Tag: colombia dairy trade

U.S. Secures Continued Tariff-Free Access to Colombian Market

Posted on by Rachel Ravencraft

NMPF efforts with the U.S. Dairy Export Council against a meritless Colombian investigation into milk power efforts paid off with a Dec. 30 Colombian government decision to terminate an ongoing case and not impose tariffs.  

The Colombian Ministry of Commerce, Industry and Tourism decision to dismiss a Subsidies and Countervailing Measures investigation on milk powder imports from the United States due to lack of merit came after extensive U.S. government collaboration with NMPF, USDEC and their members in successfully rebut Colombia’s allegations.  

NMPF and USDEC coordinated a multi-faceted response to the case, which was launched in 2024. It alleged, without factual basis, that U.S. milk powders were unfairly subsidized and harmed Colombian dairy producers. NMPF and USDEC demonstrated that the Colombian government’s methodology was flawed, that assumed benefits to the U.S. dairy industry were miscalculated, and that no evidence of harm to Colombia’s domestic dairy sector could be substantiated. 

“The U.S. dairy industry secured hard-won access to the Colombian market more than a decade ago, and as of this year tariffs have now fully phased out,” said Gregg Doud, president and CEO of NMPF, in a statement after the decision. “Attempts to restrict U.S. access through bogus claims and misused trade tools set a dangerous precedent not only for dairy exports but for all U.S. trade. We commend the U.S. government and our members for working with us to coordinate a strong, credible defense and to send a clear message that efforts to evade trade agreement commitments will not be tolerated.” 

NMPF and USDEC Executive Vice President Jaime Castaneda testified on behalf of the U.S. dairy industry at an October 2024 hearing, clarifying how USDA programs work to refute the unfounded claims by Colombian producers. Colombia initially imposed preliminary countervailing duties of 4.86% on U.S. milk powder imports but chose not to extend them when the temporary measures expired in January 2025, following the sustained campaign coordinated by NMPF and USDEC.  

U.S. dairy exports to Colombia exceeded $128 million in 2024. Tariffs on U.S. dairy products were fully eliminated at the beginning of 2026 under the U.S.-Colombia Free Trade Agreement, which NMPF and USDEC worked with the U.S. government to secure in 2012. 

U.S. Secures Continued Tariff-Free Access to Colombian Market

Posted on by Rachel Ravencraft

The National Milk Producers Federation and U.S. Dairy Export Council welcomed the Colombian government’s decision to dismiss a Subsidies and Countervailing Measures investigation on milk powder imports from the United States due to lack of merit. The organizations expressed deep appreciation to the U.S. government for its collaboration with NMPF, USDEC and their members in successfully rebutting Colombia’s allegations.

NMPF and USDEC coordinated a multi-faceted response to the case, which was launched in 2024 and alleged, without factual basis, that U.S. milk powders were unfairly subsidized and harmed Colombian dairy producers. Working closely with U.S. government officials, member companies and cooperatives, and Colombian industry partners, NMPF and USDEC demonstrated that the Colombian government’s methodology was flawed, that assumed benefits to the U.S. dairy industry were miscalculated, and that no evidence of harm to Colombia’s domestic dairy sector could be substantiated.

“The U.S. dairy industry secured hard-won access to the Colombian market more than a decade ago, and as of this year tariffs have now fully phased out,” said Gregg Doud, president and CEO of NMPF. “Attempts to restrict U.S. access through bogus claims and misused trade tools set a dangerous precedent not only for dairy exports but for all U.S. trade. We commend the U.S. government and our members for working with us to coordinate a strong, credible defense and to send a clear message that efforts to evade trade agreement commitments will not be tolerated.”

“U.S. dairy producers and processors expect our trading partners to honor their market access commitments,” said Krysta Harden, president and CEO of USDEC. “USDEC thanks the U.S. government in Washington and Bogota, as well as our members, for their support in presenting overwhelming evidence to rebut Colombia’s politically driven investigation. We welcome Colombia’s decision to abandon the case and maintain zero-tariff access for U.S. dairy exports in this important market.”

Jaime Castaneda, executive vice president for policy development and strategy for NMPF and USDEC, testified on behalf of the U.S. dairy industry at an October 2024 hearing, clarifying how USDA programs work to refute the unfounded claims by Colombian producers. Colombia initially imposed preliminary countervailing duties of 4.86% on U.S. milk powder imports but chose not to extend them when the temporary measures expired in January 2025, following the sustained campaign coordinated by NMPF and USDEC.

The Colombian Ministry of Commerce, Industry and Tourism formally terminated the investigation on Dec. 30, 2025, determining that no additional tariffs were warranted.

U.S. dairy exports to Colombia exceeded $128 million in 2024. Tariffs on U.S. dairy products were fully eliminated at the beginning of 2026 under the U.S.-Colombia Free Trade Agreement, which NMPF and USDEC worked with the U.S. government to secure in 2012.

