Brazil: CNA files dumping investigation request against Argentine powdered milk

Published 2024년 8월 6일

Tridge summary

The Brazilian Agriculture and Livestock Confederation (CNA) has approached the Ministry of Development, Industry, Commerce and Services (MDIC) with a request to launch an investigation into the alleged dumping of powdered milk from Argentina. This step is taken in response to Argentina's milk production subsidies, which CNA believes have created an unfair trade environment and undermined the competitiveness of Brazilian dairy products. These subsidies are seen as the root cause of artificially low prices and detrimental effects on Brazil's dairy sector, including a decline in domestic milk production, reduced profit margins for farmers, and a threat to the sector's growth. Import data reveals that Brazil has imported significant volumes of milk powder, mainly in the form of skimmed and full milk powder, primarily from Mercosur countries like Argentina, over the past three years. The CNA is hopeful that the MDIC will expedite the investigation, which could take up to 18 months, to address the concerns surrounding subsidized dairy products and their impact on the Brazilian dairy industry.
Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

The Brazilian Agriculture and Livestock Confederation (CNA) filed, on Thursday (1st), with the Ministry of Development, Industry, Commerce and Services (MDIC), a petition to investigate the practice of dumping against powdered milk from Argentina. For the CNA, the measure is a way to correct Argentina's unfair trade distortions in milk production throughout 2023. “Despite the prevalence of the free market, Argentina, the main country of origin, responsible for half of the volume, applied direct subsidies to milk production, generating artificiality in prices and unfair competition with the Brazilian product”, explains the technical advisor at National Dairy Cattle Farming Commission, Guilherme Dias. As a result, the introduction of subsidized milk powder harms national milk production, reduces livestock farmers' margins, limits the sector's growth and causes the abandonment of the activity. The total volume of dairy imports amounted to 4.29 billion liters in the last three years. ...

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