United States Avoids Closure of Dairy Product Exports to Europe | 2021-08-11
The United States has found a way to avoid the collapse of dairy exports to the European Union while accepting European demands for new health certification requirements, industry officials say.
The domestic dairy industry has feared for months that the new certifications the EU insisted on could cripple trade.
Technical talks are still ongoing between the US and the EU and some details still need to be worked out, but the bulk of a deal has been made, a US industry official said.
Representatives from the US Dairy Export Council and the International Dairy Foods Association said Agri-Pulse that the USDA’s Agricultural Marketing Service has designed a program that will allow American producers to comply with new European requirements while also satisfying the American dairy industry.
The European Commission agreed this week to extend the deadline for new health certificate requirements on U.S. dairy products from August 21 to January 15, which will give U.S. and European officials enough time to resolve outstanding details. . It will also give US producers and exporters enough time to comply with the certificates that US industry officials say they can now meet.
The US dairy industry has vigorously opposed what it sees as onerous and intrusive new health certification requirements, such as frequent inspections for signs of foot-and-mouth disease and rinderpest as well as new record-keeping systems that would store years of cow data. ‘health records and movements.
“The extension for the adaptation of the new EU certificates is important, but secondary to the work of the USDA-AMS and others to establish a new program to meet most of the EU’s demands without create controversial new compliance barriers for US producers and manufacturers, “said USDEC Executive Vice President Jaime Castaneda Agri-Pulse. “We applaud the US government and in particular the USDA-AMS which is implementing this new program without creating burdensome new regulations for the industry.”
The United States ships around $ 100 million worth of dairy products to the EU each year, despite restrictive tariffs and licensing requirements. The EU uses these products to manufacture hundreds of millions of dollars in other products such as nutritional products for infants and adults.
The approximately five-month extension agreed to by the EU will give AMS time to cement the new program that will keep US exports flowing, said Michael Dykes, IDFA president and CEO.
“We are grateful for the support and intervention of the Biden administration to resolve this issue and hope that the US government will continue to work with IDFA to help US dairy products enter the EU market,” he said. said Dykes.
AMS and EU officials did not immediately respond to requests for comment.
Beyond the issue of the health certificate, there are still significant European trade barriers to American dairy products.
“The US dairy industry shouldn’t be collateral damage for trade disputes,” Dykes said. “Although this stage of IDFA’s advocacy has been successful, we remain deeply concerned about the variety of ongoing trade barriers erected by the European Commission.”
And the US dairy industry also doesn’t want to constantly have to deal with the EU’s frequent demand for new health certificate requirements.
The US and the EU must agree on “a compliance system that requires the EU to recognize the US food system without having a rolling target every two years,” Castaneda said. “Time and again the EU uses its agricultural policies to impose new burdens on imports or create disruption in the market due to the threat of new import barriers. “
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