Costa Rica's Dairy Industry: A Comprehensive Analysis
Key Dairy Production Statistics
Costa Rica's dairy sector is fundamental to its national economy, supported by approximately 360,000 dairy cattle. Annually, the country produces around 1.1 billion liters of milk, with daily outputs reaching approximately 3.3 million liters of raw milk. This production is spread across 28,000 predominantly small to medium-sized family farms.
Out of the total milk produced, about 900 million liters are processed into various dairy products. Notably, Costa Rica produces approximately 40,000 metric tons of cheese and 10,000 metric tons of milk powder and whey each year.
Key Enterprises and Farms
The Cooperativa de Productores de Leche R.L. (Dos Pinos) is the largest dairy cooperative in Costa Rica, playing a crucial role in milk processing and production. Florida Bebidas is another significant contributor, known for its diverse dairy beverage range. Numerous small and medium-sized local dairy farms also play an essential role in supporting the national milk supply.
Trade of Dairy Products
Costa Rica exports approximately 100 million liters of milk annually, with the primary markets being neighboring Central American countries. On the import side, the country brings in about 50 million liters of dairy products each 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 pivotal for Costa Rica's dairy industry, reducing tariffs on imports and exports and facilitating increased trade and competition. Furthermore, advancements in dairy processing technology have enhanced efficiency and product quality, strengthening Costa Rica's international market position.
A notable development was the WTO ruling favoring Costa Rica in a trade dispute with Panama regarding import restrictions. However, local dairy producers have expressed criticism 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 decision.
Challenges and Opportunities
The opening of Costa Rica's market to U.S. products poses challenges, particularly for small producers concerned about insufficient government support compared to the strong institutional backing U.S. competitors receive. Despite these challenges, the industry employs 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.
Regional Highlights
San Carlos stands out as the most productive zone in Costa Rica, bolstering its export profile and maintaining its cheese-making tradition in Central America. The region hosted the 6th Meeting of Young Dairy Producers, attended by about 220 participants from eight countries.
The National Animal Health Service of Costa Rica has approved 43 dairy plants from the United States for exporting dairy products to Costa Rica, with the approval process taking less than eight months, a decision that has raised concerns among local dairy producers. This is part of a broader strategy to enhance trade relations and ensure a steady supply of dairy products.
In Guanacaste, dairy farmers have achieved a 20% increase in milk production during the dry season, attributed to the adoption of sustainable livestock farming and improved production practices, essential in overcoming challenges posed by the dry climate.
Modified: 2026/02/16