The NI dairy sector is finalising a document to be put to Agriculture Minister Edwin Poots that will outline their concerns related to the impact of COVID-19 on markets, and the need for an industry support package.

It comes after Defra Secretary of State George Eustice announced a hardship scheme last Wednesday for around 550 dairy farmers in England would have seen their income reduced by more than 25% in April and May.

Affected farmers can avail of a payment of up to £10,000

Specifically, these farmers have either had to dump milk, or had their milk price severely cut by processors who were reliant on the foodservice sector for a market outlet. Affected farmers can avail of a payment of up to £10,000.

Not eligible

To date, NI dairy farmers have not been hit to that extent, and they are not eligible to apply for this scheme.

The impact for our dairy farmers may become evident more slowly, last longer and be more widespread

However, commenting last week, minister Poots said that the issues faced by NI farmers are different, given that we mostly produce for commodity markets.

“The impact for our dairy farmers may become evident more slowly, last longer and be more widespread, and on that basis, we are considering a different approach to address our particular circumstances” he said.

We have seen a recognition from the UK government that there is hardship among some dairy farmers in England

It is understood that the case being made is looking at the likely movement in prices from now to the end of the year, and the impact this will have on NI farm incomes. Processors maintain that the closure of foodservice has left the UK market oversupplied, with further farmgate price reductions likely.

“We have seen a recognition from the UK government that there is hardship among some dairy farmers in England. With the principle established, we would hope that the government will stand on, and deal with hardship in NI if and when it arises” commented Dairy UK NI Director, Dr Mike Johnson.

Scotland

Like their counterparts in NI, dairy farmers in Scotland are not eligible for the hardship scheme. NFU Scotland milk committee chair Gary Mitchell said that he was waiting on the details of how the English scheme would operate before deciding if something similar would be relevant for Scotland.

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