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The milk sector cuts its production by 5%

2020-03-31T19:15:26.160Z


LE FIGARO INFO - Le Cniel will compensate farms agreeing to reduce their production by 2 to 5% thanks to various natural agricultural means.


Funny birthday. Five years to the day after the end of milk quotas in Europe, backtracking for the French farm. Faced with the coronavirus, the sector is again planning its milk production. With the confinement, the diversion of the French from fresh produce and the closure of canteens and restaurants, the sector has seen many of its outlets fall. Especially for festive products, cut cheese or controlled designation of cheese.

Also read: Containment: what products are "energized" in supermarkets?

While efforts have been made in recent weeks to continue collecting all French milk, especially from cooperatives like Sodiaal, the surplus production should be impossible to absorb in April, a traditional collection peak with an increase of 3.3% compared to March.

While all the signals were green in January, today is the only solution to avoid throwing milk

Thierry Roquefeuil, President of the National Federation of Milk Producers

The actors of Cniel (interprofession bringing together federations of producers, private and cooperative processors and distributors) have agreed to ask the 60,000 dairy farmers to temporarily lower their production. The milk sector aims to reduce production by 5%, or 150 million liters. Cniel will compensate farms agreeing to reduce their production by 2 to 5% thanks to various natural agricultural means. They will be paid at market price (around 380 euros per tonne before the crisis) for the milk produced and will receive 320 euros per tonne for non-produced milk. The interprofession has released 10 million euros for this, but this sum only finances half of the reduction in production targeted.

Read also: Savencia copes well with the rise in milk prices in France

"While all the signals were green in January, today is the only solution to avoid throwing milk, explains Thierry Roquefeuil, the president of the National Federation of Milk Producers (FNPL). There is no structural overproduction of milk in France or in the world, but a cyclical problem of consumption. You have to be ready for the moment when it starts again. ” At the same time, the Interprofession is asking Brussels for the green light to stockpile the products that can be (milk powder, cheeses, etc.) long enough to pass the blow of consumption.

Source: lefigaro

All business articles on 2020-03-31

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