US flags India's dairy import rules at WTO, calls them 'trade barriers'

The US told the WTO that India's updated dairy certificate remains trade-restrictive and unscientific, raising concerns as both sides negotiate a broader bilateral trade agreement

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The United States has once again raised concerns at the World Trade Organisation (WTO) over India’s dairy import certification rules, calling them “unnecessary trade barriers” that limit access for American exporters, The Economic Times reported. 

India, the world’s largest milk producer, requires a detailed veterinary health certificate for all milk and dairy imports. This certificate must confirm that the products are free from drugs, antibiotics, pesticides, and heavy metal residues. However, the US maintains that such measures should be grounded in science and not overly restrictive to trade. 

During a recent WTO meeting, Washington reiterated concerns it had already raised earlier in April this year. The US said India’s updated certificate, which took effect in November 2024, still fails to resolve the issues. “As a result, we remain concerned that India’s certificate requirements present unnecessary trade barriers for US dairy exports to India's market,” the US told the WTO.   

 

US wants science-based standards

India’s integrated certificate must be issued and verified by the exporting country’s competent authority. The US argues that while protecting public health is important, such policies must be based on risk assessment and scientific principles, and should not be more restrictive than necessary, The Economic Times report mentioned. 

The matter remains a sticking point in the ongoing trade negotiations between the two countries. India has firmly opposed opening its dairy and agriculture sectors to greater foreign competition.

 

India cautions against US dairy imports in trade talks

India is urging caution in its trade talks with the US. Officials and industry leaders say opening up the dairy sector could harm the livelihoods of millions of small-scale farmers, news agency Reuters reported. 

Quoting industry representatives, Reuters reported that India’s focus in trade negotiations is to avoid any market disruption from potential surges in cheap US dairy imports. 

  “It is necessary that we do not give them very cheap access to our markets,” said Jayen Mehta, managing director of the Gujarat Co-operative Milk Marketing Federation Ltd (GCMMF), which owns dairy giant Amul. 

“They are intended to dump their surplus in our country, which we cannot afford,” Mehta said.

  In India, most dairy farmers keep only two to three animals, unlike their American counterparts who often manage herds in the hundreds. This vast difference in scale makes Indian farmers more vulnerable to global price competition, the news report said.

India’s dairy sector feeds over 1.4 billion people and supports around 80 million farmers, most of whom live in rural areas. India produces nearly a quarter of the world’s milk, with an output of 239 million metric tonnes — more than double that of the US. The industry is estimated to be worth $16.8 billion.   

 

Amul tops India’s food brand rankings

Gujarat-based dairy cooperative Amul has once again secured the title of India's top food brand, with a brand value of $4.1 billion, according to the latest report by UK consultancy Brand Finance. 

Delhi’s Mother Dairy came in second with a brand value of $1.15 billion, followed by Britannia at third, Karnataka’s Nandini at fourth, and FMCG major Dabur at fifth. 

Amul also improved its overall rank in Brand Finance’s list of the top 100 Indian brands across industries, moving up to 17th position. Mother Dairy advanced six spots to reach 35th place, up from 41st in the previous edition.