During 2020, Central American imports of infant formula for infant feeding packaged for retail sale totaled $134 million, an amount that is 9% lower than the amount reported in 2019.
Figures from the Trade Intelligence Unit of CentralAmericaData: [GRAFICA caption="Click to interact with the graph"]
Because the level of rainfall forecast for the winter is expected to favor livestock activity, entrepreneurs in the sector expect local production of meat and milk to grow during 2021.
Experts predict that this year's winter conditions will lead to an increase in green pasture for cattle. This factor will boost milk and meat production.
In order to reactivate Guatemalan dairy exports to Honduras, the Guatemalan Ministry of Economy formally requested the health authorities of the neighboring country to proceed to certify three companies that completed the requested requirements.
The national companies have already complied with all the requirements established by the Honduran National Agrifood Health and Safety Service (SENASA) to sell their products in the Honduran market, informed the Ministry of Economy (Mineco).
As a result of the blockade that has been in place since July 2020 on the entry of animal products from Costa Rica into the Panamanian market, Costa Rican exports to Panama are reported to have fallen and companies such as Dos Pinos are reporting losses in the millions.
The trade conflict began when Panama informed the National Animal Health Service (SENASA), an agency of Costa Rica's Ministry of Agriculture and Livestock (MAG), of the decision not to extend export authorization to a list of previously authorized Costa Rican establishments that have been trading in the Panamanian market for many years.
From January to June 2020, trade in milk and dairy products between Central American countries totaled $183 million, 19% more than what was recorded in the same period of 2019.
Figures from the Trade Intelligence Unit of CentralAmericaData: [GRAFICA caption="Click to interact with the graph"]
From January to July 2020, companies in the countries of the region imported from Mexico infant and toddler formulas for $57 million, and 50% was purchased by companies in Honduras and Nicaragua.
Figures from the Trade Intelligence Unit of CentralAmericaData: [GRAFICA caption="Click to interact with graphic"]
Following what began as a blockade by Panama on the entry of animal products from Costa Rica, a formal proposal has been made to apply an import tariff to Costa Rican dairy products marketed in the Panamanian market.
In July of this year, Panama informed the National Animal Health Service (SENASA), an agency of the Costa Rican Ministry of Agriculture and Livestock (MAG), of the decision not to extend the export authorization to a list of Costa Rican establishments previously authorized and that have been trading in the Panamanian market for many years.
In Nicaragua, from January to July of this year, exports of livestock products totaled $449 million, 16% more than reported for the same period in 2019, mainly due to increased sales of beef.
Figures from the Export Processing Center (Cetrex) indicate that between January and July 2019 and the same period this year, foreign sales of livestock products increased from $388 million to $449 million.
Arguing that quality and health standards are not being met, Salvadoran farmers are asking for greater controls on milk products entering from Nicaragua and Honduras.
CentralAmericaData reports that from January to September 2019 El Salvador was the main buyer of milk and dairy products from the other Central American countries, importing $106 million, of which $78 million was bought from Nicaragua, $14 million from Costa Rica and another $13 million from Honduras.
From January to September 2019, trade in milk and dairy products among the countries of the region reached $245 million, 2% more than in the same period in 2018.
Figures from the Trade Intelligence Unit at CentralAmericaData: [GRAFICA caption="Click to interact with graphics"]
Guatemalan producers say the Honduran authorities refuse to inspect their plants, preventing them from exporting milk to that market, so they ask the Guatemalan Ministry of Economy to apply reciprocal measures.
According to the directors of the Dairy Development Association (Asodel) and the Chamber of Dairy Producers of Guatemala, with the aim of authorizing sanitary permits, a year ago they waited for the National Agrifood Health and Safety Service (Senasa) of Honduras to visit the production plants, but the Honduran authorities refused to do so.
From January to March of this year, trade in milk and dairy products between the countries of the region totaled $78 million, 2% more than in the same period in 2018.
Figures from the Trade Intelligence Unit of CentralAmericaData: [GRAFICA caption="Click to interact with graphic"]