IMPLEMENTATION LEVEL

Supranational

AFFECTED FLOW

Inflow

ANNOUNCED AS TEMPORARY

No

NON-TRADE-RELATED RATIONALE

No

ELIGIBLE FIRMS

all

JUMBO

No

TARIFF PEAK

No
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Inception date: 12 Apr 2016 | Removal date: 12 Apr 2017
Still in force

Import-related non-tariff measure, nes

 On 12 April 2016, the European Commission published regulation 558 and 559/2016 allowing milk producers in the EU to temporarily coordinate the volumes produced.
According to article 1 of regulation 559/2016, "recognised producer organisations, their associations and recognised interbranch organisations in the milk and milk products sector are hereby authorised to conclude voluntary joint agreements and take common decisions on planning the volume of milk to be produced during a period of six months".
The Commission justifies this action with "the fact that the closure of the Russian market and lower demand from China have hit the milk and milk products sector at a time where investments in production had been made in view of milk quota expiry on 31 March 2015 and positive prospects on the world market. On the basis of the available market analysis, any significant decrease in production volumes is not to be expected in the next two years" (part of the preamble, 558/2016).
The regulations came into force on the day of their announcement.
 
Update
On 9 September 2016, the European Commission published regulation 1615/2016 extending the temporay allowance for volume collusion for another six months.

AFFECTED COUNTRIES

MAP
TABLE
EXPORT

AFFECTED SECTORS AND PRODUCTS

221 Processed liquid milk, cream & whey
0401 Milk and cream, not concentrated nor containing added sugar or other sweetening matter.
040110 Of a fat content, by weight, not exceeding 1 %
040120 Of a fat content, by weight, exceeding 1 % but not exceeding 6 %
040140 Of a fat content, by weight, exceeding 6 % but not exceeding 10 %
040150 Of a fat content, by weight, exceeding 10 %
222 Other dairy products
0402 Milk and cream, concentrated or containing added sugar or other sweetening matter.
040210 In powder, granules or other solid forms, of a fat content, by weight, not exceeding 1.5 %
040221 Not containing added sugar or other sweetening matter
040229 Other
040291 Not containing added sugar or other sweetening matter
040299 Other

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