U.S. and Indonesia Sign Landmark Dairy Agreement to Boost Nutrition, Trade and Industry Collaboration

May 05, 2025

The U.S. Dairy Export Council (USDEC), National Milk Producers Federation (NMPF) and KADIN, the Indonesian Chamber of Commerce, signed a memorandum of understanding (MOU) today in a milestone step to deepen cooperation between U.S. and Indonesian dairy industries.

The MOU outlines a framework for collaboration to support enhanced dairy trade, strengthen commercial cooperation and bolster public nutrition through promoting greater consumption of dairy products, particularly in public programs. Key areas of collaboration include the greater integration of dairy into Indonesia’s Free Nutritious Meals program, regulatory procedures including on dairy facility registration, data sharing on market trends, information exchange on best practices and technical expertise areas regarding dairy production, and joint public communication efforts to raise awareness of the benefits of dairy nutrition. The agreement also emphasizes support for school milk programs as a catalyst for child health and educational success.

“This agreement marks an exciting next chapter in U.S.–Indonesia cooperation on trade and dairy,” said Krysta Harden, USDEC president and CEO. “It builds on strong momentum from the U.S.-Indonesia Dairy Partnership Program that USDEC launched in January with U.S. and Indonesian partners in the agriculture and university sectors. It also charts a pathway for U.S. dairy suppliers to more fully complement local Indonesian milk supplies in meeting the country’s evolving nutritional needs during a critical time for U.S.-Indonesia trade relations.”

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 United States regarding fostering more reciprocal trade flows.

“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.”

The MOU builds on a deepening relationship between the U.S. and Indonesian dairy industries, initially prompted by Harden’s participation as the featured industry guest on a 2023 National Association of State Department of Agriculture trade mission to Indonesia. Indonesia is the seventh -largest export market for U.S. dairy products, purchasing $245 million in 2024. With Indonesian President Prabowo’s launch of a new national school meals program that includes school milk, dairy demand in Indonesia is poised to expand significantly.

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