Indonesia Re-Opens To All U.S. Beef Products
Indonesia
Indonesia Re-Opens To All U.S. Beef Products
The USDA's Food Safety Inspection Service has revised its Export Library for U.S. beef export requirements to Indonesia following an agreement by the USDA and Indonesian authorities to allow access for all U.S. beef and beef products. Under the new import conditions, the Indonesian Ministry of Agriculture's Directorate General of Livestock Services (DGLS) recognizes the safety of the U.S. beef food safety regulatory system, and all beef products except for USDA-defined SRMs, are now eligible for export to Indonesia.
Exporters must obtain a Certificate of Islamic Slaughter from a member of a North American Islamic Center or Islamic organization that is approved by MUI, Indonesia's Ulema (Islamic legal scholars) council. USMEF understands that MUI has approved four U.S. establishments and one halal-approval authority for handling beef for export to Indonesia based on a privately arranged inspection tour conducted early last November. U.S. establishments and halal authorities must be inspected and approved by MUI to gain approval for accrediting and exporting beef to Indonesia, but no dates for any upcoming inspections have been specified. USMEF suggests that members work with their importers in Indonesia closely if they are interested in gaining approval for export.
Like other Asian markets, Indonesia closed to U.S. beef imports shortly after the first U.S. BSE finding in late 2003. Indonesia re-opened to U.S. boneless beef and several offal products derived from cattle under 30 months of age in August of 2004, but closed the market again in June 2005 after the second U.S. BSE case.
Indonesia imported just over 350 metric tons of U.S. beef cuts in both 2004 and 2005 but 10,390 mt and 13,949 mt of U.S. beef variety meat in the same years, respectively.
Australia and New Zealand accounted for 95 percent of Indonesia's 2006 beef imports of 36,100 mt and more than 99 percent of its 36,100 mt beef variety meat. Indonesia imports very small quantities of beef from China and Brazil and large volumes of live cattle from Australia, about 456,000 head in the first ten months of 2007, many of which went directly to slaughter. The United States, however, captured 34 percent of the total Indonesian beef variety meat trade by volume in 2003. Canadian beef exports (primarily variety meat) to Indonesia surged after Canada's re-entry into the market in May 2007, but buying interest is likely to shift to the U.S., especially if the number of halal-approved facilities can increase quickly.
USMEF expects Indonesia to be a strong market for hearts, which are processed into golf-ball sized meat balls called Bakso, a popular dish, and commonly consumed with noodles. Other in-demand offal items include livers, tails, tongues and feet.
Prior to the first closure of the import market for U.S. beef, U.S. exporters had enjoyed modest demand for lower cost beef muscle cut items such as bone-in short ribs as well as loin cuts for hotels. USMEF sees bone-in short ribs as a potentially attractive item given the current lack of sizeable alternative export markets, although the re-establishment of the bone-in trade with Korea and Japan is likely to see offer prices rise and buying interest diminish. Interest in steady but modest supplies of hotel cuts is expected to be re-established quickly following today's announcement.
USMEF will now appraise marketing opportunities related to the new access conditions. According to acting ASEAN Director Sabrina Yin, "We will have to evaluate likely initial flows of product, and product type before we schedule re-launch activities." USMEF is assessing the scope of its participation at the Food, Hotel & Tourism Bali show scheduled for late February.
Indonesia
Indonesia Re-Opens To All U.S. Beef Products
The USDA's Food Safety Inspection Service has revised its Export Library for U.S. beef export requirements to Indonesia following an agreement by the USDA and Indonesian authorities to allow access for all U.S. beef and beef products. Under the new import conditions, the Indonesian Ministry of Agriculture's Directorate General of Livestock Services (DGLS) recognizes the safety of the U.S. beef food safety regulatory system, and all beef products except for USDA-defined SRMs, are now eligible for export to Indonesia.
Exporters must obtain a Certificate of Islamic Slaughter from a member of a North American Islamic Center or Islamic organization that is approved by MUI, Indonesia's Ulema (Islamic legal scholars) council. USMEF understands that MUI has approved four U.S. establishments and one halal-approval authority for handling beef for export to Indonesia based on a privately arranged inspection tour conducted early last November. U.S. establishments and halal authorities must be inspected and approved by MUI to gain approval for accrediting and exporting beef to Indonesia, but no dates for any upcoming inspections have been specified. USMEF suggests that members work with their importers in Indonesia closely if they are interested in gaining approval for export.
Like other Asian markets, Indonesia closed to U.S. beef imports shortly after the first U.S. BSE finding in late 2003. Indonesia re-opened to U.S. boneless beef and several offal products derived from cattle under 30 months of age in August of 2004, but closed the market again in June 2005 after the second U.S. BSE case.
Indonesia imported just over 350 metric tons of U.S. beef cuts in both 2004 and 2005 but 10,390 mt and 13,949 mt of U.S. beef variety meat in the same years, respectively.
Australia and New Zealand accounted for 95 percent of Indonesia's 2006 beef imports of 36,100 mt and more than 99 percent of its 36,100 mt beef variety meat. Indonesia imports very small quantities of beef from China and Brazil and large volumes of live cattle from Australia, about 456,000 head in the first ten months of 2007, many of which went directly to slaughter. The United States, however, captured 34 percent of the total Indonesian beef variety meat trade by volume in 2003. Canadian beef exports (primarily variety meat) to Indonesia surged after Canada's re-entry into the market in May 2007, but buying interest is likely to shift to the U.S., especially if the number of halal-approved facilities can increase quickly.
USMEF expects Indonesia to be a strong market for hearts, which are processed into golf-ball sized meat balls called Bakso, a popular dish, and commonly consumed with noodles. Other in-demand offal items include livers, tails, tongues and feet.
Prior to the first closure of the import market for U.S. beef, U.S. exporters had enjoyed modest demand for lower cost beef muscle cut items such as bone-in short ribs as well as loin cuts for hotels. USMEF sees bone-in short ribs as a potentially attractive item given the current lack of sizeable alternative export markets, although the re-establishment of the bone-in trade with Korea and Japan is likely to see offer prices rise and buying interest diminish. Interest in steady but modest supplies of hotel cuts is expected to be re-established quickly following today's announcement.
USMEF will now appraise marketing opportunities related to the new access conditions. According to acting ASEAN Director Sabrina Yin, "We will have to evaluate likely initial flows of product, and product type before we schedule re-launch activities." USMEF is assessing the scope of its participation at the Food, Hotel & Tourism Bali show scheduled for late February.