Often we hear the phrase ”fresh milk ”, and it is a common product in the market list of a Greek housewife. But have you ever wondered what ”fresh” means? According to Greek legislation, fresh milk can be called only pasteurized milk that has undergone gentle heat treatment between 72-75oC for 15-30 seconds to kill pathogenic organisms while maintaining nutritional values. The price of this precious good has become, lately, the subject of intense debate both in the inside of our country and between Greece and its creditors.
But let’s look at the living reality. Greek law provides that the aforementioned production process of fresh milk can be refrigerated up to five days. In contrast, in the other EU countries, the allowable storage time can reach from seven to ten days, and in extreme cases up to fifteen (Scandinavian countries). The Greek government, therefore, is under pressure from the European Institutions to amend the legislation so that the milk can be kept in storage longer. According to Europeans, this change can be the start to reduce the price of Greek fresh milk, which is more expensive by 34% than the average price in Europe.
It is worth mentioning the opposing views that exist on this subject. On the one hand, the Ministry of Development promotes the release of the fresh milk market, arguing that there are benefits for consumers as the product price will be reduced, while the lasting time of the product will be determined by the way of pasteurization that each producer chooses. It’s a fact that the consumer will have more choices, since he could find milk that lasts up to two, four, five, or ten days, as well as, choose the amount of money he wants to spend regarding the equivalent quality. The ministry is using as an argument the recent OOSA report, which states that the modern legislation will increase the refund costs for the milk production companies, while preventing the introduction of cheaper raw materials from other countries to Greece for the production of fresh milk.
Considering, however, the other side of the coin, we can see the reactions of the Ministry of Agriculture, which supports the Greek farmers. Describes such an amendment as ‘a disaster for farmers’, because the domestic production will not be protected and thus, while the storing time will be longer, foreign companies will have the time to import fresh milk in the Greek market, in competitive prices.
The reason, however, that the Greek fresh milk is sold at high prices, it is not because of the speculation of farmers, but because of the high production costs. Greece, unlike the other countries, is greatly deficient in animal food, thus it makes expensive imports. The Greek production units are small and scattered in the region and away from the factories, so the transportation cost is high and it is added to the total price, charging the consumer.
So does discount of a few cents worth to exterminate an entire industry? And if the duration of milk is the cause of high prices, why the ‘long duration milk’, which is imported, is more expensive? These two questions are worth considering before we make major reforms. Perhaps we have to correct the deficiencies of Greek production, before release the market of a product.
Elizabeth Lavida, Student, International and European Studies