May 9, 2007

South Korea likely to lift ban on Canada's beef in late May

South Korea is expected to re-allow entry of Canadian beef on its market by month's end, a move that could start discussions on a free-trade pact between the two nations.

Both countries are awaiting the final ruling from the World Organization for Animal Health which is expected to state Canada's cattle industry as a "controlled risk" from bovine spongiform encephalopathy in late May. The decision would also allow Canada to mend its trade restrictions to countries that have imposed bans on its beef products.

Canadian Foreign Minister Peter MacKay said that a free-trade accord would be "politically unpalatable" without a reopening of Korea's market to Canada beef.