October 10, 2006

US ups the pressure on South Korea on boneless beef issue

Make no bones about it, if South Korea refuses to budge on the boneless beef issue, the US beef industry would boycott a free trade agreement (FTA) between the two countries, South Korean media reported.

The American Meat Institute said it would not support an FTA unless South korea  normalises trade on beef with the US.

US President George W Bush also hinted that with a powerful meat lobby in Congress, it would be an uphill task to get an FTA passed if the beef issue is not resolved.

US senators have already sent letters appealing for the cattle bone-in beef imports to South Korea. Previously, agricultural officials have also appealed for South Korea to ease its zero tolerance stance on bone fragments in beef, which US processors say is inevitable in shipments.

South Korea has remained adamant on the issue of having boneless beef. However, it appears to be moving on zero tolerance on fragments, as it is in internal consultation under pressure from the US, who asked the government to declare whether chips or powder that could mix with beef products during slaughter processes would be considered bones.

South Korea said it is open to negotiations with the US on that issue but the current position of the government is to reject shipments that contain bone fragments, even though they may be labelled de-boned products.

The US has not made any beef shipments to South Korea although the ban has been lifted for more than a month as exporters feared shipments would be sent back if bone fragments are found.