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Opening the Dairy Door to the European Union
by Christine Strossman
Europe can be a profitable market for U.S. dairy producers and manufacturers, but first they need to make sure they’re on the list. What list is this?
To gain access to European markets, dairy products must be processed at approved U.S. dairy plants. This is in addition to other regular export requirements. The list of U.S. dairy plants approved for export to the European Union is maintained by the U.S. Food and Drug Administration (FDA), based on compliance history.
Once plants make it on the list, the dairy programs office of USDA’s Agricultural Marketing Service (AMS) provides certifications for dairy and dairy-containing products exported to the EU. These range from anhydrous milkfat and lactose to jalapeņo poppers and mozzarella sticks. The equation is simple: No certificate, no entrance to the EU.
"The EU can be an excellent market for U.S. dairy products," says Tom Suber, executive director of the U.S. Dairy Export Council. "Nobody should let this requirement prevent them from succeeding in this region."
EU consumers know the U.S. dairy products are high quality, said Suber, and he backs up the claim with sales figures. In 1999, EU customers increased their purchase of lactose, whey protein as well as yogurt from the previous year. Sales of U.S. ice cream to Europe in 1999 nearly doubled.
The Dairy Exporters’ Two-Step
Fortunately, the process for getting your product into the EU, while time-consuming, can be boiled down to two parts.
First, contact FDA. The list of approved establishments is submitted to the EU quarterly. It must be approved by the EU before it is published. This whole process can take several months, so it is important to get started as soon as you decide to sell dairy-based products in the EU.
"It’s those exporters who plan ahead who will be able to take advantage of EU business opportunities," said Diane Lewis, vice president of market access and regulatory affairs of the U.S. Dairy Export Council. "If you intend to export to the EU within the next two years, start now and get the approval process out of the way."
Even products containing milk or milk based ingredients in small amounts need to be approved.
The contact information for FDA is provided on the AMS website, at Or you can call FDA directly at (202) 205-4681. The website also provides guidance as to which products are exempt from the requirement. Keep in mind, however, the certification is based on the receiving EU-member state’s requirements. Your broker can verify that certification is not required.
Second, apply to the AMS for U.S. government certification. You will want to do this once your shipment is ready. Instructions on how to get the certificate are also on the AMS website.
It is a good idea to review the instructions ahead of time to make sure you are prepared to provide AMS the required documentation when your product is ready to ship and when you are audited. This will also help with your record keeping.
It is important to keep detailed records. The firm that is requesting the export certificate is required to have these records all the way back to the cows (or goats) that produced the milk. These records must clearly demonstrate compliance with EU requirements for standard plate and somatic cell counts.
Exporter Alert: Norway, Iceland and Liechtenstein
Since Jan. 1, 1999, non-EU countries which are part of the European Economic Area have agreed with the EU to apply their regulations for imported products.
As these countries implement this new requirement, they may start requesting EU certification for products from the United States. Be sure to check whether EU certificates are required before exporting to these countries.
The Dairy List: A Backgrounder
The United States is confident that its domestic food safety controls are at least equivalent to the requirements of the EU. But the EU’s dairy evaluation methods and standards differ slightly from those used in the United States.
In 1997, all parties agreed to certify U.S. dairy products as meeting certain aspects of EU standards before they could be exported.
More Clues on
Reaching the EU
There are some simple things dairy exporters can do to ensure that this special requirement doesn’t give them trouble.
They need to make sure that the labeling, numbers of packages in the shipment and on the bill of lading match the information on their certificates. Ideally, the EU-approved plant number should appear on the packaging.
If that’s not possible, it is a good idea to include both the identification number of the U.S. plant and the EU number on the certificate.
Also, be sure to double- and triple-check the information you send to AMS for certification. It will save you headaches later on when customs officials review the documents. Even the smallest typo, transposition of numbers or variation in labeling information can lead them to question a certificate.
"Exporters should also be aware that the EU requirements are umbrella regulations; in addition, each country has its own set of laws and regulations affecting imported dairy products," said Lewis.
She recommends that new and veteran exporters alike should review the U.S. Dairy Export Counsel’s export manual. This three-volume desk reference combines technical country requirements and trade information in one convenient package.
Knowing the requirements of each country is important. For example, it would be a shame to get EU health certification for France, only to have your shipment rejected at port because you failed to print it out in French.
Work with your importer to make sure that your products meet all country requirements–not just the EU’s.
It’s Not Just
a Milk Thing
Even if your product has a low dairy content, it’s a good idea to check with the authorities ahead of time to make sure that your shipment has the required documentation. The FAS foreign posts are also glad to help. You can find a list of foreign posts, along with contact information, at the following website: http://www.fas.usda.gov/scriptsw/fasfield/ovc_frm.asp
What About Product Samples?
If you’re still exploring the marketability of your product in the EU, consider applying for a waiver or special import license for product samples. This can come in handy for small shipments for food shows.
FAS has marketing experts and agricultural attaches stationed overseas who can help you find out if waivers or special licenses are available in your target country and what the requirements are. Or call FAS’ office of International Trade Policy in Washington, DC, at (202) 720-1340.
Got Questions? Get Answers!
Getting on the list sounds simple enough, but following any new export requirement can be confusing.
For in-depth information, go to the Agricultural Marketing Service’s website at the following address: http://www.ams.usda.gov/AMSv1.0/ams.fetchTemplateData.do?template=TemplateM&navID=FindaListofDairyApprovedPlants&rightNav1=FindaListofDairyApprovedPlants&topNav=&leftNav=GradingCertificationandVerfication&page=DairyGrading&resultType=&acct=grddairy under the heading, "European Union Health Certification Program."
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The author is an economist with FAS’ Dairy, Livestock and Poultry Division in Washington, D.C. Tel.: (202) 720-0091; Fax: (202) 720-2079; E-mail: strossman@fas.usda.gov
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