Acceleration of dairy sector reform proposed
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CTA. 2003. Acceleration of dairy sector reform proposed. Agritrade, April 2003. CTA, Wageningen, The Netherlands.
Permanent link to this item: http://hdl.handle.net/10568/52414
Commissioner Fischler advanced the case for accelerating dairy-sector reform by...
Commissioner Fischler advanced the case for accelerating dairy-sector reform by going beyond the price reductions agreed under Agenda 2000, at the March 19th EU Agricultural Council meeting. This would involve introducing two additional steps of price reductions and advancing implementation by one year. This would serve to close the gap between EU and world market prices (on average EU prices are 30% higher than an equivalent world market price), a gap which is currently undermining EU export competitiveness and reducing the EU's world market share. However, even under reform, the EU diary sector would continue to be highly regulated with the quota regime being extended until 2015. Comment: Even with EU prices 30% above world market prices the EU still accounts for 70% of Africa's dairy imports, with EU dairy export surges periodically undermining dairy markets in various regions of the ACP. From an ACP perspective any accelerated process of reform should incorporate measures which reduce the adverse effects on ACP dairy sectors.