February 10, 2012

 

Japan may up age limit on US beef

 

 

Japan might increase the age limit on US cattle slaughtered for beef from 20 to 30 months.

 

The age limit was imposed after the BSE (commonly known as mad-cow disease) outbreak in the US in 2003. Beef exports to Japan nearly reached zero post 2003, however since then have been gradually increasing.

 

In 2011 (Jan-Nov), US beef exports to Japan reached 148,182 million tonnes, valued at US$812.1 million, an increase of 29% in volume and 38% in value over the same period in 2010.

 

According to Global Trade Atlas date, the US share of Japan's imported beef market climbed 24% in terms of volume, pushing Australia down.

 

With a 20 month age limit currently in place, only around a third of US cattle are eligible for export. Opening this age limit will mean that over 90% of US cattle will become eligible.

 

It is estimated that the change in Japan's export requirements will allow an additional 184 million pounds of US beef to be shipped to Japan in 2012, adding an extra US$50 per head to US cattle.

 

Although there is no time frame, the US beef industry expects an announcement to come in summer 2012.

 

This is welcome news for the industry, which saw 2011 beef exports reach post 2003 highs last year.

 

US beef promotion in Japan took another major step forward in December when USMEF-Japan launched a joint promotion with the Tokyo Group.

 

"The fact that Tokyo Group has agreed to begin selling US beef enhances its image with Japanese consumers and is very helpful for increasing sales," said Takemichi Yamashoji, USMEF-Japan senior marketing director.

 

"This is the first case of a department store selling US beef and conducting a promotion since the resumption of US beef sales in Japan."