No, the reason is the end to the milk quota system and market adapting to the new reality. At first the price of milk plunged and production went down, but then

No, the reason is the end to the milk quota system and market adapting to the new reality. At first the price of milk plunged and production went down, but then demand for milk fat (mainly) shot up. Butter was very expensive in many EU countries for a while, now returning to lower prices as production again rises. So the farmers are not throwing milk away because of EU regulation, on the contrary, currently they can sell everything they produce. And if they overproduce, it's not a failure of the EU regulation anymore.