Dairy UK Skeptical of NMPF's Proposal for Low-Tariff US Dairy Exports
Source: The DairyNews
While the National Milk Producers' Federation (NMPF) views its talks with the UK in December 2023 as a strengthening of ties, Dairy UK, among other industry representatives, expresses skepticism about the likelihood of the proposed policy becoming a reality.
The NMPF, represented by executives Jaime Castaneda and Shawna Morris, engaged in discussions with various UK trade bodies and government representatives, including UK farming minister Mark Spencer, Dairy UK, the National Farmers' Union, the UK Food and Drink Federation, and the British Retail Consortium. The focus of the talks was the NMPF's efforts to reduce UK tariffs and address certificate issues for US dairy exports.
The NMPF contends that US dairy exports have been sidelined while the UK has negotiated trade deals with countries like New Zealand and Australia, along with maintaining tariff-free access to the EU market post-Brexit. In response, the NMPF and the US Dairy Export Council proposed a temporary two-year tariff cut process to lower the UK's World Trade Organization Most Favored Nation tariffs on dairy products.
Additionally, the US organizations requested the UK to designate most US dairy exports as low-risk under the new Border Target Operating Model, a policy categorizing products of animal origin based on risk levels. The current classification for most dairy products from non-EU countries is medium-risk, but some countries, including New Zealand and Canada, enjoy low-risk designations for specific dairy products.
Despite the NMPF's optimism about the talks, Dairy UK and industry representatives in the UK downplay the chances of the proposed policy progressing. The skepticism highlights the complexities of international trade negotiations and the challenges in altering tariff structures for dairy products.
The NMPF contends that US dairy exports have been sidelined while the UK has negotiated trade deals with countries like New Zealand and Australia, along with maintaining tariff-free access to the EU market post-Brexit. In response, the NMPF and the US Dairy Export Council proposed a temporary two-year tariff cut process to lower the UK's World Trade Organization Most Favored Nation tariffs on dairy products.
Additionally, the US organizations requested the UK to designate most US dairy exports as low-risk under the new Border Target Operating Model, a policy categorizing products of animal origin based on risk levels. The current classification for most dairy products from non-EU countries is medium-risk, but some countries, including New Zealand and Canada, enjoy low-risk designations for specific dairy products.
Despite the NMPF's optimism about the talks, Dairy UK and industry representatives in the UK downplay the chances of the proposed policy progressing. The skepticism highlights the complexities of international trade negotiations and the challenges in altering tariff structures for dairy products.
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