Common export subsidies for skimmed milk powder are to be sliced by half in a recent move by the European Commission.

The Commission also means to eliminate export subsidies by 2013, if non-EU countries take similar steps. There are also plans to reduce the export subsidy on butter and phase out funding for skimmed milk powder in animal feed. The moves have been times to coincide with planned price cuts in July for butter an milk powders made in the EU, as part of CAP reform.