Argentina Cheese Export Market -- HS Code 0406 Trade Data & Price Trend (Q1 2025)
Argentina Cheese Export (HS 0406) Key Takeaways
Argentina's cheese exports under HS Code 0406 in Q1 2025 reveal a market dominated by bulk fresh cheese, priced at 9-10 USD/kg, with limited value-add beyond basic forms—though high-margin grated cheese presents an outlier opportunity. Export value and weight declined sharply (17.1% and 24.7%, respectively), while unit prices rose 10.3%, signaling supply constraints or strategic pullbacks ahead of US tariff revisions. Brazil commands nearly half of shipments, demanding efficient cold-chain logistics, while Russia and Saudi Arabia offer premium pricing potential. This analysis, covering Q1 2025, is based on cleanly processed customs data from the yTrade database.
Argentina Cheese Export (HS 0406) Background
What is HS Code 0406?
HS Code 0406 covers cheese and curd, a staple dairy product with broad applications in food manufacturing, retail, and foodservice. Global demand remains stable due to its versatility in culinary uses and long shelf life. Key industries relying on this product include processed food producers, restaurants, and grocery retailers.
Current Context and Strategic Position
The U.S. Harmonized Tariff Schedule (2025 Revision 5) recently updated its classifications, signaling potential shifts in trade regulations [USITC]. Argentina's cheese export sector is strategically positioned to capitalize on these changes, given its competitive dairy production and established trade networks. Monitoring hs code 0406 trade data is critical, as Argentina’s export performance could be influenced by evolving tariff structures or demand fluctuations. Vigilance is advised to navigate this dynamic market.
Argentina Cheese Export (HS 0406) Price Trend
Key Observations
Argentina's cheese exports in Q1 2025 totaled $252.44 million USD, with unit prices rising sequentially from $9.43/kg in January to $10.40/kg in March, indicating a quarter of higher pricing amid fluctuating trade volumes.
Price and Volume Dynamics
The Argentina Cheese Export trend revealed a consistent decline in both value and weight from January to March, with value dropping by 17.1% and weight by 24.7% over the quarter, while unit prices increased by 10.3%. This divergence suggests supply-side constraints or selective export strategies, potentially exacerbated by the mid-March announcement of the US Harmonized Tariff Schedule revision [USITC], which may have prompted anticipatory reductions in shipment volumes ahead of policy adjustments. The hs code 0406 value trend underscores a market where price gains failed to offset volume losses, pointing to underlying challenges in export momentum as Q1 progressed.
Argentina Cheese Export (HS 0406) HS Code Breakdown
Product Specialization and Concentration
According to yTrade data for Q1 2025, Argentina's export under HS Code 0406 is heavily concentrated in fresh cheese, not fermented, which makes up over half of both value and weight shares, priced at 9.41 USD per kilogram. An extreme price anomaly exists for grated cheese, priced at 19.41 USD per kilogram, which is isolated from the main analysis due to its high unit cost disparity.
Value-Chain Structure and Grade Analysis
The non-anomalous products fall into two main groups: bulk fresh cheese with lower unit prices around 9-10 USD per kilogram, and other standard cheeses like blue-veined and non-specified types with slightly higher prices of 10-13 USD per kilogram. This structure indicates a trade primarily in fungible bulk commodities, with limited value-add differentiation beyond basic forms.
Strategic Implication and Pricing Power
Market players face competitive pricing pressure in the bulk segments, but the isolated high-value grated cheese suggests potential for higher margins in processed products. Strategic focus should prioritize cost efficiency for bulk exports while exploring opportunities in value-added varieties to enhance pricing power in Argentina's HS Code 0406 export market.
Table: Argentina HS Code 0406) Breakdown Details (Source: yTrade)
| HS Code | Product Description | Value | Frequency | Quantity | Weight |
|---|---|---|---|---|---|
| 040610***** | Dairy produce; fresh cheese (including whey cheese), not fermented, and curd | 130.30M | 1.20K | 23.72M | 13.84M |
| 040690***** | Dairy produce; cheese (not grated, powdered or processed), n.e.c. in heading no. 0406 | 45.82M | 344.00 | 6.97M | 3.47M |
| 040690***** | Dairy produce; cheese (not grated, powdered or processed), n.e.c. in heading no. 0406 | 45.14M | 534.00 | 9.71M | 4.81M |
| 0406** | ******** | ******** | ******** | ******** | ******** |
Check Detailed HS Code 0406 Breakdown
Argentina Cheese Export (HS 0406) Destination Countries
Geographic Concentration and Dominant Role
Brazil is the dominant destination for Argentina's cheese exports in Q1 2025, taking nearly half (49.78%) of the total export value. Its value share is slightly lower than its weight share (51.51%), indicating trade is primarily in bulk. The extremely high shipment frequency (36.51% of all shipments) points to a logistics pattern built on frequent, smaller consignments, which is typical for managing perishable goods like cheese.
