xxxx Landwirtschaftsbetrieb H. u. A. Helms GbR Gehmkendorf 33 17168 Jördenstorf 2 20. Juni 2016 European Dairy Farmers 3 20. Juni 2016 European Dairy Farmers 490ha 300ha arable land 190ha grasland (moor) 400 cows 350 young stock 9500kg milk/cow 3,9% fat 3,4% protein All animals are the whole jear inside (no grazing) 8 employees in full time 1 employee in part time Astrid and Henning 35-40m above sea level 575 mm average rain fall Biogas 75kW/h input only slurry 4 20. Juni 2016 European Dairy Farmers 5 20. Juni 2016 European Dairy Farmers 6 20. Juni 2016 European Dairy Farmers 7 20. Juni 2016 European Dairy Farmers 8 20. Juni 2016 European Dairy Farmers 9 20. Juni 2016 European Dairy Farmers 10 20. Juni 2016 European Dairy Farmers EU milk deliveries compared to previous period: Jan to Mar 2016 vs. Jan to Mar 2015… AFTER THE END OF MILK QUOTA Milk deliveries, Germany Source: European Commission, Milk Market Observatory, 25/01/2016 Milk deliveries, France More and more milk… 11 20. Juni 2016 European Dairy Farmers Median, 50% produzieren Milch für weniger als… 90 … der 25% mit dem höchsten BEP II … der mittleren 50% … der 25% mit dem niedrigsten BEP II Spannweite… 80 70 60 40 30 20 10 CAN (11) CH (10) SE NL BE DK FR SK ES IT PL UK DE EU Organic [6] EU North [5] EU West [4] EU South [3] EU East [2] EU Islands [1] 0 EU farms (260) BEP II, in Ct/kg ECM 50 The full cost of production vary enormously individual farms, also within the various countries. 12 20. Juni 2016 European Dairy Farmers Source: EDF Cost of Production Comparison, 286 EDF farms with beginning of accounting period in 2nd, 3rd or 4th quarter of 2013 or in the 1st quarter of 2014, not representative, * = less than 10 farms in the group, groups with only 1 farm are not displayed, not representatives costs of production, operating individually: Span in EDF operations, BEP II = full cost recovery necessary milk price in euro cents / kg Wide range in price between dairies in DE: between 18 (north, east) and 28 cents (South). DE-organic milk (<3% of the DE-milk production) +20 cents / kg. 13 20. Juni 2016 European Dairy Farmers Source: LTO International Milk Price Comparison, www.milkprices.nl Development of prices paid various EU milk processors, LTO prices for standard milk in Euro je100 kg ECM Atmosphere Still/silent Waiting Depressive Hope A lot off round table discussion with no result 14 20. Juni 2016 European Dairy Farmers How react German farmers on low milk price? First produce more milk to have the same sales Reduce cash costs Talk to the bank spend no money for repayment A lot off farmers had to take credit for the cash costs Some farmers stop milk production (all kinds off herd size) problem: nobody will buy the cows and it is forbidden to slaughter pragnant cows 15 20. Juni 2016 European Dairy Farmers Thank you for your attention 16 20. Juni 2016 European Dairy Farmers What German farmers want The german government plan a 100Mio € programm farmers want to spend the money in reducing the amount off milk for example spend the money for farmers who ends milk production forever We need contracts with the milk factory With fixed prices, fixed time and fixed amount Share the price risk between more partners 17 20. Juni 2016 European Dairy Farmers