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DAERA officials have calculated that the NI agri-food sector needs over £100m of emergency support due to the coronavirus pandemic.
Revealing the figure in Stormont on Tuesday, agriculture minister Edwin Poots said that the Department of Finance has been informed about the funding requirements.
“That is almost certainly too significant for the NI budget to deal with, therefore we are looking to the UK government and indeed Brussels at this point to see what can be delivered,” he said.
There has been a spike in retail demand but not enough to compensate
The minister met representatives from the dairy sector in recent days, and it is understood that they have asked for support across a range of issues, including immediate funding for a milk production reduction scheme to help bring supply and demand into balance.
With the foodservice sector across Europe shut down, dairy markets are in turmoil. There has been a spike in retail demand but not enough to compensate.
Buyers are buying less, and buying short. The spot milk market has collapsed, and some milk has been dumped in Britain and the US.
Sources suggest that both butter and skim milk powder could be heading to EU intervention stores by the end of this week (the UK can still access intervention during the Brexit transition period).
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