EC DAIRY PACT MAY DISRUPT MARKET - DUTCH FARMERS
The new European Community dairy
regime agreed last night is too complicated and may destabilise
prices, Abele Kuypers, secretary of the dairy section of the
Dutch farmers' organisation Landbouwschap said.
    He welcomed the decision to write off existing stocks of
butter and skimmed milk powder and agreed there should be some
reduction of pressure on stores but said the Landbouwschap was
unhappy at the mechanism for limiting sales to intervention
except when prices fall too far.
    But Harm Schelhaas, chairman of the Milk Commodity Board,
was less worried by the new dairy regime. Dutch milk output
will fall by up to six pct this year due to the new regime, but
cheese output should rise, he said.
 Reuter
