Press Release: Agriculture Council: Ministers agree to end public intervention for maize

European Union agriculture ministers have agreed to phase out the system of public intervention purchases for maize over a three year period beginning in the 2007/2008 marketing year. The agreement would set a limit on maize intervention purchases of 1.5 million tonnes in 2007/08, falling to 700,000 tonnes in 2008/09 and then to zero from the 2009/10 season, beginning on 1 July 2009. By the end of the 2005/2006 season, EU maize intervention stocks had spiralled to 5.6 million tonnes, or 40 percent of total public cereal stocks. Without changes to the current system, these stocks, which are bought and stored at public expense, would have risen to as much as 14.1 million tonnes by 2013. Possible outlets for maize stocks are limited, and maize is unsuitable for long-term storage. Regions that historically exported maize onto the world market have over recent years offered a large part of their harvest directly for intervention. Ending intervention for maize will allow the EU cereals market to achieve a new balance.