The Berlin reforms will lead to a reduction in EU beef support prices, the introduction of additional slaughter premia and changes to extensification regulations, with consequential implications for cull cow and calf prices. In Ireland, a substantial portion of this decline is counteracted by the increase in milk quota and the introduction of direct payments to producers. Readers should note that these projections were conducted under a specific euro exchange rate assumption. The projections have been carried out on the assumption that the WTO commitments in place in 2001 are those, which prevail throughout the projection period, i.e. no assumptions are made about the outcome of the WTO millennium round. This analysis also assumes no further increase in EU membership.
All prices shown here are in nominal terms, so no allowance is made for inflation.