With a rise of sales of skim milk powder into intervention, the EU Management Committee has decided to boost export subsidy by 18% to e600/tonne.
The move has been made in an attempt to increase the volume of exports to third countries.
These exports have been flagging lately because the euro has been rising in value against the dollar.
The effect has been to land EU exporters with a 10% price handicap and means the seasonal peak of skim milk powder output is flowing into public stocks rather than being sold on world markets.
n returns wait
The new management team at Dairy Farmers of Britain has promised a business plan by autumn this year, but warned returns from it may not materialise for two years.
However, one of the new management team's first moves has been to "fast- track" discussions on a member share scheme.
It is believed that the scheme would be similar in principle to that of the New Zealand co-op Fonterra and of other European co-operatives.
Under these schemes, any increase in the value of the business is reflected back via shares to the members who own it.
n duty rumours
Rumours of possible changes in import duties on tuna from non-preferential areas such as Thailand, Indonesia and the Philippines are continuing.
This week, reports suggested there would be a quota system on a "first come, first served" basis for 25,000 tonnes.
The rate would be halved from 24% to 12%, but as the quantity is only a fraction of the EU normal annual requirement, it seems totally unworkable, according to UK importers.
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The move has been made in an attempt to increase the volume of exports to third countries.
These exports have been flagging lately because the euro has been rising in value against the dollar.
The effect has been to land EU exporters with a 10% price handicap and means the seasonal peak of skim milk powder output is flowing into public stocks rather than being sold on world markets.
n returns wait
The new management team at Dairy Farmers of Britain has promised a business plan by autumn this year, but warned returns from it may not materialise for two years.
However, one of the new management team's first moves has been to "fast- track" discussions on a member share scheme.
It is believed that the scheme would be similar in principle to that of the New Zealand co-op Fonterra and of other European co-operatives.
Under these schemes, any increase in the value of the business is reflected back via shares to the members who own it.
n duty rumours
Rumours of possible changes in import duties on tuna from non-preferential areas such as Thailand, Indonesia and the Philippines are continuing.
This week, reports suggested there would be a quota system on a "first come, first served" basis for 25,000 tonnes.
The rate would be halved from 24% to 12%, but as the quantity is only a fraction of the EU normal annual requirement, it seems totally unworkable, according to UK importers.
{{MARKET EDGE }}
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