NMPF Leads Fight Against Colombian Investigation, Tariffs

Posted on by Theresa Sweeney

NMPF and the U.S. Dairy Export Council called on the U.S. government to respond forcefully to the Colombian government’s Sept. 16 provisional decision to impose an additional 4.86% tariff on milk powder imports from the United States as part of its politically motivated Subsidies and Countervailing Measures investigation.

The decision alleges without any credible evidence that the United States has unduly subsidized milk powder exports, damaging Colombian dairy producers. Since the announcement of the subsidies and countervailing measures investigation in July, NMPF and USDEC have aligned efforts with their members and the U.S. government to respond to Colombia’s questionnaires, strongly rejecting the investigation’s allegations and arguing that:

  • The benefits of the alleged subsidies to U.S. dairy producers identified by the Colombian Investigative Authority were calculated incorrectly. In multiple cases, benefits were assigned from programs that were no longer in force by 2023 or assigned in a manner contrary to World Trade Organization rules;
  • The methodologies for both the transfer of the alleged subsidies to U.S. milk powder producers and the conversion factors from fluid milk to milk powder as proposed by the Investigative Authority were incorrect;
  • Due to different physical characteristics and end uses, Colombia failed to demonstrate that milk powder imports originating in the United States are comparable to fluid milk produced in Colombia, a key similarity element required in countervailing duty cases; and
  • There is no evidence that the domestic Colombian industry has suffered injury as a result of imports of milk powder originating in the United States.

NMPF and USDEC have pushed the U.S. government to immediately and forcefully respond to the unwarranted tariffs.

The tariffs, it’s important to note, are only preliminary. Colombia will consider whether to increase, decrease or eliminate them as the investigation moves forward. NMPF will continue to participate in the subsidies and countervailing duty investigation, including by participating in an Oct. 3 hearing on the case, and engage political allies as needed.

Please contact Jaime Castaneda at jcastaneda@nmpf.org with any questions about this investigation.

NMPF’s Castaneda on Colombian Trade, FMMO

Posted on by Rachel Ravencraft

NMPF Executive Vice President, Policy Development & Strategy Jaime Castaneda discusses potential dairy trade issues between the U.S. and Colombia, the latest on FMMO updates, and common food names with host Jesse Allen on this Agriculture of America podcast.

NMPF Works to Preserve Market Access in Colombia

Posted on by Theresa Sweeney

NMPF Executive Vice President for Policy Development and Strategy Jaime Castaneda testified in a hearing convened Aug. 12 by the Colombian Ministry of Trade, Industry and Tourism, calling on the Colombian government to terminate its safeguard investigation on imports of U.S. milk powder.

The Colombian government began the investigation in June to determine whether imports of U.S. milk powders were injuring its domestic industry, a move that appears to be politically driven. NMPF staff worked closely with USDEC’s regulatory team and South American office, as well as with U.S. exporters, to submit extensive data and information to Colombia to counter the Colombian livestock sector’s push to impose tariffs on U.S. milk powder exports.

Castaneda in his testimony highlighted that any imposed safeguard would create inefficiencies in the Colombian dairy processing sector and a market deficit of certain dairy products in Colombia, without helping its dairy producers. Castaneda called the safeguard request by Colombia’s cattle breeders purely political with no legal or factual basis.

“The milk powder import safeguards petition is a political action pursued in the months leading up to a presidential campaign at the expense of Colombia’s poorest and import-dependent small and medium-sized industries; it has no economic or commercial merit,” Castaneda said in his testimony. “By imposing a political safeguard, the Colombian government would create a serious conflict between Colombia and the United States, impacting Colombian exports of other products to the U.S.”

Castaneda encouraged the U.S. and Columbia to work together to expand overall milk consumption, benefiting farmers in both nations.

NMPF Works to Prevent Barriers in Colombia

Posted on by Theresa Sweeney

NMPF and USDEC in July steadily worked to prevent potential trade barriers in trade with Colombia, working with governments in both countries to keep commerce open.

The Colombian Ministry of Commerce, Industry and Tourism formally announced on June 21 the launch of an investigation into imports of U.S. milk powder to determine whether U.S. product has negatively impacted Colombia’s local industry.

Sparked by a vocal domestic industry, the Colombian government’s investigation appears to be a politically driven attempt to impose additional tariffs under a safeguard mechanism. NMPF and USDEC’s trade policy team, working with USDEC regulatory staff, met with USDA’s Foreign Agricultural Service in early July to urge the U.S. government to engage the Colombian government in opposition to any potential safeguard. NMPF and USDEC have also reached out to seek the support of Colombian buyers in opposition to any safeguard.

While safeguards are allowed to be imposed under the U.S.-Colombia bilateral trade agreement if a domestic industry is “injured” from increased imports, the Colombian government must follow specific procedures in doing so. NMPF and USDEC, along with several USDEC members, submitted official comments and relevant data to the Colombian government on July 12. The next step is to await the findings and ruling on the investigation.