The U.S. dairy industry, which supports more than 3 million jobs in the United States and pumps $779 billion into the U.S. economy, relies on trade agreements to open new markets and increase exports. After being a net importer of dairy products a decade ago, the United States exported $8.2 billion in dairy products in 2024 to 133 countries. U.S. dairy exports have more than quadrupled since the early 2000s, and today, approximately one day’s worth of milk produced each week is exported, or a little over 18% of all production. As U.S. milk production is expected to continue increasing over the next decade while other dairy-producing competitors see decreasing production, new trade agreements will become even more vital to ensure the global competitiveness of the U.S. industry and to boost the American economy.
IDFA advocates for the protection of existing trade agreements and the development of new, tariff-reducing trade agreements in order to ensure U.S. dairy products are globally competitive. At the same time, IDFA’s members represent a globalized dairy supply chain that also relies on imported inputs, equipment, packaging, and specialty goods.
IDFA recognizes the U.S. dairy industry’s needs for equitable and transparent agreements that provide certainty, create preferential access, open markets and eliminate barriers. IDFA also recognizes the need for market certainty, supply chain resilience, and strong relationships with trading partners. IDFA advocates for all of these things by collaborating with the Administration to elevate U.S. dairy priorities in all trade negotiations, by providing innovative feedback on dairy trade policy priorities, and by emphasizing the industry and economic importance of these agreements to both the Administration and Congress.
Trade could not be a higher priority for our industry, and now more than ever, the United States is poised to be one of the world’s largest suppliers of sustainable dairy products – if we can have policies that support the products getting exported. IDFA’s work with policymakers is leading the way into that future, and we could not be more excited about seeing that future materialize.
MICHAEL DYKES, D.V.M., PRESIDENT & CEO OF THE INTERNATIONAL DAIRY FOODS ASSOCIATION (IDFA)
Whether short, medium, or long-term, IDFA works regularly with members to develop a proactive, strategic approach to the following U.S. dairy trade policy priorities:
Unnecessarily burdensome facility registration and certification measures have proliferated U.S. dairy export markets for too long. IDFA combats these measures globally by developing innovative trade commitments, seeking opportunities to simplify rules where possible, and elevating concerns within relevant trade negotiations.
Indonesia is a great example of a market that would benefit from predictable, streamlined, transparent, and expedited facility registration process for U.S. exports to Indonesia. U.S. dairy exporters currently wait several years to be registered and eligible to ship while paying some of the most exorbitant fees in the world.
The EU is another market that IDFA members identify as having protectionist non-tariff policies that prevent U.S. dairy exports. Given the importance of the bilateral relationship, IDFA seeks common sense reform to expand access into the European market for U.S.-origin specialty cheeses and ingredients, while also maintaining favorable terms for many U.S. dairy importers and processors that represent a wide range of products rely on European imports as an essential part of their business model. A strong two-way trade relationship is important for these companies that not only seek to provide European goods to U.S. consumers, also access to critical ingredients that support U.S. processing of what are ultimately then U.S.-origin products for both domestic consumption and exports. Unfortunately, the EU simply continues to invent new non-tariff barriers to trade. Some examples of this include:
In order to continue expanding our global competitiveness, U.S. dairy needs to strategically approach opportunities for new or expanded access into fast-growing markets.
India
Southeast Asia
China
Mexico
Canada
IDFA supports the reform and modernization of the global trading system under the World Trade Organization (WTO), particularly by advocating for the United States to re-engage in active leadership roles in WTO reform discussions.
IDFA does this by seeking U.S. leadership in reviving agriculture negotiations, innovating opportunities for agriculture-related sustainability discussions, and seeking opportunities to reform and re-establish the Appellate Body, among other things.
IDFA is an active member and leader in the Aggies for WTO Reform coalition and also supports work in important international standard-setting bodies that are referenced by WTO Agreements, like the Codex Alimentarius Commission and International Dairy Federation.
Limit Harmful Fees for U.S. Dairy Exporters
Provide Innovative and Useful Feedback for Trade Negotiations
Want to weigh in? Reach out to us at trade@idfa.org.
Senior Vice President, Trade and Workforce Policy
Manager, Trade and Economic Policy