To ask the Secretary of State for Environment, Food and Rural Affairs what recent assessment he has made of the state of dairy farming in the UK; and what steps he is taking to ensure the long-term sustainability of the industry. (279829)

We are helping the dairy industry to help itself through the Dairy Supply Chain Forum, which provides a framework for constructive debate and information for industry to make informed decisions about their future. The Forum also aims to increase sector efficiency and promote the sustainable development.

We are also helping the industry to adjust as part of the on-going CAP Reform. One of the aims of the 2003 Reform was to see the end of price support mechanisms, which distort the market and give false signals to producers. We continue to press for further reform of the remaining aspects of the dairy price support mechanisms to make the sector internationally competitive.