Costa Rica's Dairy Industry: A Comprehensive Analysis
Key Dairy Production Statistics
Costa Rica's dairy sector is a crucial component of its national economy, with approximately 360,000 dairy cattle contributing to the production of around 1.1 billion liters of milk annually. This impressive output is managed across 28,000 dairy farms, predominantly small to medium-sized family operations. Daily milk production in Costa Rica stands at approximately 3.3 million liters of raw milk.
Of the total milk production, about 900 million liters are processed into various dairy products each year. This includes the production of approximately 40,000 metric tons of cheese and 10,000 metric tons of milk powder and whey.
Key Enterprises and Farms
The Cooperativa de Productores de Leche R.L. (Dos Pinos) is the largest dairy cooperative in Costa Rica, playing a vital role in the processing and production of milk. Other significant contributors include Florida Bebidas, known for its diverse range of dairy beverages. In addition, numerous small and medium-sized local dairy farms significantly support the national milk supply.
Trade of Dairy Products
Costa Rica exports approximately 100 million liters of milk annually, with neighboring Central American countries being the primary recipients. On the import side, the country brings in about 50 million liters of dairy products each year, largely consisting of specialized milk products that are 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 for Costa Rica's dairy industry. It has reduced tariffs on imports and exports, facilitating increased trade and competition in the sector. Additionally, advancements in dairy processing technology have enhanced efficiency and product quality, bolstering Costa Rica's position in international markets.
A significant development arose from a WTO ruling favoring Costa Rica in a trade dispute with Panama regarding import restrictions. However, there has been criticism from local dairy producers over the government's decision to ease import regulations for U.S. dairy products, with the Costa Rican National Chamber of Milk Producers (CNPL) expressing "surprise, concern, and indignation" over this unilateral decision.
Challenges and Opportunities
The Costa Rican dairy industry faces challenges due to the recent opening of its market to U.S. products, leading to concerns among small producers about the lack of government support in comparison to the strong institutional backing U.S. competitors receive. Despite these challenges, the industry continues to provide employment for 500,000 people.
Costa Rica is set to host the VI Pan-American Meeting of Young Dairy Farmers in 2025, an event aimed at empowering young leaders in the dairy industry across the continent.
San Carlos: The Dairy Heart of Dos Pinos
San Carlos is the most productive zone in Costa Rica, strengthening its export profile and maintaining its cheese-making tradition in Central America. The location was also the site of the 6th Meeting of Young Dairy Producers, attended by about 220 participants from eight countries.
Modified: 2025/10/23