November 22, 2004

 

 

US Beef Market May Open to Canada Soon
 

US feedlots and packers could import Canadian cattle in a matter of months. This comes as new US rules aimed at guarding against mad cow disease are up for approval, according to Canadian Agriculture Minister Andy Mitchell on Saturday.

 

The US Department of Agriculture has sent its draft rules to the Office of Management and Budget which Mitchell called an "important step toward the normalization of trade."

 

"This process normally takes a maximum of 90 days, but can take less," said Mitchell, adding that the regulations can take effect in 60 days once they are approved and published.

 

Canada announced it had diagnosed its first home-grown case of bovine spongiform encephalopathy (BSE), or mad cow disease 18 months ago, leading to three dozen import markets including the United States to close their borders.

 

That case of mad cow has cost the export-dependent Canadian cattle industry as much as C$5 billion ($4.2 billion), according to some estimates, mainly because of the trade bans.

 

In December last year, a Canadian-born Holstein in Washington State was diagnosed with BSE. The USDA revealed on November 18, 2004 it has a suspected case of mad cow disease in an animal that tested positive on two preliminary tests.

 

More conclusive results are expected soon. The animal's age and origin have yet to be disclosed.

 

Regardless of the results, the USDA draft rules are based on the risk level of a country and not the number of cases originating from a country. Therefore even if the suspect animal is confirmed to have BSE and had come from Canada, the approval procedure would not be affected, Mitchell's spokeswoman said.

 

"Experts have felt that a small number of BSE in the national herd in Canada is not unlikely, so our risk level would stay the same," spokeswoman Elizabeth Whiting said.

 

"The science would still support resumption of trade," she added.

 

Canada has tested more than 8,600 cattle for mad cow disease so far in 2004, passing its target. But the country faces a tougher goal of 30,000 tests in 2005, animal health officials have said.

 

Ottawa has argued its tougher feed rules, as well as new processing rules, have severely curtailed the risk that mad cow disease will spread in the country.