Formalizing the sector and improving the implementation of sanitary measures would make it possible to exploit the export potential and take advantage of growing international demand.
It has been reported that there are 37 cheese processing plants certified by the Institute of Animal and Plant Health Protection (IPSA), 36 of which make cheese for export.Figures from the Business Intelligence unit at CentralAmericaData com indicate thatin 2015 Nicaragua led the export of milk and milk productsin the region, with $200 million worth of products sold.The country's dairy export potential can be better exploited in order to improve sales of cheese abroad.
Complaints are being made over the sampling process used to verify product quality which is causing delays, forcing goods to be kept at the border for up to 15 days.
The union of the dairy sector in Nicaragua says that the waiting time for the results of the quality test is not supposed to be more than 8 days, but when samples are sent which were taken from El Amatillo to San Salvador, the process is much longer.
An initiative by exporters of dairy products is seeking to meet the requirements for a designation of origin or "country brand" for cheese produced and exported from Nicaragua.
The goal of the Nicaraguan Development Institute (INDE) and the dairy sector is to promote the export of cheese by getting an declaration of origin, as possessed by cheeses exported from El Salvador, produced, in most cases, with Nicaraguan raw material.
The entry into force of an Agreement with the European Union is not an opportunity for Nicaragua's dairy industry, which recognizes that it is not ready for that challenge.
Furthermore, the difficulties in terms of competitiveness extend to other Central American countries, where traceability of livestock products is not implemented, as required by European standards.
The country's livestock sector expects to have exported $500 million worth by the end of 2011, $100 million more than in 2010.
The increase would be driven by the export of meat, currently the country’s second largest export, cattle and cheese, are also among the top 20 selling products abroad.
René Brazier, president of the Nicaraguan National Livestock Commission (Conago in Spanish), explained that the main market for the commercial cuts is still the United States, while Puerto Rico, Venezuela and El Salvador are the largest recipients of select cuts.
Government officials, breeders and industry representatives agreed to reduce dry cheese imports to protect the dairy sector.
The measure is a result of growing complaints from local producers, who argue constant losses in their businesses.
"The Commerce and Industry Secretary, known as SIC, committed to achieving a ministry decree forcing supermarkets to separate dairy products by origin, thus protecting national production", reported El Heraldo.