USDEC, NMPF and KADIN sign MOU outlining a framework for collaboration to strengthen dairy trade between the two countries.
The U.S. Dairy Export Council (USDEC) and the National Milk Producers Federation (NMPF) announced that they signed a memorandum of understanding (MOU) with the Indonesian Chamber of Commerce (KADIN) in a milestone step to strengthen cooperation between the U.S. and Indonesian dairy industries.
The MOU outlines a nonbinding framework for collaboration to strengthen mutually beneficial trade, particularly in dairy trade, and to support public nutrition efforts by promoting greater consumption of dairy products, with a focus on public programs such as the country’s school meals program.
The agreement lists several key areas of collaboration, including: promoting increased integration of dairy products into Indonesia’s Free Nutritious Meals program; engaging on regulatory procedures such as dairy facility registration; sharing data on market opportunities and trade trends; exchanging information on best practices and technical expertise across the dairy value chain, and collaborating on joint public communication efforts to raise awareness of the benefits of dairy nutrition, USDEC said in its news release. The agreement also emphasizes support for school milk programs as a catalyst for child health and educational success.
The MOU will remain in effect until Dec. 31, 2026, unless it’s renewed or extended.
With its focus on areas of mutual collaboration and support for U.S. dairy exports to Indonesia, this agreement complements ongoing trade negotiations between Indonesia and the U.S. to foster more reciprocal trade flows, the news release noted.
“The United States and Indonesia share a mission of promoting dairy as a valuable source of nutrition,” said Gregg Doud, NMPF president and CEO. “The agreement signed today commits our industries to join efforts to grow the Indonesian market and support producers in both countries.”
Indonesia is the seventh-largest export market for U.S. dairy products, purchasing $245 million in 2024. Indonesia President Prabowo Subianto launched a new national school meals program that includes school milk, indicating that the country’s dairy demand is poised to expand significantly.
The MOU builds on a deepening relationship between the U.S. and Indonesian dairy industries, initially prompted by Harden’s participation in a 2023 National Association of State Departments of Agriculture trade mission to Indonesia, according to USDEC.
Over the past year, USDEC has led the creation of the U.S.-Indonesia Dairy Partnership Program, which held its first farmer education and training session in January in Indonesia. In collaboration with the New Mexico and Wisconsin agriculture departments, New Mexico State University and Indonesian university and dairy company partners, the project is focused on the dissemination of technical educational materials designed to empower small-scale dairy producers in Indonesia to improve the quality and quantity of milk they produce. As those practices are adopted, U.S. dairy supplies play a vital complementary role to meet Indonesia’s growing dairy needs, the news release said.
USDEC is a nonprofit membership organization that represents the global trade interests of U.S. dairy producers, proprietary processors and cooperatives, ingredient suppliers and export traders. Its mission is to enhance U.S. global competitiveness and increase dairy ingredient sales and U.S. dairy product exports globally, which it accomplishes through market development programs that build global demand, resolve market access barriers and advance industry trade policy goals.
NMPF provides a forum for dairy producers and the cooperatives they own to participate in public policy discussions, serving as an advocate to address policies concerning milk pricing, domestic and international market development, agriculture credit and taxation, environmental issues, food safety and health, animal welfare, product standards and labeling and research and biotechnology.
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