Farmers contest milk quota rules

A founder member of the Irish Farmers' Association is one of three Co Tipperary farmers who have taken a High Court challenge…

A founder member of the Irish Farmers' Association is one of three Co Tipperary farmers who have taken a High Court challenge to "radical" new milk quota regulations which, they claim, will significantly diminish the value of their milk quotas.

Mr Nicholas Maher, of Mount Pleasant, Cashel; Mr Malachy Brett, of Tullamaine, Fethard; and Ms Rita Ryan, of Clonoulty, are seeking a declaration that the Minister for Agriculture exceeded his powers when he made the European Communities (Milk Quota) Regulations 2000.

Mr Gerard Hogan SC, for the farmers, said his clients believed the regulations amounted to far-reaching legislation made, not by the Oireachtas, but by edict of the Minister. The farmers claim that, under the new regulations, they will no longer be entitled to temporarily lease their milk quotas without special permission from the Minister. They also claim that, in order to avoid forfeit of their quotas without compensation, they will have to resume production or sell the quota at a fixed price.

The Minister denies that the farmers are entitled to claim that a milk quota is a property right as defined in the Constitution. He claims a milk quota is "an instrument used as a market management mechanism as part of the common organisation of the market in the milk sector initially introduced in 1984 EU regulations".

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If the milk quota is a property right, then the measures governing the transfer of milk quotas contained in the 2000 Regulations do not constitute an unjust attack on the farmers' property rights which may be regulated in accordance with the "principles of social adjustment", the Minister contends.

In an affidavit, Mr Brett said he was 76, in ill health and unable to resume milk production. He owned 77 acres with a quota of 24,404 gallons and had leased some of his lands and part of his quota. For six years he had temporarily leased 9,404 gallons to Glanbia. He was a founder member of the IFA.

Mr Patrick Evans, an assistant principal officer in the Department of Agriculture, said the commission's objective in proposing price cuts and increasing the overall EU quota in its 2000 Agenda was to prepare the dairy sector for enlargement of the EU and further trade liberalisation.

The hearing before Miss Justice Carroll is expected to last four days.