meeting to discuss the granting of a subsidy to dairy producers after world prices go down. Al-Masry Al-Youm has learnt that they agreed to grant a LE 150 million subsidy to producers for three months, after which the subsidy will be reviewed according to global prices. To strengthen this step, the council of animal wealth and health, chaired by Abaza, decided to prepare a memo and to submit it to Prime Minister Ahmed Nazif so that the subsidy can be quantified. Such subsidy is expected to be LE 1 for a kilo of milk. The committee also decided to start implementing a project to register all dairy cattle and make lists with their productive capacities. Agriculture Minister Advisor Saad Nassar said that the price covering dairy production costs allowed a profit (LE 2.60 for a kilo of milk) suitable to guarantee the continuity of production, while dairy companies would be able to import milk powder at just LE 1.60 a kilo. Meanwhile, Trade and Industry Minister Rachid Mohamed Rachid told Al-Masry Al-Youm that the ongoing case between dairy farmers and factories concerning the pricing of dairy products was complicated. He affirmed coordination was underway with the Ministry of Agriculture to reach a solution. He explained prices for consumers have to be cut by reducing the price of milk at factories. At the same time, though, he said the state has to preserve its animal resources, as farmers would slaughter their cattle if global prices were applied.
