Costa Rica's Dairy Industry: A Comprehensive Analysis
Key Dairy Production Statistics
Costa Rica boasts a robust dairy industry, housing approximately 360,000 dairy cattle. The nation produces around 1.1 billion liters of milk annually, which underscores its importance to the national economy. Of the total production, about 900 million liters are processed into various dairy products, with around 40,000 metric tons of cheese produced each year. The country also produces approximately 10,000 metric tons of milk powder and whey annually.
Daily milk production stands at approximately 3.3 million liters of raw milk, managed across 28,000 dairy farms, most of which are small to medium-sized family operations.
Key Enterprises and Farms
The largest dairy cooperative in Costa Rica is the Cooperativa de Productores de Leche R.L. (Dos Pinos), which plays a crucial role in milk processing and production. Other important players include Florida Bebidas, known for its range of dairy beverages. Numerous small and medium-sized local dairy farms also significantly contribute to the milk supply.
Trade of Dairy Products
Costa Rica exports about 100 million liters of milk annually, primarily to neighboring Central American countries. On the import side, the country brings in approximately 50 million liters of dairy products per year, mainly specialized milk products not produced domestically.
Significant Events in the Dairy Market
The implementation of the Central America-Dominican Republic Free Trade Agreement (CAFTA) has been a pivotal event, reducing tariffs on imports and exports and facilitating increased trade and competition in the dairy sector. Advancements in dairy processing technology have enhanced efficiency and product quality, strengthening Costa Rica's position in international markets.
In a significant development, a WTO ruling favored Costa Rica in a trade dispute with Panama regarding import restrictions. However, Costa Rican dairy producers have expressed criticism over the government's decision to ease import regulations for U.S. dairy products. The Costa Rican National Chamber of Milk Producers (CNPL) has voiced its "surprise, concern, and indignation" at the government's unilateral decision to relax import approval procedures for these products.
Challenges and Opportunities
Costa Rica's dairy industry faces challenges with the recent opening of its market to U.S. products. Small producers are concerned about the lack of government support, exacerbated by the superior institutional backing U.S. competitors receive. Despite producing 3.3 million liters of milk daily and generating employment for 500,000 people, the local industry struggles with high production costs compared to international counterparts.
Costa Rica is preparing to host the VI Pan-American Meeting of Young Dairy Farmers in 2025, a pivotal event aimed at empowering young dairy industry leaders across the continent.
San Carlos, the Dairy Heart of Dos Pinos
The most productive zone of the country, San Carlos, strengthens its export profile and upholds the cheese-making tradition in Central America.
Modified: 2025/09/06