September 7, 2006

US beef producers reject China's requirements for US beef

US beef producers said they support US president George Bush's rejection of China's attempt to unilaterally decide how the beef trade will be restarted.

US beef producers said China's version of the rules governing its beef trade would not lead to a resumption of the beef trade.

China's rules, released on Aug 30, lay out the terms under which China would accept boneless beef from cows aged less than thirty months, but the US has been pressing for a more comprehensive range of products based on an international standards.

A USDA official said China and the US continue to hope for conditions that would lead to a full market reopening. However, there is no timeframe for those talks to resume as of yet.

US producers said without an export rule based on international scientific standards, no US exporter would risk exporting beef to China and risk having the beef rejected or destroyed upon arrival.

Furthermore, China's market for boneless beef is not large enough to support USDA's call for a full market opening. However, the market for other beef products, such as offal and "lower cuts of meat," would seem to be the more attractive markets.

A USDA official said the USDA has been pushing for World Organization for Animal Health (OIE) standards with China and the rest of its partners.

China's new regulations detail the standards that must be met by US producers and certified by USDA prior to export. The regulations were similar to language that exist with other countries.