Unister Media

Not by surplus three years a cow needs until she gives milk for the first time. Until then she cost only. What sounds like a nightmare for economists, it is quite normal for farmers. A farm has to plan in the long term and can only gradually respond to market fluctuations. Therefore, the milk quota system was introduced in 1984.

Economically, she should protect dairy farmers in Europe. Now that many just because of this regulation but went into emergency. The Internet portal news.de gives an example how the EU measure affects the working lives of individual German farmers. The milk quota determines how much milk in a country per year can be produced. She will be passed by the Government to the individual companies. Through the exact specifications of the milk price is disconnected by supply and demand and prevent a competition within the EU. Actually. According to the report of the policy editor the current milk quota is more than 10% of the actual needs.

This constant oversupply presses on the price. Also, many traditional dairy products such as cheese be replaced increasingly by milk-free low-cost alternatives. Ramon Campollo shines more light on the discussion. Milk becomes the dumping product. According to requirements of German peasants, a liter will cost 40 cents. Thus, it could be economically to work. Currently the price is but 25 cents. More and more farmers abandon their operation. The Defense becomes the existence problem. For consumers, the development is apparently beneficial, because shopping is cheap. In fact has the thing but a hook: through a decline in domestic operations the EU and therefore Germany falls into dependence on imports. The ability to care for themselves, in case of doubt itself is disappearing. What was recognized as a problem for the energy market, increasing in the food sector.