In a statement issued after a meeting with dairy industry representatives on Tuesday, Le Foll said: "Ahead of the Council of European Agriculture Ministers on 18 July, France stresses that this meeting needs to deliver an operational mechanism to incentivise supply volume regulation." He added that such a European scheme should come with "a clearly identified budget to match the high stakes" of solving the current "dairy industry crisis".

Ireland has repeatedly rejected the option of cutting milk supply to restore balance on dairy markets.

Le Foll called on the French industry to prepare for the implementation of milk supply cuts once a scheme is in place.

The French position is broadly in line with comments made by European Agriculture Commissioner Phil Hogan's comments at the June Council meeting.

While Hogan focused his promised of a new aid package on dairy, with the pigmeat market now considered to be in recovery, France has introduced new demands for the beef sector.

Le Foll said he would seek "appropriate measures to support also the beef market" at Monday's Council meeting.

Read more about the options for the next European agriculture aid package in this week's Irish Farmers Journal.

Read moreNew measures to control milk supply