MOTION FOR A RESOLUTION on the crisis in the dairy farming sector
14.9.2009
pursuant to Rule 115(5) of the Rules of Procedure
George Lyon, Britta Reimers, Marit Paulsen on behalf of the ALDE Group
See also joint motion for a resolution RC-B7-0047/2009
B7‑0056/2009
European Parliament resolution on the crisis in the dairy farming sector
The European Parliament,
– having regard to the Communication from the Commission to the Council on the dairy market situation of 22 July 2009 (COM(2009) 385 final),
– having regard to the proposal from the Commission to extend the deadline for EU public intervention in buying butter and skimmed milk powder (C7-0103/2009),
– having regard to the ‘Health Check’ of the Common Agricultural Policy agreed upon on November 2008 by the Council of the European Union,
– having regard to Rules 115(5) and 110(2) of its Rules of Procedure,
A. whereas milk and milk product consumption in the EU has decreased considerably as a result of global factors such as the drop in demand for dairy products in China and south‑east Asia following the recession and increased production by other suppliers (New Zealand, Australia, Argentina, Brazil and the USA),
B. whereas the EU dairy market situation has significantly deteriorated over the past 14 months, and producer milk prices have come down from 30-40 cents per litre to an EU‑27 average of 24 cents per litre or in some cases even less,
C. whereas the crisis is endangering the existence of many dairy farmers in the EU Member States, especially the new Member States,
1. Expresses its concern to dairy farmers all over the EU, recognises the serious situation they face and believes that urgent EU-wide action should be taken;
2. Supports the agricultural policy and the main direction taken by the Commission in implementing the ‘Health check’ of the CAP, and invites the Commission to develop a long-term strategy for agriculture in the EU based on the CAP;
3. Considers that the Member States and the European Union need to recognise the lack of competition throughout the supply chain at the European and Member State level;
4. Calls for greater market transparency of food prices in order to help the markets function more effectively;
5. Calls on the Commission to investigate all aspects of the EU dairy market chain in order to ensure that there is fair and open competition in the market, especially with regard to the price gap between producers and consumers;
6. Supports the Commission’s intention to examine measures, such as favourable loans and mutual guarantee schemes, to help reduce price volatility in agricultural commodity markets;
7. Calls on the Commission to examine ways of strengthening the bargaining power of primary producers in the food chain with a view to ensuring that they secure a fairer share of the retail price;
8. Calls on the Commission to implement an EU-wide code of conduct between retailers and producers;
9. Calls on the Commission to strengthen and develop the role of farmers’ cooperatives by providing assistance to help them become more vertically integrated;
10. Calls on the Commission to introduce further measures to stimulate additional demand for dairy products;
11. Points out that intervention buying is storing up surpluses that will overhang the market in the future and that the Commission must therefore begin planning now for their disposal in a way that does not damage recovery of the EU market in the long term;
12. Invites the Commission to open-mindedly review the use of the current EU market support measures and to look for solutions which would liberate the farmer and enable him or her to act freely in a fair and undistorted market;
13. Instructs its President to forward this resolution to the Council, the Commission, and the governments and parliaments of the Member States.