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US dairy exporters are poised to gain greater access to Argentina following the recent signing of a reciprocal trade and investment agreement.
The deal, concluded between the US and Argentina, eliminates tariffs of up to 28% on select US dairy products, including milk powders, dairy proteins and lactose. It also establishes a 1,000 metric ton quota for certain US cheeses.
Argentina has pledged to curb non-tariff barriers, including facility registration requirements, and to provide protections for 39 commonly used cheese names, such as 'parmesan,' a move seen as crucial for maintaining global product consistency.
“The commitments secured in the US-Argentina reciprocal trade deal bring new, real opportunities for our dairy exports to South America,” said Krysta Harden, CEO of the US Dairy Export Council (USDEC).
Gregg Doud, CEO of the National Milk Producers Federation, highlighted the agreement’s potential to translate into tangible growth for US dairy farmers. “Trade deals like this one bring dairy farmers promise for the future. Dairy farms operate 365 days a year, and the U.S. negotiating team is keeping pace to secure new market access,” he added.
Jaime Castaneda, executive director of the Consortium for Common Food Names, called the protection of common cheese names 'timely,' noting that European Union agreements with the Mercosur bloc risk limiting US exporters’ use of globally recognised product names.
The Argentina deal follows similar reciprocal trade agreements with El Salvador and Guatemala aimed at reducing barriers to US dairy exports. Industry groups said they would continue to collaborate with the US government to convert trade commitments into measurable export growth.
Business implications:
Market access: The removal of tariffs and barriers could increase US dairy competitiveness in Argentina, particularly in high-value segments such as speciality cheeses and dairy ingredients.
Brand protection: Safeguarding common cheese names supports global consistency for US products, critical for brand recognition and compliance in international markets.
Strategic precedent: The deal reinforces the US government’s broader approach of reciprocal trade agreements to expand dairy export opportunities across Latin America.