BRUSSELS, Belgium (AP) - The European Union will next week restart export subsidies for butter, cheese and milk powder to help dairy producers hurt by falling prices.
The European Commission said Thursday it would also buy up extra butter and skimmed milk powder on the European market from March to keep prices up.
EU Agriculture Commissioner Mariann Fischer Boel said the EU moves should help stabilize the dairy market after severe price drops in recent months.
The EU stopped paying export refunds for dairy products in June 2007 when prices soared. It says it now needs to subsidize EU exporters to help them compete with rivals in the rest of the world.
French and German dairy farmers have demanded EU help for months.
