Impact of COVID-19 on the EU dairy market
7.4.2020
Question for written answer E-002135/2020
to the Commission
Rule 138
Krzysztof Jurgiel
The COVID-19 pandemic has caused a significant reduction in demand for dairy products from the EU and non-EU countries. This represents a serious threat to the EU dairy sector. The situation on this market, which remained stable over the last year, has shifted: a drastic fall in prices, difficulties in exporting products, a steep increase in packaging prices, and an increase in freight prices make exports to third countries uneconomic The reduction in consumption caused, among other things, by the total loss of the HoReCa market, is posing a real threat to farmers and processors. It is estimated that the European dairy sector is currently losing EUR 120 million. In the light of the foregoing:
- 1.How does the Commission plan to further ensure the smooth functioning of the Single Market, given the restrictions imposed by some countries linked to border closures and the obligation for workers moving between Member States to remain in quarantine, and to ensure that this market is not subject in situations of force majeure to unnecessary restrictions under competition law?
- 2.Will private storage of all dairy products (SMP, butter, all types of cheese, frozen milk or buffalo curd) be activated in order to complement public intervention? At what level of losses does the Commission plan to launch SMP intervention purchases?
- 3.Does the Commission plan to allocate additional funds to support measures aimed at addressing the loss of export markets due to COVID-19?