EU Sanctions

Milk quotas, task force to close 30 years of litigation: 2 billion fines at stake, 4,000 farmers involved

On Monday 9 June at 12 noon, the 'Body for Settlement of Debit Situations related to the Additional Levy in the Milk and Dairy Sector' established at the Ministry of Agriculture and Food Sovereignty will open for submissions from farmers who had received milk quota penalties

by Giorgio dell'Orefice

(Adobe Stock)

3' min read

3' min read

Perhaps - and the perhaps is a must in a tangled affair that has been going on for over 30 years - we are at a turning point on the age-old issue of the milk quota fines. Probably, only the boomers remember what it is all about, while the more recent generations have not even heard of it, but there was an affair that created great tension in Italy at the end of the last century with street demonstrations culminating in rebates and dung throwing against the police forces.

This is the story of milk quotas, or rather the system ofquotas on milk production in the EU introduced by Brussels since 1984 to keep milk production in Europe and thus prices under control. A mechanism that provided for production quotas assigned first to each member state and then cascaded to each individual farm, the exceeding of which exposed the 'splainer' (a term coined for those who did not respect the assigned limit) to a fine.

Loading...

In reality, when the facts were proven, there were many in Italy and Europe who did not respect the allocated quotas, resulting in a significant amount of fines and penalties and litigation that has now come down to us despite the fact that the milk quota system in Europe was abolished in March 2015.

Now - and we repeat perhaps - we are at the decisive junction.

On Monday 9 June at 12 noon, the 'Body for the settlement of debt situations related to the additional levy in the milk and dairy sector' set up at the Ministry of Agriculture and Food Sovereignty will open for presentations of claims by farmers who had received milk quota penalties.

The settlement body, composed of a senior accounting magistrate, a member of the Avvocatura dello Stato and a manager of the Agenzia per le erogazioni in agricoltura, will have the task of assessing the claims presented by the farmers and with them reaching a settlement.

On standby there arealmost 2 billion fines still to be paid, 4 thousand farmers involved (and fine recipients), and among them some 1,500 'sensitive situations', i.e. dairy companies whose business continuity is at risk due to the burden of fines.

'This is an important moment for animal husbandry and the milk and dairy processing chain,' commented the Minister of Agriculture and Food Sovereignty, Francesco Lollobrigida. 'After a period of listening to those who represent one of the pillars of the agri-food industry, we are starting to resolve a dispute that could no longer go on. The State must not be deaf, but listen to those who work in its territory creating wealth and value, and without ever forgetting its task find a solution with courage and responsibility. With courage we find a solution to a difficult problem that had not been addressed in the right way'.

"The fact that the Compensation Body will be operational from Monday," added Masaf undersecretary in charge of the livestock sector, Luigi D'Eramo, "is a further important result, the fruit of long joint work and constant discussion and dialogue with the trade associations and breeders' representatives. A common sense solution that extends a helping hand to the companies and allows them to finally put an end to long years of litigation with the possibility of settling all outstanding debt positions. With facts and in a concrete way we show that we are on the side of our breeders and that we support a fundamental sector for the Italian agri-food industry such as the livestock sector.

Copyright reserved ©
Loading...

Brand connect

Loading...

Newsletter

Notizie e approfondimenti sugli avvenimenti politici, economici e finanziari.

Iscriviti