New Delhi | July 2025 — The United States has once again raised objections at the World Trade Organisation (WTO) over India’s integrated veterinary health certificate requirement for importing dairy products. Washington has termed the regulation an “unnecessary trade barrier” for American dairy exports, reigniting a long-standing friction point in Indo-US trade relations.
We reintroduced the issue at a recent WTO committee meeting, arguing that India’s certification process exceeds internationally accepted standards and lacks scientific justification.
“We remain concerned that India’s certificate requirements present unnecessary trade barriers for US dairy exports to India’s market,” the US delegation stated.
🧾 What is the Controversial Certificate?
India mandates that milk and milk product imports be accompanied by an integrated veterinary certificate, validated by the competent authority of the exporting country. The certificate must confirm the absence of antibiotics, drug residues, pesticides, and heavy metals.
This updated requirement, which came into force in November 2024, reflects India’s focus on public health, food safety, and consumer protection.
However, the US maintains that such measures should be:
- Science-based
- Risk-assessed
- Least trade-restrictive
⚖️ The Policy Tension: Health Standards vs. Market Access
India’s dairy certificate policy lies at the intersection of public health, rural livelihood protection, and trade sovereignty.
- India’s dairy industry supports 70+ million households, mostly small-scale farmers.
- New Delhi has never allowed large-scale dairy imports through any Free Trade Agreement (FTA).
- The government has consistently rejected US demands to lower dairy tariffs or dilute health standards in past trade talks.
As the two countries continue to negotiate a bilateral trade agreement, India has drawn red lines on dairy and agriculture, viewing them as non-negotiable sectors vital to domestic food security and rural employment.
🔍 What’s Next: WTO Trade Policy Review & FTA Talks
The dairy certificate issue is likely to resurface during India’s eighth Trade Policy Review at the WTO, scheduled later this year. The last review took place in 2021.
Meanwhile, Indo-US trade negotiators are trying to find common ground onseveralf sensitive topics, including:
- Dairy and agricultural imports
- Tariff reductions on industrial goods
- Greater access for Indian professionals and service exporters
India is expected to hold its ground on food safety certifications, especially for dairy, citing both consumer safety and economic implications for its vast cooperative-based dairy ecosystem.
