Key restrictions on milk production vary between EU member states

Published 22 April 15

While there are likely to be a number of factors that could impact the growth of milk production, individual EU member states all have their own obstacles. A report by Promar International identifies key factors that could restrict milk production growth over the next five years for some of Europe’s main member states.

The Promar report suggests that the UK industry is “pre-occupied” with the domestic liquid market as well as having limited processing capacity. From a farmer point of view, the report states that there are not enough farmers focussing their attention on “meeting customers’ needs and maximising profitability” i.e. producing milk to contract specifications. For this to be fully achieved there is also a responsibility for processors to provide clear contracts that state the specification required to obtain the most value from that milk.

Other EU nations such as Germany, Ireland and the Netherlands look set to try to take advantage of the favourable long term outlook for dairy. However, environmental constraints and land availability could be factors that restrict growth over the coming years. France and Poland are generally less than excited about the prospect of increased volatility, which is impacting on farmer confidence. Another factor which could impact growth for these two countries is competition for land with arable production.