May 21, 2007

 

South Korea shows willingness to ease barrier to US beef

 

 

South Korea last week indicated a willingness to ease import barriers on US beef during talks held in Seoul, although the move is conditional on the US getting a favourable  "mad cow"  safety rating from the World Organization for Animal Health (OIE), a US Department of Agriculture official said Friday (May 18).

 

Chuck Lambert, under secretary for the USDA's Marketing and Regulatory Services, told Dow Jones Newswires in an interview that South Korea is prepared to begin the process of transition to a more open beef market as early as next week, although it is unclear how long that process would take.

 

"They've indicated that they are prepared to start the process," Lambert said, which includes a scientific risk assessment.

 

The 168 member countries of the World Organization for Animal Health, known by its French acronym OIE, are scheduled to vote next week in Paris on whether to award the US a favourable safety rating on the way it has dealt with mad cow disease, or bovine spongiform encephalopathy (BSE).

 

Lambert, who led the US delegation to Seoul last week, will be in Paris next week for the vote.

 

USDA Secretary Mike Johanns predicted last month a view held by many, that the OIE countries will approve the organization's recommendation for a favourable rating. Dow Jones Newswires reported the OIE's "controlled risk" recommendation for the US in February and the USDA publicly confirmed that in a March 9 posting on its website.

 

By shifting to make its beef import regulations more "OIE consistent," Lambert said, South Korea would be effectively opening its market to US bone-in beef cuts, some of the most lucrative sales for US exporters to South Korea before the country banned US beef in December 2003 when the first case of BSE was discovered here.

 

South Korea eased that ban in September last year, but decided to allow in only boneless beef cuts. Furthermore, the accompanying restrictions that demanded entire shipments be rejected if the smallest of bone fragments were found in just one box insured there would be no trade whatsoever.

 

The restriction requiring complete rejections was changed in March and US boneless beef shipments to South Korea have since resumed. Four shipments of US beef cleared inspection last week, Lambert said.

 

The US-based National Cattlemen's Beef Association said this week that it also believes South Korea is on the verge of lifting restrictions on US beef.

 

"All indications are that Korea plans to begin the necessary steps to complete its regulatory process which would fully normalise US beef exports once the (OIE) grants a 'controlled risk' status for the United States next week," the group said in a newsletter.