Press Release: Dairy market: Council approves 2 percent increase in milk quotas from April 2008

On 17 March, 2008, European Union agriculture ministers approved the European Commission's proposal for a 2 percent increase in milk quotas beginning on 1 April 2008 to meet growing demand both within the European Union and on global markets. The increase, a total of 2.84 million tonnes, would apply on an equal basis to the 27 Member States. It does not prejudge the ongoing review of the dairy market in the Health Check of the Common Agricultural Policy, where the Commission has suggested a gradual increase in quotas before they expire on 31 March 2015. In December, the Commission published a report showing that demand for milk has grown between 2003 and 2007 and is expected to continue growing between 2007 and 2014. The outlook for both demand and prices on the world market is equally positive. The report showed that a 2 percent increase was fully justified.