Policy instruments for the sheepmeat and goatmeat sector
The objectives of the EU policy instruments are to structure and safeguard the stability of market prices in the sector, to facilitate the marketing of products and to establish the rules in the trade with third countries, providing stability for the European producers and processors.
Sheepmeat and goatmeat belong to the products covered by the Single Common Market Organisation Regulation (EU) No 1308/2013.
>> Single CMO Regulation
The CMO Regulation provides market instruments to stabilize the sector when needed:
- Market monitoring: the EU voluntary system of carcasses classification, the price reporting and statistic information provide the basis for objective grading of carcasses in slaughterhouses and fair payment to producers [Regulation (EC) No 1249/2008]
- Exceptional market support measures [Article 220 of the Single CMO Regulation (EC) No 1308/2013]
Every week Member States notify their representative prices to the Commission.
>> Weekly prices
At least every second month, the Commission presents the market situation of the sheepmeat and goatmeat sector at the Management Committee for the Common Organisation of the Agricultural Markets.
>> Market situation
General prospects, trends, developments and expectations of the market for sheepmeat and goatmeat can be found in the Commission’s short term and mid-term reports.
>> Market reports
Rules on trade with Third Countries
The imports are mainly organized by a system of quotas with specific country allocations and regulated in Commission Regulation (EU) No 1354/2011
Quota volumes may change per year. Also due to accessions, the quota quantities may increase.
The quota use of each individual order number is available on the Commission's website >> Tariff quota database. Insert the following Order Numbers into the search Page:
Sheep and Goat: Policy Instruments
The objectives of the EU policy instruments are to structure and safeguard the stability of market prices for Beef & Veal to facilitate the marketing of products and to establish the rules in the trade with third countries, providing stability for the European producers and processors.
Market monitoring
The first step for activating a possible EU intervention is the monitoring of the Beef & Veal market in order to identify market instability, provide accurate information to farmers and processors on the market situation and to help public policy decision making.
There is an EU wide system of carcass classification, which alongside price reporting and other statistical information is the basis of the EU's price monitoring system. This is also used as a basis for the grading of carcasses in slaughterhouses and fair payment to farmers.
For the Market monitoring system, go to the related section.
The Legal bases are:
The main EU market instruments are:
Other EU instruments:
The first step for activating a possible EU intervention is the monitoring of the Beef & Veal market in order to identify market instability, provide accurate information to farmers and processors on the market situation and to help public policy decision making.
There is an EU wide system of carcass classification, which alongside price reporting and other statistical information is the basis of the EU's price monitoring system. This is also used as a basis for the grading of carcasses in slaughterhouses and fair payment to farmers.
For the Market monitoring system, go to the related section.
The Legal bases are:
- Regulation (EU) No 1308/2013 on the common organisation of the agricultural markets, providing market instruments to stabilize the sector when needed.
- EU regulation 2017/1182 – EU scales for the classification of beef
- EU regulation 2017/1184 – rules for reporting of market prices of beef
The main EU market instruments are:
- Public intervention: Public intervention is where products are purchased and stored by EU countries governments or their agencies until being sold back onto the market at a later date. It aims to prevent prices from dropping to unsustainably low levels. It may be opened by the Commission if, over a representative period the average market price in a Member State or in a region of a Member State is below EUR 2,224/tonne. There are strict standards on the quality of the goods that can be stored.
- Private storage aid: the Commission may decide to grant private storage aid taking into account the average market prices and the reference thresholds and production costs for the products concerned; and/or the need to respond in a timely way to a particularly difficult market situation or economic developments having a significant negative impact on the margins in the sector.
- Export refunds: only as an exceptional measure in case of market disturbance.
Other EU instruments:
- Collective negotiation: producer organisations in the beef and veal sector may negotiate contracts for the supply of live cattle under certain conditions. For a particular producer organisation, the quantity of beef and veal production covered by such negotiations must not exceed 15 % of the total national production.Publication of the volume of the quantity of beef and veal production as referred to in Article 170 (4) of Regulation (EU) No 1308-2013 of the European Parliament and of the Council:
- Exceptional market support measures are possible in case of animal diseases and loss of consumer confidence.
- Weekly price monitoring for beef carcasses and live bovine animals: the EU wide system of carcasses classification, the price reporting and statistic information provide the basis for market monitoring as well as for objective grading of carcasses in slaughterhouses and fair payment to producers
