Averting “catastrophe”: Regulatory extension keeps US infant formula flowing to the EU

12 Aug 2021 --- US dairy companies will now have until January 15, 2022, to comply with the EU’s new health certificate requirements for dairy products entering or passing through the EU. The extension wards off threats to shut down non-compliant US dairy exports of infant and adult nutrition products destined for or passing through the EU. 

The decision comes after months of advocacy by the International Dairy Foods Association (IDFA), which requested an extension until December 2023 to comply with the “onerous” regulation designed to mitigate animal disease.

“This extension helps avoid needless catastrophic impacts to global nutrition supply chains and dairy-related jobs in Europe and the US by granting officials enough time to provide guidance to those companies that simply want to know how to comply,” says Becky Rasdall, vice president for trade policy and international affairs at IDFA. 

A need for supply 
US dairy exports to Europe are used to manufacture an estimated US$600-900 million in global infant and adult nutrition products. 

Moreover, many IDFA member companies supply medically important and specialized nutritional products exclusively for European companies.

In a letter to the European Commission (EC) last month, IDFA’s president Michael Dykes wrote that the association was “deeply troubled by the potential crisis looming in global supply chains for these specialized nutritional products.” He remarked that vulnerable populations would be most at risk if these products would not be available. 

US dairy exports to Europe are used to manufacture an estimated US$600-900 million in global infant and adult nutrition products.Too much red tape?
While Dykes says he appreciates the US government’s responsiveness and for the EC’s acknowledgment to delay implementation, some aspects of the law still appear “trade‐restrictive.” 

IDFA and some US officials consider the certificate requirements – requiring animal health monitoring and veterinarian sign-off, among other mandates – to be burdensome and in conflict with international standards set by the World Organisation for Animal Health (OIE).

“America’s dairy industry should not be collateral damage for trade disputes. While this stage of IDFA’s advocacy has reached a successful conclusion, we remain deeply concerned by the variety of ongoing trade barriers erected by the EC,” says Dykes. 

Partners to improve trade
IDFA has been working judiciously with US officials to ensure US dairy exports to the EU would continue uninterrupted. IDFA requested the extension and sought the US government’s support to implement the requirements as written if an extension was not granted. 

Even with the extension, IDFA’s members need greater clarity from both governments about certain details of the implementation plan. 

IDFA will continue working with the US Department of Agriculture (USDA) and the Office of the US Trade Representative to make sure those questions are resolved. 

Additionally, IDFA has been in contact with European dairy associations such as Eucolait, which share IDFA’s view on the disruptive nature of the EC requirements.  

In its continued quest to make food safer for the EU, the EC has also lowered the acceptable level of cadmium and lead in baby food and produce. 

Edited by Missy Green

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