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FARMING

Dairy farmers threaten strike over retail pricing

Every fourth German dairy farmer is going broke and the industry is planning widespread protests against retail milk pricing practices in the coming days, daily Die Welt reported on Monday.

Dairy farmers threaten strike over retail pricing
Photo: DPA

“We will fight,” President of the German dairy farmer’s federation (BDM), Romuald Schaber, told the paper. “The new reduction in milk prices, contrary to promises made at the milk summit, needs a clear answer.”

Schaber told the paper that dairy farmers have not ruled out a delivery strike like the one they staged in May 2008. During the 10-day protest farmers openly threw surplus milk down drains, fed it to their calves, or spread it over crops. Meanwhile some consumers had difficulty finding milk on grocery store shelves.

“It’s an option for us,” Schaber said, adding that retail pricing policies were destroying farmers’ livelihoods.

“We won’t allow ourselves to be frightened by the antitrust agency. We are not afraid,” he said. Instead, the government should concern itself with whether the current dairy prices are tantamount to farmers throwing their milk away, he said.

Supermarkets and discount grocery stores recently dropped milk prices by €0.07 to just €0.48 per litre, Die Welt reported. At this price dairy farmers get just €0.20 to €0.25 per litre, though they need between €0.35 to €0.45, depending on their region, to make ends meet, the BDM told the paper.

“The situation is very serious,” Schaber said. “We estimate that by the end of the year 25 to 30 percent of the German dairy farmer market will disappear.”

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POLITICS

France vows to block EU-South America trade deal in current form

France has vowed to prevent a trade deal between the European Union and the South American Mercosur bloc from being signed with its current terms, as the country is rocked by farmer protests.

France vows to block EU-South America trade deal in current form

The trade deal, which would include agricultural powers Argentina and Brazil, is among a litany of complaints by farmers in France and elsewhere in Europe who have been blocking roads to demand better conditions for their sector.

They fear it would further depress their produce prices amid increased competition from exporting nations that are not bound by strict and costly EU environmental laws.

READ ALSO Should I cancel my trip to France because of farmers’ protests?

“This Mercosur deal, as it stands, is not good for our farmers. It cannot be signed as is, it won’t be signed as is,” Economy Minister Bruno Le Maire told broadcasters CNews and Europe 1.

The European Commission acknowledged on Tuesday that the conditions to conclude the deal with Mercosur, which also includes Paraguay and Uruguay, “are not quite there yet”.

The talks, however, are continuing, the commission said.

READ ALSO 5 minutes to understand French farmer protests

President Emmanuel Macron said Tuesday that France opposes the deal because it “doesn’t make Mercosur farmers and companies abide by the same rules as ours”.

The EU and the South American nations have been negotiating since 2000.

The contours of a deal were agreed in 2019, but a final version still needs to be ratified.

The accord aims to cut import tariffs on – mostly European – industrial and pharmaceutical goods, and on agricultural products.

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