Superlevy fine down to €10.5 million
The overall level of milk deliveries for the 2013/2014 milk quota year has been calculated at 0.65% above quota, which will result in a superlevy fine of €10.5 million for Irish farmers, the Minister for Agriculture, Food and the Marine, Simon Coveney, announced today.
He said that with all returns from milk purchasers now received, the final calculation of the national position is less than the earlier estimated position of 0.94%, due mainly to a lower level of butterfat content in milk this year over the previous two years. Based on these calculations, the final super levy bill is expected to be in the region of €10.5m down from the expected €15m.
The Minister commented that “last year was a good year for Irish dairy farmers in terms of increased income as favourable weather and prices combined to drive higher supplies. The eventual superlevy fine, while undesirable in the first place, will be lower than expected and dairy farmers can focus on preparing for quota abolition next April”.
The Minister also announced that the total volume of milk supplies for the first two months of this quota year (April – May 2014) taking into account the relevant butterfat adjustment, leaves Ireland at 9% over quota at end of May. This compares to being 4.64% under quota at the same point last year.