Danish support for N.Z. share of butter exports

Press, 28 February 1980, Page 18

Danish support for N.Z. share of butter exports

NZPA London Dairy-producing Denmark has come out in solid public support of a permanent place for New Zealand, one of its major rivals', in the British market. The country’s endorsement was given : to . the Deputy Prime Minister. (Mr Taiboys) in November, but the Danish Minister of Agriculture (Mr Poul Dalsager) only recently made the support public. Mr Taiboys told New Zealand journalists at the time of Denmark’s change. Mr Dalsager told a meeting on Danish dairy interests that New Zealand was a “democratic country and a good friend,” and Denmark did not want to see its butter

gradually phased out of the European market as originally planned. He conceded that New Zealand’s staying in the market would create problems for Danish dairy producers. The softer Danish line was surprisingly supported by Mr Majgaard, the chairman of the Stateowned dairy export company, Butterdane. Mr Majgaard has previously been outspoken in his condemnation of New Zealand’s often-majority share of the British market. But although he agreed that New Zealand should stay, he criticised as unfair the European commission’s plan to allow New Zealand an eventual annual tonnage of 90,000 tonnes, compared with this year’s entitlement of 115,000, at a time when Europe’s own farmers are

producing far too much butter. The commission’s proposal, according to the Danish Farm Commissioner (Mr Olav Gundelach), should go to the Council of Ministers for decision within the next few weeks. Butterdane’s British managing director (Mr Eric Coombs) was critical at the Copenhagen meeting of another E.E.C. commission plan. He said that if the ministerial council approves the plan to cut present butter subsidies, consumntion in Britain might drop' by 50,000 tonnes. Consumption in Britain has already fallen from 340,000 tonnes in 1976 to 284,000 tonnes last year, and the market would become even tighter if the subsidies were dropped, Mr Coombs said.