July 16, 2012
Brazil's use of beta agonist in cattle may concern EU
Brazil's beef industry is facing possible difficulties in proving the reliability of its cattle traceability system for the European market, after a recent approval of a beta-agonist livestock growth additive which is not permitted for usage in the EU.
Approval of the beta-agonist, zilpaterol hydrocholoride (also known as Zilmax), will help Brazil cattle farmers meet growing demand for mature cattle, but not without raising concern from clients in the coveted EU market, reports Valor Economico newspaper. Most buyers in the EU require full traceability of cattle and do not permit growth inducers like beta-agonists, steroids and hormones; the latter two are also banned in Brazil.
Brazil's beef industry is already capable of segregating its beef production in accordance with requirements of various customers, said Fernando Sampaio, executive director of the Brazilian Association of Meat Exporters, or Abiec.
"Production segregation already exists (in Brazil)," Sampaio said. "What we are going to make clear is that the use of this product is not permitted in (meat destined for Europe)."
Despite his optimism, Sampaio is alert to the risks of zilpaterol residue being found in beef exports to the EU, and says Abiec will emphasise that no player in the industry can hide from this.
"Who will be punished is the exporter, but traceability allows the industry to find the responsible producer," he said.
MSD Saude Animal, the Brazilian veterinary unit of American pharmaceutical giant Merck, intends to grab 25% of the confined cattle market's demand for zilpaterol before year's end, or roughly one million head. The product is used for 20 to 40 days during the animal's finishing stage.
Within five years, sales of this beta-agonist should be a key segment for MSD, according to the company, which grossed US$220.9 million in 2011. The company's sales expectations are based on a projected increase of 10-15% for Brazil's cattle population in the next five years.
