Farmers protests grip Europe as prices slump

After peaking at the end of 2007 on the back of a global commodities boom, wholesale milk prices dropped by 50 percent on average last year, Hungarian farmers have HUF 15-20 lost pro liter.

 Anger has been building for months
across Europe as milk prices drop. Demonstrations have not only been
limited to southern and eastern Europe but have also occurred in
Germany and France.

"The discontent is widespread
across the European Union," said Marie-Christine Ribera, an
official with the Copa-Cogeca European farmers union confederation.

Greece has seen particularly turbulent
demonstrations over the last two weeks with police clashing on
Tuesday with farmers from Crete, using tear gas on them as they
protested against slumping prices.

Bulgaria as well has seen protests with
around 100 dairy farmers blocking a key border-crossing point to
Romania on Wednesday in a protest against low milk prices, according
to national radio.

In Latvia, Agriculture Minister Martins
Roze announced his resignation on Tuesday, bowing to pressure from
angry farmers who want help to face a recession.

Their protests have also centred on the
dairy sector with Latvian farm leaders demanding government support
for milk prices, a year-long moratorium on loan repayments and
handouts.

However, since the fall in prices, the
EU has hastily been forced to re-introduce dairy sector support
measures that Brussels had wanted to bury, such as aid for storing
butter and export subsidies.

In Hungary the ministrí of
Agriculture try to help with restarting the school milk program,
assuming some costs, making campaign for bigger consumption and
giving 200,000 euros support for dairies.