:00 type: End of procedure in Parliament body: EP
    links
    other
      procedure/legal_basis/0
      Rules of Procedure EP 128-p5
      procedure/legal_basis/0
      Rules of Procedure of the European Parliament EP 128-p5
      procedure/subject
      Old
      • 3.10.05.02 Milk and dairy products
      • 3.10.12 Agrimonetary policy, compensatory amounts
      New
      3.10.05.02
      Milk and dairy products
      3.10.12
      Agrimonetary policy, compensatory amounts
      procedure/subtype
      Old
      Debate or resolution on oral questions
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      2014-11-10Show (5) Changes
      activities
      • body: CSL meeting_id: 2959 docs: url: http://register.consilium.europa.eu/content/out?lang=EN&typ=SET&i=SMPL&ROWSPP=25&RESULTSET=1&NRROWS=500&DOC_LANCD=EN&ORDERBY=DOC_DATE+DESC&CONTENTS=2959*&MEET_DATE=07/09/2009 type: Debate in Council title: 2959 council: Agriculture and Fisheries date: 2009-09-07T00:00:00 type: Council Meeting
      • date: 2009-09-10T00:00:00 body: all type: Additional information
      • date: 2009-09-17T00:00:00 docs: url: http://www.europarl.europa.eu/oeil/popups/sda.do?id=17443&l=en type: Results of vote in Parliament title: Results of vote in Parliament url: http://www.europarl.europa.eu/sides/getDoc.do?secondRef=TOC&language=EN&reference=20090917&type=CRE type: Debate in Parliament title: Debate in Parliament url: http://www.europarl.europa.eu/sides/getDoc.do?type=TA&language=EN&reference=P7-TA-2009-20 type: Decision by Parliament, 1st reading/single reading title: T7-0020/2009 body: EP type: Results of vote in Parliament
      committees
        links
        other
          procedure
          reference
          2009/2663(RSP)
          title
          Resolution on the crisis in the dairy farming sector
          legal_basis
          Rules of Procedure of the European Parliament EP 128-p5
          stage_reached
          Procedure completed
          subtype
          Debate or resolution on oral questions
          type
          RSP - Resolutions on topical subjects
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