Destination Countries Clusters and Underlying Causes
The top destinations form three clear groups. Chile acts as a Volume/Hub Cluster, with a high weight share (18.32%) that aligns closely with its value share (17.92), confirming its role as a major bulk buyer. A High-Yield Cluster includes Russia and Saudi Arabia; both have value shares significantly exceeding their weight shares, signaling strong demand for higher-value, premium cheese varieties. The remaining partners, like Paraguay and Uruguay, form a Transactional Cluster. They show high frequency of trade but lower value and weight contributions, suggesting a pattern of smaller, routine retail-level shipments.
Forward Strategy and Supply Chain Implications
The high frequency of shipments to Brazil requires a reliable and efficient cold chain logistics operation to prevent spoilage. To improve returns, the export strategy should prioritize expanding sales of premium products to the high-yield markets of Russia and Saudi Arabia. For bulk buyers like Chile, the focus should remain on optimizing shipping costs and maintaining consistent quality to protect this large-volume trade.
Table: Argentina Cheese (HS 0406) Top Destination Countries (Source: yTrade)
| Country | Value | Quantity | Frequency | Weight |
|---|---|---|---|---|
| BRAZIL | 125.66M | 21.97M | 1.18K | 13.02M |
| CHILE | 45.23M | 9.07M | 538.00 | 4.63M |
| RUSSIA | 23.25M | 4.03M | 117.00 | 1.86M |
| PARAGUAY | 9.02M | 2.95M | 408.00 | 809.88K |
| CHINA TAIWAN | 8.56M | 1.72M | 74.00 | 793.65K |
| URUGUAY | ****** | ****** | ****** | ****** |
Get Complete Destination Countries Profile
Action Plan for Cheese Market Operation and Expansion
- Prioritize cost efficiency for bulk fresh cheese exports to Brazil and Chile using hs code 0406 trade data to monitor competitor pricing and protect volume share, because these bulk buyers dominate the weight and frequency of Argentina Cheese Export.
- Develop a premium product strategy targeting Russia and Saudi Arabia by analyzing their import patterns for higher-value varieties, as these markets offer superior margins for the Argentina Cheese Export portfolio.
- Optimize the Cheese supply chain for frequent, smaller shipments to Brazil by investing in reliable cold storage and logistics to reduce spoilage risk and maintain product quality.
- Diversify export destinations within the transactional cluster like Paraguay using hs code 0406 trade data to identify new buyers, mitigating over-reliance on a few partners and stabilizing Argentina Cheese Export revenue.
Take Action Now —— Explore Argentina Cheese Export Data
Frequently Asked Questions
Q1. What is driving the recent changes in Argentina Cheese Export 2025 Q1?
Argentina's cheese exports saw a 17.1% drop in value and 24.7% in weight from January to March 2025, despite a 10.3% rise in unit prices. This suggests supply constraints or selective export strategies, possibly influenced by anticipated US tariff revisions.
Q2. Who are the main destination countries of Argentina Cheese (HS Code 0406) 2025 Q1?
Brazil dominates with 49.78% of export value, followed by Chile (17.92%) and Russia/Saudi Arabia, which form a high-yield cluster due to demand for premium cheeses.
Q3. Why does the unit price differ across destination countries of Argentina Cheese Export?
Prices vary by product type: bulk fresh cheese trades at 9-10 USD/kg, while premium varieties like blue-veined or grated cheese (19.41 USD/kg) command higher prices in markets like Russia and Saudi Arabia.
Q4. What should exporters in Argentina focus on in the current Cheese export market?
Exporters should prioritize cost efficiency for bulk shipments to Brazil and Chile while expanding premium cheese sales to high-yield markets like Russia and Saudi Arabia to improve margins.
Q5. What does this Argentina Cheese export pattern mean for buyers in partner countries?
Brazil’s frequent, smaller shipments require reliable cold chains, while buyers in Russia/Saudi Arabia benefit from premium options. Bulk buyers like Chile can expect stable, competitively priced supply.
Q6. How is Cheese typically used in this trade flow?
Argentina’s HS Code 0406 exports are primarily bulk fresh cheese (fungible commodity), with limited value-added varieties like grated or blue-veined cheeses for niche markets.
Detailed Monthly Report
Argentina Cheese Export Market -- HS Code 0406 Trade Data & Price Trend (May 2025)
Argentina's cheese exports (HS Code 0406) fell to $39.34M in May 2025, with Brazil dominating 50% of trade, while Chile and Russia showed premium potential, per yTrade customs data.
Argentina Cheese Export Market -- HS Code 0406 Trade Data & Price Trend (Q2 2025)
Argentina's cheese (HS Code 0406) exports in Q2 2025 show fresh cheese dominance, with Brazil absorbing 50% of shipments amid sharp declines, per yTrade data.
