U.S.-Ecuador Agreement Improves Access to Tightly Restricted Dairy Market

ARLINGTON, VA – The National Milk Producers Federation, U.S. Dairy Export Council, and the Consortium for Common Food Names praised Friday’s signing of a U.S.–Ecuador agreement on reciprocal trade. The agreement would improve export opportunities for U.S. dairy products in a market that has been plagued by restrictive tariffs and nontariff trade barriers.

The deal is slated to eliminate tariffs on several U.S. dairy products; recognize U.S. regulatory oversight, including commitments to eliminate facility listing requirements and accept dairy certificates issued by U.S. regulatory authorities; overhaul Ecuador’s burdensome import licensing system for agricultural products; and protect 40 common cheese names like “parmesan.” U.S. dairy exporters have faced challenges in these areas in this market.

“Ecuador has long been a difficult market for U.S. dairy exporters to crack,” said Krysta Harden, president and CEO of USDEC. “This agreement puts in place the strong nontariff disciplines needed for U.S. dairy exporters of ingredients and various cheeses to make headway in growing their sales to Ecuador, while also improving the tariff landscape in this market.”

“Ambassador Greer, Ambassador Callahan and the USTR team have racked up yet another win for American dairy farmers with this Ecuador agreement,” said Gregg Doud, president and CEO of NMPF. “With an unprecedented investment in U.S. dairy manufacturing capacity, deals like this are vital to making it easier for international buyers to source the great products our dairy companies are making.”

“The European Union has been working aggressively in Ecuador for several years now to pursue market restrictions impacting sales opportunities for both local product and other non-EU products,” said Jaime Castaneda, executive director of CCFN. “Our thanks to the USTR team, in particular Ambassador Callahan, for delivering strong common names protection that will provide greater opportunities to sell U.S. products like ‘parmesan’ and ‘bologna’ in a growing region of Latin America.”

The agreement is the tenth trade deal secured to date by the Administration that includes new market access for U.S. dairy products. USDEC, NMPF and CCFN remain committed to working with the Administration to support implementation of the agreement’s provisions.