European operators will have until 13 December to submit their first bids to national authorities. In order to test the market reaction, the quantity of product concerned by the tender procedure is limited, corresponding to only 6% of the total amount of 355 000 tonnes of skimmed milk powder stored and taken out of the markets since the opening of the measure in September 2014.  The European milk market is showing encouraging recovery signs, with an increase of about 10% of the average price paid to producers in the last 3 months. Following a steady decrease, no more quantities of skimmed milk powder (SMP) have been put into public intervention since September 2016, even though this market measure remains open.

Commenting on today's vote and decision, Commissioner Hogan said: "I am pleased to say that we are seeing something of a recovery in those hardest-hit markets, though we all know how fragile recovery can be in agricultural markets. Sustaining this recovery and working towards balance in the dairy market remains a priority. Reflecting the fragile nature of the recovery, the Commission will act with appropriate caution and the tender process will be under constant reassessment to prevent any unnecessary disruption." All the support measures put in place by the Commission to help dairy producers, like private storage and public intervention, remain in place.

For more information see here.

Source: europa.eu