Butter mountain

Butter mountain refers to the surplus of butter produced by the European Union (EU) during the 1970s and 1980s. This phenomenon was a result of the EU's Common Agricultural Policy (CAP), which guaranteed minimum prices for dairy products, leading to overproduction.

History

The term "butter mountain" was coined in the 1980s to describe the vast surplus of butter that had accumulated in the EU. The CAP, established in 1962, aimed to ensure a fair standard of living for farmers and stable, affordable food supplies. However, the policy led to overproduction of certain commodities, including butter.

The EU purchased the surplus butter at a guaranteed price and stored it in cold storage facilities. By 1986, the EU had accumulated over 1.2 million tonnes of butter, leading to the term "butter mountain."

Impact

The butter mountain had significant economic and environmental impacts. The cost of storing and disposing of the surplus butter was substantial. Additionally, the overproduction of butter led to waste and was criticized for contributing to global warming due to the methane emissions from dairy cows.

The butter mountain also had political implications. It was seen as a symbol of the inefficiency and waste of the CAP, leading to calls for reform. In the 1990s, the EU introduced measures to reduce overproduction, including quotas on dairy production and reductions in guaranteed prices.

Legacy

The butter mountain is often cited as an example of the unintended consequences of agricultural subsidies. It has been used in debates about the CAP and EU policy more broadly. Despite reforms, issues of overproduction and waste in the EU's agricultural sector remain relevant today.

See also

• Common Agricultural Policy
• European Union
• Agricultural subsidy