July 20, 2004

 

 

Canadian Beef Exports Still Curtailed By Mad Cow Bans

 

Canadian beef exports continue to be curtailed by trade bans 14 months after the country's first homegrown case of mad cow disease, an exporters' group said Monday.

 

Japan, South Korea, Taiwan and China remain closed to Canadian beef, but there are signs Hong Kong may soon allow imports, the Canada Beef Export Federation stated.

 

"There is high optimism that Hong Kong will reopen to Canadian beef very soon," the federation said, noting Canada has presented a draft health certificate to Hong Kong officials for review.

 

Hong Kong imported an average of 1,550 tonnes of Canadian beef a year during the five-year period ended in 2002, according to industry statistics.

 

Canada exported 520,000 tonnes of beef worth more than C$2 billion ($1.5 billion) in 2002, before its beef was banned in all of its major export markets after a cow tested positive for mad cow disease in May 2003.

 

The United States accounted for 72 percent of Canada's total beef exports in 2002. Mexico was the second-largest buyer that year, importing almost 76,000 tonnes.

 

The United States and Mexico started accepting boneless cuts of beef from young animals last September.

 

Since then, Canada has shipped 276,000 tonnes to U.S. buyers and 56,000 tonnes to Mexico, according to Canadian Food Inspection Agency statistics as of July 8.

 

In April, Mexico began accepting an expanded list of beef products, including tripe, tongue, and heart, but U.S. officials will not allow the products to move in trucks through to Mexico.

 

In South Korea, negotiations have stalled until Canada gets rid of beef that has been stranded in the country for the past year, the federation said.

 

More than 2,000 tonnes of beef was in transit to South Korea at the time of its trade ban last year. The federation said it plans to remove the remaining 238 tonnes from the country by the end of July.

 

South Korea was the fourth-largest buyer of Canadian beef in 2002 with more than 17,000 tonnes of imports.

 

Negotiations with Taiwanese officials were constrained after Canada voted against a motion to grant the country observer status at the World Health Organization in May, the federation said.

 

"There is concern that this action may affect the negotiations to reopen the Taiwan market to Canadian beef," the group said in.

 

Taiwan bought 4,000 tonnes of Canadian beef in 2002.