U.S. dairy exports are currently experiencing a significant increase, reaching record levels, largely due to growing demand from Mexican consumers. Indeed, 80% of Mexico’s imported dairy products come from the United States, as the country faces an annual deficit of 25 to 30% of its milk production. Since 2011, per capita dairy consumption has increased by 20%, reaching 50 pounds per person, driving strong demand for products such as skim milk powder and cheese. As the dairy market grows, Mexico remains the United States’ largest customer, strengthening their trade relationship in this sector. https://www.youtube.com/watch?v=wX6pHsO1txI In recent years, U.S. dairy exports have reached incredible levels, and much of this success can be attributed to Mexican consumers’ insatiable appetite for dairy products. As Mexico becomes the United States’ largest dairy customer, it’s interesting to explore this phenomenon and analyze how this dynamic relationship between the two countries is shaping the dairy market. A booming market In 2023, statistics revealed a real boom in the dairy sector, with U.S. dairy exports totaling approximately $8.11 billion, although this represents a slight decline from previous years. Mexican consumers’ growing interest in these products has largely contributed to this dynamic, allowing the United States to meet unmet domestic demand. Mexican demand: a key factor Mexico faces an annual gap between its milk production and consumption, estimated at between 25 and 30%. The United States has become a key supplier, filling more than 80% of this shortage. According to economists, per capita consumption of dairy products in Mexico has increased by 20% since 2011, reaching 50 pounds per person in 2023, a figure that shows no signs of slowing. Products for Export The dairy products experiencing the highest demand include skim milk powder, which accounts for 45% of total exports. However, increasing attention is also being paid to cheese, whose imports reached 327 million pounds in 2023, with forecasts of an additional 25 million pounds in the coming months. Export ChallengesAmerican exporters are rubbing their hands in the face of this wave of success, but it is not without its challenges. Trade tensions and political difficulties could influence trade agreements and tariffs, potentially affecting exports. However, officials maintain that the USMCA treaty has fostered a favorable business environment, facilitating the smooth flow of trade between the two countries. A Strategy for the FutureWith more than $8 billion invested in new production capacity, the United States is strengthening its leadership position in the dairy market. As Mexican demand continues to increase, manufacturers plan to diversify their offerings by manufacturing extended-shelf-life products that could be shipped without refrigeration to Central American countries. Conclusion: Toward a Promising Future The dream of increased investment and booming exports seems within reach thanks to rising demand from Mexican consumers. The U.S.-Mexico dairy relationship is stronger than ever, and this could pave the way for a bright future for both sides. Export Record:U.S. dairy exports have reached historic levels.
Mexican consumers are showing growing interest in dairy products. Dairy Deficit: Mexico faces a 25-30% deficit in dairy products compared to its production.
Geographic Proximity:
The United States accounts for 80% of Mexico’s dairy imports. Consumption Growth: Per capita consumption of dairy products in Mexico has increased by 20% since 2011.
Various Imports:
Skim milk powders and cheese dominate Mexican imports.
