HS Code:
The HS Code subheadings 0402.99.45 and 0402.99.55 refer to specific categories of condensed or evaporated milk, other than in airtight containers, and often include sweetened or unsweetened variants subject to specific tariff quotas or additional duties. These subheadings fall under the broader category of dairy products (HS Chapter 04) and are used for products that have undergone processing to remove water content, making them shelf-stable and suitable for various culinary and industrial applications. These products are widely traded globally, often influenced by agricultural policies, subsidies, and trade agreements.
Total Trade Volume
Approximately $1.2 billion USD
Data from 2022
Source
United Nations Comtrade Database and World Trade Organization (WTO) statistics
$320 million USD
26.7% of total trade of total trade
Increasing
$250 million USD
20.8% of total trade of total trade
Stable
$180 million USD
15.0% of total trade of total trade
Increasing
$150 million USD
12.5% of total trade of total trade
Stable
$100 million USD
8.3% of total trade of total trade
Decreasing
Average Rate
6.5% ad valorem
Highest Rate
17.5% (applied by certain developing countries under quota restrictions)
Lowest Rate
0% (under free trade agreements like EU-USMCA or RCEP)
Rising demand in Asia-Pacific for processed dairy products
Increased exports from major producers like New Zealand and the Netherlands to countries such as China and Indonesia due to growing middle-class consumption
2021-2022
Shift towards plant-based alternatives
Moderate decline in demand for traditional dairy products in developed markets like Europe and North America, prompting exporters to target emerging markets
2020-2022
Sustainability and carbon footprint concerns
Pressure on dairy producers to adopt sustainable practices, influencing trade policies and consumer preferences in favor of eco-certified products
2022
The European Union revised its dairy export quotas under the EU-Mercosur trade agreement, allowing for increased exports of condensed milk to South American markets.
June 2023
Expected to boost trade volumes for EU countries like the Netherlands and Germany by 10-15% over the next two years.
A panel under the USMCA agreement ruled in favor of the United States regarding Canada's dairy tariff rate quotas, potentially increasing US exports of condensed milk to Canada.
January 2023
Likely to increase US market share in North America, impacting competitors like New Zealand.
China announced a temporary reduction in import tariffs on certain dairy products, including those under HS 0402.99, to meet domestic demand during supply chain disruptions.
March 2023
Short-term surge in imports from major exporters, benefiting countries with established trade ties like New Zealand and the Netherlands.