Monday, September 8, 2008

organic milk quota freed up: reactions


It has been a long time coming, but the granting of additional milk quota to organic dairy farmers has been welcomed by all involved in the sector.

On the 12th August, Minister of State Sargent announced that an additional 45,000 litres would be available to individual producers, which could facilitate the release of 750,000 more litres in the current milk quota year.

This has been facilitated by a 2% increase in the national quota as and from 1st April of this year.

Pat Mulrooney is the current chair of the newly formed Irish Organic Milk Producers Company.

Pat welcomed the move: �It will mean that the 20 quota starved farmers we have opportunity to play catch up�

Pat is also convinced that the formation of the new company in April was instrumental in achieving the increased quota:

�Since the company was formed, we�ve made our case far better� according to Pat. �There is no doubt about it. All of our efforts were with department previously. He points out that the company canvassed minister Sargent and the Taoiseach, as well as giving �oral and written presentations, highlighting our needs and entitlements�.

Organic dairy farmers have been asking for this of many years now. They have been hampered, in growth terms, for most of this decade by the quota regime. In early 2006, James Mulhall argued that he could actually operate at 450,000 litres, nearly twice his current 240,000 litre quota.

Another organic dairy farmer, Fintan Rice, told me this week that he will have no problem filling his new quota: Fintan has a quota of 227,000 and could easily hit 350,000 on the 40 hectares of his farm that is in permanent grassland.

Pat Mulrooney agrees �it�ll be adequate for this year. The availability of organic cows means that it�s fine for now - but we�ll be ready for more soon.�

There is one proviso, however. It is not the case that every organic dairy farmer is automatically entitled to 45,000 liitres. There was a top up scheme available upon entry into organics, so if a farmer availed of this then, this total will be taken from the 45,000 litres.

As an example: Fintan Rice received 3000 gallons when he joined up, which is just over 11,000 litres. So he can only apply for about c.33-34,000 litres.

Glenisk, who currently receive about 5 million litres of milk from the island of Ireland (50% of which comes from the republic) was understandably delighted. Vincent Cleary, MD of Glenisk: �This should lead to many smaller but progressive dairy farmers viewing organics as a viable option in the near future. From our perspective at Glenisk, it will lead to continued growth and development � enabling us to increase our existing portfolio of products and to access new markets.�

Farmers will now be able to consider becoming food businesses themselves. At present, 3-400,000 litres of organic milk produced in the republic is used for this function and according to Pat, dairy farmers will now also be able to consider various options.

Present examples include Kate Carmody in Kerry, IOFGA chair, with her Beal cheeses and the Kelly�s in Westmeath, who produce the Moonshine brand of soft cheese, yoghurts and smoothies.

IOFGA, the largest certification body in Ireland, agree that the move will �also allow for the expansion of the organic artisan food sector�.

Over the years, there were action plans, talk shops, statements, surveys upon surveys, and little real change for the organic sector. The market has been strong, at home and abroad, but the basic raw material, organic milk, has been in short supply.

An increase in quota availability was flagged in this column last April as being the highlight in this year�s 64 part Organic Action Plan. Its delivery was earmarked as being medium term, or 1-3 years. Getting this ahead of time is refreshing to say the least.

The minister responsible, Trevor Sargent, is understandably chuffed, claiming to be �pleased that we are able to deliver on this so soon."

So he should be.

To apply, contact the department of Agriculture�s milk policy division. Forms can be downloaded from the department�s website

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