Colombia                                  

Colombia                                                                                     

FTA Will Boost U.S. Pork And Beef Exports

The free trade agreement (FTA) should not only boost exports of U.S. pork to Colombia but also herald the lifting of Colombia’s ban on U.S. beef.

The office of the U.S. Trade Representative (USTR) announced yesterday (Feb. 27) that the United States and Colombia have concluded their work on an FTA. “This comprehensive trade agreement,” according to the USTR, “will eliminate tariffs and other barriers to goods and services, and expand trade between the United States and Colombia.”

The FTA “will eliminate duties on a raft of products exported to Colombia,” including high-quality beef, and lower tariffs on other products including pork.

USMEF Director, Central & South America Ricardo Vernazza-Paganini hailed the agreement as an important opportunity for both the U.S. pork and beef industries. “Colombia will be a key South American market for both U.S. pork and U.S. beef,” said Vernazza-Paganini. “Once the ban on U.S. beef is lifted, we will export an increasing number of livers, lungs and stomachs, which are much prized in Colombia. Our pork exports to Colombian processors will benefit greatly, and some of our cuts may be sold to retailers and the foodservice industry. As well as selling high-quality beef to the restaurants of Bogota, the U.S. industry will find an important market for beef variety meat.”

Colombia currently bans imports of U.S. beef on bovine spongiform encephalopathy (BSE) grounds, but USMEF understands that the ban will be removed before the FTA is finalized. The FTA will remove duties on Prime and Choice beef cuts, and establish a tariff rate quota for beef variety meat, which will be phased out over a number of years.

Colombian pork processors are dependent on imports because the fragmented domestic industry is unable to meet processors’ needs. Columbian annual pork consumption is only 13 pounds per capita, despite its relative inexpensiveness.

The current annual market for pork is around 170,000 metric tons (mt), imports account for 8,000 to 10,000 mt and most imports are from the United States (36 percent), Chile (35 percent) and Canada (25 percent). Colombia ranks third in the Central and South American region as a destination for U.S. pork exports, but from 1999-2004 U.S. pork exports dropped a total of some 50 percent.

U.S. pork exports have been inhibited in the past by Colombia’s complex and restrictive import duty system, but the FTA will establish a TRQ for backfat, hams, picnics and trimmings, and a separate quota for pork variety meat that will include feet, an important export item.

Prior to the Dec. 2003 U.S. bovine spongiform encephalopathy (BSE) case, the United States sent livers, lungs and stomachs to Colombia. In 2003, the U.S. exported 1,043 mt of beef variety meat and 443 mt of muscle cuts to Colombia. The quality of U.S. beef variety meat is much higher: U.S. livers are bigger, darker and better packed (two livers per box with a divider between them). Beef production has been a traditional activity in Colombia and annual per capita beef consumption (37.4 lbs) has been relatively high in comparison with other Latin American countries. The cattle herd numbers approximately 24 million head and annual beef production is around 700,000 mt. The herd is primarily zebu and average slaughter age is 4 to 4.5 years.

The current annual market for beef in Colombia is around 680,000 mt. Prior to December 2003, imports totaled an annual average of 5,080 mt and the biggest market share went to the United States (41 percent), Paraguay (22 percent) and Canada (18 percent).

Japan

USMEF Conducts U.S. Beef Seminar For Meat Industry Group

USMEF conducted a U.S. beef seminar last week in Kyoto for “Seiun Meat Kai,” a meat industry group organized by Takegishi Meat School, the largest meat school in Japan. USMEF participated in its regional group gathering that featured 30 supermarket buyers and meat shop and meat distribution company owners.

Takemichi Yamashoji, USMEF senior marketing director, presented information on the U.S. beef safety system including the BSE prevention system, the beef export verification program for Japan and how to merchandise alternative cuts. He emphasized how the U.S. beef industry is extending efforts to ensure safety.

“Japanese consumers will purchase U.S. beef again after the U.S. beef suspension is lifted. I have confidence in selling U.S. beef,” said Mr. Kiyoshi Nakagawa, the president of a meat shop in Osaka.

Most seminar participants said they wanted to import U.S. beef and asked USMEF to continue communicating updated information to both industry and consumers. For consumers, it is critical to provide simple information to make U.S. beef “Anshin” (anxiety free).

Hong Kong                                                                                 

New FSIS Form And Letterhead Certificate Required For U.S. Beef Shipped To Hong Kong

USMEF reported yesterday that all U.S. beef exports to Hong Kong now require FSIS Form 9297-1 Export Certificate of Wholesomeness for Beef, available online, and an FSIS letterhead certificate with seven statements detailed in the FSIS Export Library of Requirements. USMEF understands that U.S. beef shipments en route to Hong Kong will be allowed entry without the new form, but all shipments from now on will need the new form and the new certificate. Exports, of course, also require FSIS Form 9060-5. Exporters should consult the FSIS export library carefully to ensure requirements are fully complied with.

