February 8, 2012

 

Taiwan will resolve row on US beef imports

 

 

Taiwan's Premier Sean Chen stated that its Cabinet will form two new task forces to deal with the European debt crisis impact and tackle the on-going commotion over US beef imports.

 

Chen, who took over as premier from Vice President-elect Wu Den-yih, said during the new Cabinet's first meeting that the global economic prospects task force will be set up to deal with international issues, such as the debt problems in Europe that have had a negative impact on Taiwan's export volume.

 

The task force will be headed by Minister without Portfolio Kuan Chung-ming, a new member of the Cabinet.

 

The previously formed economic task force led by the vice premier will be incorporated into the new unit, Chen said.

 

Meanwhile, another task force will also be launched under the Cabinet to deal with the issue of whether Taiwan should accept ractopamine residues in imported US beef products. Taiwan currently bans the leanness-enhancing drug.

 

Washington has been pressing Taipei to revise its zero tolerance regulation on ractopamine, which was found in some shipments of beef from the US last year.

 

Amid speculations that the government might ease its ractopamine ban to resolve the US beef issue, local cattle and pig farmers and the Consumers' Foundation have threatened to stage a protest in Taipei later this month.

 

The beef dispute has also been central to the extended suspension of talks between Taiwan and the US under the bilateral Trade and Investment Framework Agreement (TIFA).

 

The TIFA, signed in September 1994, provides an official framework for Taiwan-US dialogue on trade and economic issues in the absence of diplomatic ties. Bilateral talks under the TIFA have been stalled since 2007.

 

Chen also ordered the Ministry of Economic Affairs to work on follow-up issues related to the Economic Cooperation Framework Agreement between Taiwan and China, including the signing of an investment protection pact.

 

The Cabinet meeting was held immediately after the takeover ceremony, where Chen outlined his goal as premier to "achieve prosperity and a shared, sustainable growth."

 

To this end, Taiwan needs to undergo an economic transformation to "focus on technology innovation, cultural creativity and research and development," Chen said.

 

"In addition to quality made-in-Taiwan products, we will have to work on products made by Taiwan and even designed by Taiwan," he said.

 

It is equally important for Taiwan to sign free-trade agreements with more countries and expand our presence in the global market, Chen said.

 

A tax reform on individual income tax will be needed to help achieve a shared growth, he added.

 

Recognising the new Cabinet lineup, Wu said he hopes the team will play a part in realising the president's golden-decade platform, which includes a just society, a clean government, a vibrant economy and a 12-year compulsory education system.

 

The main opposition Democratic Progressive Party (DPP) and the Taiwan Solidarity Union (TSU) voiced their opposition yesterday to the idea of lifting a ban on imports of US beef containing residue of the leanness enhancing feed additive ractopamine.