May 21, 2009

The US continues to export a fraction of the beef it once did to Japan because the country's import restrictions continue to block about US$1 billion worth of trade each year, according to the US-based National Cattlemen's Beef Association.

The US exported US$305 million worth of beef to Japan in the first four months of 2003. During the same period this year the US exported US$71 million worth of beef to Japan, NCBA Chief Economist Gregg Doud told reporters Wednesday.

"On the trade front, I cannot emphasize enough how Japan is our top priority," Doud said.

Japan quit buying US beef altogether in December 2003 after the first case of bovine spongiform encephalopathy, or mad cow disease, was discovered in the US In July 2006 Japan partially re-opened its market to imports from the US, allowing in only beef from cattle under 21 months old at slaughter.

But that age restriction on cattle is very costly, Doud said, because it severely narrows the amount of cattle that can be slaughtered for beef exports.

Just increasing the age limit on cattle to 30 months would mean that more than 90 percent of US cattle would be eligible to provide beef for export to Japan, up from 25 percent now, Doud said.

The Obama administration has to lead the way in convincing Japan to lift its restriction on US beef, Doud said, and effort by the US Department of Agriculture and US Trade Representative has already begun.

USDA Secretary Tom Vilsack met with Japanese Agriculture Minister Shigeru Ishiba in April during a G8 summit in Italy and beef trade was one of the topics of discussion.