April 27, 2005

Hefty tariff in Japan likely for Australian beef

Australia's beef export boom in Japan could turn sour soon when record sales trigger the " snap-back"  tariff. This could cost cattle producers up to $110 million, and put the price of Australian meat beyond the reach of many Japanese consumers.

Current tariff in Japan is 39 percent. It would go up to 50 percent once foreign beef sales increase by 17 percent in a quarter. The Australian Cattle Council's Brett de Hayr said the tariff could then be introduced as early as August.

Japan is Australia's largest beef importer. Current chilled beef sales are worth US$1.5 billion.