Canada is optimistic of achieving a breakthrough in its negotiations with China this year for exporting beef into the country, said Gib Drury, chairman of Canada Beef Export Federation (CBEF).

 

"We expect to make a beginning in this regard by selling beef tallow in the Chinese market soon," he said.

 

The CBEF made a breakthrough in Hong Kong after the region lifted its six-year ban on Canadian beef in December last year. It is now looking to expand its reach to the mainland market, which has more than 1.3 billion consumers.

 

The organisation on Monday (Apr 12) held a roundtable in Beijing to evolve new strategies and develop the market for premium beef in China. It plans to export 37,000 tonnes of beef to the Chinese market by 2015.

 

Canada has a cattle population of 14 million. CBEF figures show that during the first seven months of last year, Canada exported 13,800 tonnes of beef to the Asian and Mexican markets, valued at RMB332 million (US$48.6 million).

 

"Beef exports to the Asian markets have been witnessing double-digit growth in the past few years," said Brad Wildeman, president of Canadian Cattlemen's Association.

 

China is currently in talks with both Canada and the US for beef imports. The country had banned beef imports from Canada and the US in 2003 due to mad cow disease. 

 

US Foreign Agricultural Service (FAS) expects China to become a net importer of beef this year. FAS said this is largely due to the estimated decrease in the live cattle population and the 5% fall in Chinese beef output.

 

The nation's beef imports are set to grow 30% this year to 30,000 tonnes, with most of the shipments coming from Australia, Uruguay and New Zealand, added FAS.

 

However, an additional 100,000 tonnes of beef enters China every year through gray channels, mainly from Brazil and the US, according to USDA.