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GENERAL AGREEMENT on Dpc/W/15/Add.I 2 September 1981 TARIFFS and TRADE Special Distribution

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GENERAL AGREEMENT on Dpc/W/15/Add.I 2 September 1981 TARIFFS and TRADE Special Distribution RESTRICTED GENERAL AGREEMENT ON DPc/w/15/Add.i 2 September 1981 TARIFFS AND TRADE Special Distribution International Dairy Arrangement INTERNATIONAL DAIRY PRODUCTS COUNCIL Support Prices or Other Prices Applied to Mi Ik and the Various Dairy Products Covered by the Arrangement Addendum FINLAND The domestic price level for milk and butter When determining the domestic wholesale price for butter in Finland/ the target price presented in Table 1 is held as a basis. In order to slow down increases in the domestic retail prices for dairy products, a deficiency payment scheme for milk was introduced in 1974. Since 1978 the deficiency payment has been differentiated according to the quantity of milk per farm delivered to the dairy as follows: from 1 September 1978 the maximum payment was limited to 24,000 litres per farm and from 1 April 1980 to 30,000 litres per farm. Quantities of milk exceeding these limits are only subject to the lower payment, i.e. the minimum payment in Table 1. The domestic producer price level for milk can be then approximated by summing the target price and the corresponding deficiency payment. The target prices have been given only from 1972 since before that they were fixed on the basis of 3.9 per cent fat content thus not being comparable with the prices presented in Table 1. In Table 2, the development of the domestic wholesale price for butter (in 1/2 kg. packages) is shown. The great annual fluctuation in the prices is to a great extent due to changes in the exchange rate. Table 1. The Target Price for Milk in Finland in 1972-1981 £ to . 1 Exchange rate Target pn ce Deficiency payment Date US$ = Fmk Fmk/tonne US$/tonne minimum maximum US$/tonne 1 April 1972 4.140 636.34 153.71 - - 1 May 1973 3.888 694.48 178.62 - - 1 April 1974 3.750 775.19 206.72 - 18.09 1 September 1974 3.805 820.45 215.62 - 17.83 1 Apri I 1975 3.550 849.52 239.30 - 60.05 1 September 1975 3.810 897.97 235.69 - 55.95 1 March 1976 3.835 1053.29 274.65 - 55.59 1 March 1977 3.810 1155.04 303.16 - 38.15 1 September 1977 4.180 1193.80 285.60 - 34.77 1 May 1978 4.230 1222.87 289.09 - 34.36 1 September 1978 4.101 1256.78 306.46 35.44 40.17 1 February 1979 4.006 1304.26 325.58 36.28 41.12 1 April 1980 3.939 1420.54 360.63 36.90 55.35 1 September 1980 3.661 1478.68 403.90 39.70 61.67 1 March 1981 4.098 1556.20 379.75 35.47 58.64 The target price fixed for milk with an annual average fat content (target prices before 1972 not comparable). Table 2. The Wholesale Price for Butter (in 1/2 kg. Packages) Exchange rate Wholesal s Price US$ = Fmk Fmk/kg. US$/tonne 31 May 1968 4.187 7.85 1875 1 January 1971 4.170 7.25 1739 1 April 1972 4.140 7.73 1867 11 May 1973 3.888 8.68 2233 1 April 1974 3.750 10.37 2765 1 September 1974 3.805 11.49 3020 7 October 1974 3.805 10.50 2760 1 April 1975 3.550 10.91 3073 1 September 1975 3.810 11.87 3115 1 March 1976 3.835 14.84 3870 1 July 1976 3.900 15.40 3949 1 January 1977 3.770 15.66 4154 1 March 1977 3.810 17.24 4525 9 September 1977 4.100 17.74 4327 4 September 1978 4.101 17.88 4360 1 February 1979 4.006 18.45 4606 1 December 1979 3.740 18.98 5075 1 Apri I 1980 3.939 21.24 5392 1 September 1980 3.661 22.08 6031 2 March 1981 4.098 23.38 5705 30 July 1981 4.590 (23.38) 5093 .
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