Colombia                                                                                     

FTA Will Boost U.S. Pork And Beef Exports

The free trade agreement (FTA) should not only boost exports of U.S. pork to Colombia but also herald the lifting of Colombia’s ban on U.S. beef.

The office of the U.S. Trade Representative (USTR) announced yesterday (Feb. 27) that the United States and Colombia have concluded their work on an FTA. “This comprehensive trade agreement,” according to the USTR, “will eliminate tariffs and other barriers to goods and services, and expand trade between the United States and Colombia.”

The FTA “will eliminate duties on a raft of products exported to Colombia,” including high-quality beef, and lower tariffs on other products including pork.

USMEF Director, Central & South America Ricardo Vernazza-Paganini hailed the agreement as an important opportunity for both the U.S. pork and beef industries. “Colombia will be a key South American market for both U.S. pork and U.S. beef,” said Vernazza-Paganini. “Once the ban on U.S. beef is lifted, we will export an increasing number of livers, lungs and stomachs, which are much prized in Colombia. Our pork exports to Colombian processors will benefit greatly, and some of our cuts may be sold to retailers and the foodservice industry. As well as selling high-quality beef to the restaurants of Bogota, the U.S. industry will find an important market for beef variety meat.”

Colombia currently bans imports of U.S. beef on bovine spongiform encephalopathy (BSE) grounds, but USMEF understands that the ban will be removed before the FTA is finalized. The FTA will remove duties on Prime and Choice beef cuts, and establish a tariff rate quota for beef variety meat, which will be phased out over a number of years.

Colombian pork processors are dependent on imports because the fragmented domestic industry is unable to meet processors’ needs. Columbian annual pork consumption is only 13 pounds per capita, despite its relative inexpensiveness.

The current annual market for pork is around 170,000 metric tons (mt), imports account for 8,000 to 10,000 mt and most imports are from the United States (36 percent), Chile (35 percent) and Canada (25 percent). Colombia ranks third in the Central and South American region as a destination for U.S. pork exports, but from 1999-2004 U.S. pork exports dropped a total of some 50 percent.

U.S. pork exports have been inhibited in the past by Colombia’s complex and restrictive import duty system, but the FTA will establish a TRQ for backfat, hams, picnics and trimmings, and a separate quota for pork variety meat that will include feet, an important export item.

Prior to the Dec. 2003 U.S. bovine spongiform encephalopathy (BSE) case, the United States sent livers, lungs and stomachs to Colombia. In 2003, the U.S. exported 1,043 mt of beef variety meat and 443 mt of muscle cuts to Colombia. The quality of U.S. beef variety meat is much higher: U.S. livers are bigger, darker and better packed (two livers per box with a divider between them). Beef production has been a traditional activity in Colombia and annual per capita beef consumption (37.4 lbs) has been relatively high in comparison with other Latin American countries. The cattle herd numbers approximately 24 million head and annual beef production is around 700,000 mt. The herd is primarily zebu and average slaughter age is 4 to 4.5 years.

The current annual market for beef in Colombia is around 680,000 mt. Prior to December 2003, imports totaled an annual average of 5,080 mt and the biggest market share went to the United States (41 percent), Paraguay (22 percent) and Canada (18 percent).

Japan

USMEF Conducts U.S. Beef Seminar For Meat Industry Group

USMEF conducted a U.S. beef seminar last week in Kyoto for “Seiun Meat Kai,” a meat industry group organized by Takegishi Meat School, the largest meat school in Japan. USMEF participated in its regional group gathering that featured 30 supermarket buyers and meat shop and meat distribution company owners.

Takemichi Yamashoji, USMEF senior marketing director, presented information on the U.S. beef safety system including the BSE prevention system, the beef export verification program for Japan and how to merchandise alternative cuts. He emphasized how the U.S. beef industry is extending efforts to ensure safety.

“Japanese consumers will purchase U.S. beef again after the U.S. beef suspension is lifted. I have confidence in selling U.S. beef,” said Mr. Kiyoshi Nakagawa, the president of a meat shop in Osaka.

Most seminar participants said they wanted to import U.S. beef and asked USMEF to continue communicating updated information to both industry and consumers. For consumers, it is critical to provide simple information to make U.S. beef “Anshin” (anxiety free).

Hong Kong                                                                                 

New FSIS Form And Letterhead Certificate Required For U.S. Beef Shipped To Hong Kong

USMEF reported yesterday that all U.S. beef exports to Hong Kong now require FSIS Form 9297-1 Export Certificate of Wholesomeness for Beef, available online, and an FSIS letterhead certificate with seven statements detailed in the FSIS Export Library of Requirements. USMEF understands that U.S. beef shipments en route to Hong Kong will be allowed entry without the new form, but all shipments from now on will need the new form and the new certificate. Exports, of course, also require FSIS Form 9060-5. Exporters should consult the FSIS export library carefully to ensure requirements are fully complied with.