BSE Update: Saudi Arabia’s Beef Ban Modified, Other Middle East Markets Remain Open
Published: Jun 01, 2012
Saudi Arabia has modified its ban on U.S. beef and beef products in response to the recently announced BSE case in California, changing the effective shipping date from April 19 to May 10. With this change, all shipments made on or before May 9 should clear Saudi customs.
USMEF is working with trade officials to determine the next steps for addressing the Saudi ban, and will provide further updates as soon as more information becomes available. No scientific basis exists for the ban, so persuading Saudi officials to reverse this decision remains a top priority.
Contrary to rumors circulating in the trade, neither Kuwait nor Qatar has imposed a ban on U.S. beef imports. At this time, market access for all Middle East destinations except for Saudi Arabia has not changed as a result of the latest BSE case.
For the most part, U.S. trading partners continue to adhere to sound science with regard to the BSE case and have not changed market access for U.S. beef. Other than Saudi Arabia, the lone exception is Indonesia – where imports of U.S. bone-in cuts and beef offal (with a bill of lading date on or after April 24) have been suspended. While the action taken by Indonesia is frustrating, exports to this market had already slowed drastically in 2012 due to lower import quotas.
In South Korea, media coverage of the BSE case has faded to some degree as an investigative team that visited the United States delivered a favorable report regarding the U.S. beef industry’s BSE safeguards. However, U.S. beef sales — which had already been weak due to a surplus of domestic beef and a slumping Korean currency – have been negatively impacted by news coverage of the BSE case. USMEF is addressing consumer concerns on several fronts, but we expect May export results to continue to reflect these adverse conditions.
In Taiwan, an investigative team returned from the United States and offered a report that was mostly favorable regarding enforcement of BSE safeguards utilized by the U.S. beef industry. The business climate in Taiwan remains very difficult, however, as the BSE issue has become entangled in the ongoing controversy over ractopamine residues. While the BSE case has not directly affected our market access in Taiwan, exports are likely to struggle as long as both of the BSE and ractopamine issues receive heavy media coverage.
USMEF will provide updates on the restrictions imposed by Saudi Arabia and Indonesia – as well as reports from other key markets – as further details become available.
USMEF is working with trade officials to determine the next steps for addressing the Saudi ban, and will provide further updates as soon as more information becomes available. No scientific basis exists for the ban, so persuading Saudi officials to reverse this decision remains a top priority.
Contrary to rumors circulating in the trade, neither Kuwait nor Qatar has imposed a ban on U.S. beef imports. At this time, market access for all Middle East destinations except for Saudi Arabia has not changed as a result of the latest BSE case.
For the most part, U.S. trading partners continue to adhere to sound science with regard to the BSE case and have not changed market access for U.S. beef. Other than Saudi Arabia, the lone exception is Indonesia – where imports of U.S. bone-in cuts and beef offal (with a bill of lading date on or after April 24) have been suspended. While the action taken by Indonesia is frustrating, exports to this market had already slowed drastically in 2012 due to lower import quotas.
In South Korea, media coverage of the BSE case has faded to some degree as an investigative team that visited the United States delivered a favorable report regarding the U.S. beef industry’s BSE safeguards. However, U.S. beef sales — which had already been weak due to a surplus of domestic beef and a slumping Korean currency – have been negatively impacted by news coverage of the BSE case. USMEF is addressing consumer concerns on several fronts, but we expect May export results to continue to reflect these adverse conditions.
In Taiwan, an investigative team returned from the United States and offered a report that was mostly favorable regarding enforcement of BSE safeguards utilized by the U.S. beef industry. The business climate in Taiwan remains very difficult, however, as the BSE issue has become entangled in the ongoing controversy over ractopamine residues. While the BSE case has not directly affected our market access in Taiwan, exports are likely to struggle as long as both of the BSE and ractopamine issues receive heavy media coverage.
USMEF will provide updates on the restrictions imposed by Saudi Arabia and Indonesia – as well as reports from other key markets – as further details become available.