UK Milk Production Reduced under EU rules
Background
The production of milk is subsidised by the EU. In the past this led to milk lakes and butter mountains. To stop this, milk quotas were imposed for each country. Recently in the UK even with the subsidies and enlarged quotas, wholesale prices were so low that small producers were going out of business. Some said the milk prices were 30% lower than the cost of production. The EU then decided to abolish milk quotas so that large EU milk producers could export their surplus to emerging markets in India and China. The quotas were abolished on April 1st 2015. If we stay in the EU, the fear is that the rest of our small milk producers will be bankrupted and we, who live in a country well suited to dairying, will be importing milk and milk products from Continental producers.
Georgie’s tale
I don’t drink milk now, but my family does. Will there be enough?
Garfield’s reply
I drink milk all day. If we were free of the EU, milk production subsidies and quotas could be tailored to benefit all our milk producers, ensuring we would be self-sufficient in milk and have enough to increase butter, cheese and yoghurt production for export.