Press Room

Macra na Feirme national president Colm Markey said he was opposed in principle to a more market driven system for transferring quota. He said it would put a greater burden on progressive farmers who are trying to expand their business by acquiring quota.

Mr Markey said 'the undoubted result of a more market driven system will be an increase in the price of quota. Last year Irish dairy farmers spent over EUR30 million purchasing milk quota from those leaving the industry'.

'A market driven system will drive this figure to an even higher level which is not sustainable,' he said.

The young farmer leader said that young farmers and small to medium sized producers would find it very difficult to compete for quota in an open market situation.

'In a market situation bigger well established producers will have an advantage because of their greater resources,' he said.

Mr. Markey also pointed out that the Minister for Agriculture had effectively scuppered her own milk quota restructuring scheme for 2006 by announcing plans to introduce a more market driven system for quota transfer in 2007.

'It is baffling why the Minister decided to make this announcement only two days after announcing the details of the milk restructuring scheme for 2006. Many farmers will now postpone their decision to exit milk production until next year in anticipation of getting a much higher price for their quota,' he said.

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