Thailand | Thai Government Cuts Meat Import License Fees | The Thai cabinet ...

Thailand

Thai Government Cuts Meat Import License Fees

The Thai cabinet has reduced the charge for meat import licenses from 20 Thai baht per kg (approximately $454 per metric ton) to 5 baht per kg ($114 per mt) in response to U.S. government and meat industry pressure exerted over the past few years for the country to reduce its high import protection regime.  The reduction in the livestock fee is viewed as enhancing the sales potential for red meat offal items, especially those of pork, as the fixed fee constituted a high percentage of the import cost of low-cost items.  USMEF and the Foreign Agricultural Service (FAS) will continue to press their case with the Thai authorities that the import fee system is not legal under the World Trade Organization (WTO) and should be abolished or further reduced.  Pork and beef exporters to Thailand already face the highest import tariffs in Asia of 39 percent and 52 percent respectively. 

The U.S. and other exporters are still facing other barriers to trade.  Thailand has informed USDA/Thailand that early next year, it plans to end its waiver to the requirement that all plants and facilities involved in exporting to Thailand must be inspected by the Thai Department of Livestock Development (DLD).  The has long opposed such inspections, arguing that system-wide approval of FSIS approved establishments provides adequate food safety safeguards to Thai consumers.  USMEF is devising a strategy to maintain the current eligibility of all FSIS plants to export to Thailand without further inspection.

According to the Thai Customs Department, Thailand’s meat and edible meat offal imports (chapter 2 in the harmonized codes) amounted to $4.17 million in 2001, $4.29 million in 2000, and $6.11 million in 1999.  Thai Customs data indicate that annual U.S. exports to the Thai market were about $1.0 million (1999-2001), accounting for 20 percent of total imports.