Europe’s politicians have backed plans to improve the bargaining power of dairy farmers in their negotiations over raw milk prices.
MEPs in the European Parliament voted to allow farmers’ organisations to represent farmers in talks without falling foul of competition law. The new regulation, which had already been provisionally agreed with the European Council, was passed in a vote today (15 February).
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“This legislation will strengthen the bargaining power of dairy farmers. Producer organisations should help farmers to organise themselves better and strengthen their position in the supply chain, especially in Member States where a system of co-operatives is limited or even non-existent, so that they can achieve the best possible price for their milk,” said MEP James Nicholson.
Under the new law, the volume of raw milk covered by negotiations between producers’ organisations and processors or collectors cannot exceed 3.5% of total EU output or 33% of overall national production. The national level rises to 45% in EU member states where total production is below 500,000 tonnes.
