May 18, 2012

Mexico has leveraged on the Japan-Mexico Economic Partnership Agreement (EPA) for beef imports into Japan, as Chile and Philippines increased their shipments under their own EPAs during the year.

A total of 5,578 tonnes of beef and processed beef products from Mexico were imported at reduced tariff rates during the JFY 2011 - filling up 93% of the allocated quota. The bilateral agreement also extends to Mexican pork and chicken, with 41,820 tonnes and 299 tonnes also imported under the EPA quota, respectively.

Total beef imports from Mexico during the JFY 2011 reached 17,284 tonnes, up 25% from the previous JFY. Japan and Mexico have already agreed to increase the current beef quota (6,000 tonnes per year) to 10,500 tonnes in the JFY 2012. Tariff rates will remain as previously agreed, at 30.8% for chilled and frozen boneless products, except for the 'other' frozen category.

With regard to Australia, there was the fifteenth round of Australia-Japan EPA/FTA negotiations last month, with beef continuing to be regarded 'sensitive' by Japanese negotiators. Beef (including beef offal) is the largest agricultural imports into Japan from Australia (in value), followed by wood chips and wheat, according to the statistics compiled by Japan's Ministry of Finance. Australian beef was accounted for 39% of total beef consumption in Japan in 2011.