The President of the Government stated today that the new line of credit, to be created soon, will strengthen the competitiveness of regional farms with the reinforcement of working capital and new investments in this sector.

"This measure, together with the entry into operation of the new Community Support Framework, is an extremely important factor for us so that we can address and overcome the situation we are currently facing," namely with regard to the price of milk paid to producers, said Vasco Cordeiro after receiving the Board of the Azores Agricultural Federation.

Speaking to journalists, the President of the Government considered that, as for the milk sector, it is a fact that the Azores, although to a lesser extent, are feeling the impact of European, and even global, trend towards the decrease of the milk prices.

"This happens in Europe for various reasons, which relate, on the one hand, with the abolition of the milk quota system, but, above all, with the fact that the European market is currently flooded with milk that previously had other destinations," Vasco Cordeiro said, pointing out the example of the Russian embargo on European dairy products.

After meeting held in Ponta Delgada, the President of the Government stressed that the trade relations "established between who buys and who sells" have earned the attention of the Regional Government in order to avoid imbalances in this specific component.

"There is also a series of other measures that might have a more direct impact on the marketing of dairy products that end up affecting the entire sector, added Vasco Cordeiro. The government official pointed out the example of initiatives that been developed by the Government to promote the Azores Brand, a distinctive and differentiating factor that also boosts the competitiveness of local products.

In addition, the President of the Government stressed that the Government has been searching for new markets for Azorean dairy products, such as Canada, taking advantage of the new relations between the European Union and that country.

The President of the Government recalled that a total of 4.3 million Euros have already been invested under the Support Scheme for the Promotion of Azorean Products from 2012 to the present time; a significant portion has been directed to the milk and dairy sectors.

"We are facing a situation that does is not solely dependent on the regional intervention, to which the Regional Government is mobilising all means at its disposal, either to achieve the planned goals or to define, together with social partners, new support measures for the regional milk sector," said Vasco Cordeiro.
 
The President of the Government added that the investments made in roads, water supply and power supply systems and the support to the renovation of the industrial dairy park have contributed to the strengthening of the sector's current levels of competitiveness
With regard to the meat sector, the President of the Government reiterated the estimated investment of about 15 million Euros in the slaughterhouses of São Miguel, Terceira and Pico as well as in the construction of the slaughterhouses on Faial and Graciosa.

Vasco Cordeiro also stressed the good use of funds for investment projects developed in the area of agricultural diversification under the previous Community Support Framework, pointing out the growth of the floriculture sector and the dynamics in the recovery of vineyards, which provide a decisive contribution to the creation of employment and wealth in the Azores.