Colombia: How did the FTA TRQs end in 2020?

Colombian companies are actively waiting for the renewal of duty-free quotas for important agricultural products like yellow and white corn, powdered milk, and certain dairy products from the United States and the European Union, expected to occur on January 1, 2021. This anticipation is driven by the past trend of making significant purchases of these goods in the early days of the year to ensure acquisition before the quota limits are reached. The history of previous quotas' consumption has shown that they often get completely used up before the year's end. This strategic behavior allows companies to avoid payment of fees for these products, which are crucial for various applications, including animal feed and human consumption. The article highlights the significant consumption rates of some products under the free trade agreements, such as corn and formula milk from the EU, while noting that the quotas for other products like cheese, yogurt, and confectionery have not been as widely used. This dynamic underscores the strategic importance of these trade agreements for Colombian industry and the critical role they play in shaping purchasing decisions and market dynamics.