Following a meeting with dairy farmers, TUV leader Jim Allister, has said revising the intervention price is not just the obvious solution, but by doing so essential trader sentiment would be boosted, which is key to long term stability.
Mr Allister said, “This is no sham crisis, but one that cuts to the very heart of the future of our vital agri-food sector. Virtually every serious player in the global dairy market has some mechanism in place to provide a bottom to the market. In the USA their margin protection policy largely equates to intervention. Such is essential to ease the wild fluctuations of such a global market.
“A realistic intervention price would not just provide a viable bottom to the market but would be the catalyst for recovery as it would feed trader sentiment, which is so vital to market recovery. Thus, Commissioner Hogan needs to address this issue urgently and the UK representative on the Council of Ministers needs to drive this forward, supported by all the devolved institutions.”