|
|
|
|
|
|
"The New Frontier"
Space exploration usually comes to mind when you mention the new frontier. But the increasing international trade in U.S. agricultural products in general, and dairy products in particular, represents another new frontier. The United States is the world's single largest producer of milk, with a year-round production that means we can supply customers with quality products on a consistent basis.
The U.S. dairy industry has come to realize that long-term success in exporting depends on commitment by producers and exporters in building a solid market for high-value dairy products. This commitment has become evident in recent years with the boom in exports of many U.S. dairy products. U.S. ice cream has established an international reputation for quality and consistency, while cheese exports have set sales records for the last five years.
In the articles in this issue, you will see the commitment to exports that the dairy industry has made, from the small cheese manufacturer/processor in Vermont who is expanding Cheddar cheese exports to the United Kingdom, to the food technologist in California finding new uses for high-quality whey for human consumption.
Its growing commitment to and greater participation in the international market has heightened the U.S. dairy industry's awareness of the unevenness of the playing field. As a result, the industry has become more assertive in protecting its rights by urging the U.S. government to pursue policy disputes with two of its leading trade partners that are attempting to circumvent World Trade Organization limits on export subsidies. One of these problesm is Canada's two-tiered pricing scheme; the other is the European Union's subsidies on processed cheese.
The U.S. dairy industry has redoubled its commitment to expanding exports while undergoing a consolidation that will result in economies of scale and allow the United States to be more competitive. Not only does the dairy industry express support for trade; it backs it with funds, proposing to spend $46 million over the next four years on market development. This initiative is expected to yield a better-than-75-percent increase in the total volume of U.S. dairy exports. And U.S. dairy producers are becoming more sophisticated, producing high-value products that consumers want -- rather than trying to sell excess production of basic commodities. This fundamental shift in thinking will be the driving force that launches the United States into the new frontier, not just as a pioneer, but as a leader among the countries attempting to dominate the world dairy market.
John Reddington, Director
FAS Dairy, Livestock, and Poultry Division
|
|