April 10, 2015

Irish beef sector under threat from US-EU trade deal, said farmers

Ireland's agriculture exports are expected to rise 3%, according to Richard Bruton, the EU member state's enterprise minister, but its beef farmers may not be spared the consequences from a normalisation of the beef trade between the US and EU.

Once revisions to the EU-US' Transatlantic Trade and Investment Partnership (TTIP) concludes, Irish beef will be vying for market share against cheaply-produced US beef and may, in fact, suffer up to US$53.1 million in losses yearly, based on a study by Copenhagen Economics.

Hence, there are now concerns that the US could push for an end to restrictions on its beef deliveries to Europe after permitting beef from the latter into the country.

Currently, the US is only allowed to export beef to the region at a volume of 30,000 tonnes, beyond which tariff charges will apply.

"Our government must guard against selling out our vital beef and white meats sectors for potential gains in other areas that may not materialise," said Eddie Downey, the president of the Irish Farmers' Association, whose view reflects the upset reactions from farmer groups.

He noted that the total gains for the Irish agriculture sector were rendered insignificant when US agricultural imports were taken into consideration in the Copenhagen Economics report.

Patrick Kent, the president of the Irish Cattle and Sheep Association, has also urged

Bruton and EU trade commissioner, Cecilia Malmström, to ensure that the beef sector is secured against any adverse effects from the TTIP.

On a yearly basis, half a million tonnes of beef depart from Ireland, a figure that is 90% of its output and at a value of US$2.1 billion.