Dorita Yiannakou
Concern is spreading through the business community following the detection of foot-and-mouth disease in 11 livestock units, a development affecting thousands of animals and raising serious risks for production and the wider market.
The outbreak poses immediate threats to milk and meat production, the supply chain and the smooth functioning of the market, with economic stakeholders closely monitoring developments. Reduced output, the forced confinement or culling of animals and disruptions to trade flows are all direct risks to the primary sector.
Business organizations told Kathimerini that the key question now is how much milk production will ultimately be affected, something that cannot be clearly calculated at this stage. Cheesemakers, for their part, are voicing fears over rising production costs and potential shortages if the number of affected units continues to grow. They warn it would be disastrous for the country if the prescribed quota for halloumi production is disrupted. Any reduction in available raw milk could drive up prices, strain supply agreements and hit exports, particularly of products such as halloumi, where demand remains strong.
At this stage, however, business groups stress that halloumi exports do not appear to be affected. Halloumi is Cyprus’ second-largest export product, with total exports reaching €345 million last year. Should Cyprus be forced to import milk from abroad, it would come at a very high cost, business representatives said, underlining the need for daily farm inspections to contain the spread of the disease.
The Director of the Veterinary Services, Christodoulos Pipis, told an emergency session of Parliament that following the detection of a foot-and-mouth case in the occupied areas, some countries reacted immediately. Canada and Australia, he said, removed Cyprus from their list of foot-and-mouth disease–free countries, sparking concern over possible trade implications.
He clarified that Cypriot authorities took all necessary steps the same day to provide additional explanations. As a result, Canada did not ultimately impose restrictions on halloumi exports, while Australia initially suspended imports. However, after two days of consultations with the relevant authorities, Australian services agreed to a new health certification arrangement, allowing exports to resume.
The Cyprus Cheesemakers Association is working closely with veterinary authorities to limit the spread of the disease and is urging its members to implement strict monitoring, biosecurity measures and proper guidance for producers.
In a statement, the association stressed that the flawless and coordinated functioning of the state mechanism is essential to prevent the worst-case scenario and safeguard livestock farming and milk production in the country.
