October 23, 2007

Denmark reaches 99.4 percent of milk quota utilisation

Denmark's quota on milk utilisation has already reached 99.4 percent as of October 1.

The utilisation in the first half of the quota year 2007/2008 was 13.7 million kilograms below full utilization. Herluf Dose Christiansen of the Danish milk board, Mælkeudvalget, says that it is difficult to forecast what the quota consumption will be for the whole year but says the use has been below 100 percent once in the last seven quota years.

Dairy consultant Søren Knudsen of Syddansk Kvæg says that no dairy farmers are holding production at present as high milk prices make dairy production profitable also with penalties for exceeded quotas.