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Although there is still a lot of work to do, leaders of the U.S. Meat Export ...

Published: Sep 22, 2006

Although there is still a lot of work to do, leaders of the U.S. Meat Export Federation (USMEF) say they are “extremely pleased by the reception” to the reintroduction of U.S. beef in Japan. In a telephone press conference from Osaka Friday, Phil Seng, USMEF president and CEO, said there is tremendous interest in the product, and demand is increasing.

Seng was in Japan this week with USMEF Chairman John Bellinger to help launch and participate in efforts that will secure Japanese acceptance of U.S. beef in that country. On Tuesday they attended a reception with U.S. Ambassador to Japan J. Thomas Schieffer, and have toured meat markets and conducted press conferences with Japanese media to address concerns and provide information.

Among USMEF efforts to improve Japanese demand for U.S. beef is the “We Care” campaign, which is working to reassure Japanese consumers as to the safety and wholesomeness of U.S. beef, while encouraging Japanese marketers that it’s a product they should carry. He said the approach, which takes a reassurance rather than marketing stance, expresses genuine concern that is appreciated in the Japan market.

The “We Care” campaign has several components, including advertising and a new “Kitchen Car” unveiled during the Japan trip. Seng said the car is actually a van that can travel throughout the country and cook and provide samples of beef, as well as information, to consumers. In addition, five seminars in cities across Japan have reached about 800 people in the meat trade, representing approximately 90 percent of the buying power for U.S. beef in Japan.

“The more they (the Japanese) trust the product, the more they’re going to want it,” he said. Response to the campaign from consumers, trade and the government has been extremely positive, he said.

Bellinger noted there was considerable interest in the Japan market in the 17 new cuts introduced earlier by USMEF. “From an industry perspective, acceptance of these new cuts provides us with a better chance of selling an entire carcass identified for this market,” he said. “For the Japanese, this is a chance to offer greater variety and more product at a better price.”

Seng told reporters that the three most significant limiting factors to expanded sales are a shortage of qualified U.S. cattle, a slow, expensive and burdensome customs clearance process, and high consumer prices. He said the best way U.S. producers could assure greater access to the Japan market for beef from their animals is to keep good birth records, as Japanese buyers appear to put more weight on the chronological age of the animal than the maturity classification of the carcass during grading.

The maximum age for U.S. animals that qualify beef for the Japanese market is now 20 months. However, there continues to be significant discussion within the Japan scientific community on that issue, Seng noted. Japan has reported cases of BSE in animals 21 and 23 month old, but further scientific review of those reports bring those results into question.

Further research is being conducted in Japan, where officials will make the ultimate decision on acceptance of beef from animals more than 20 months old. “It will be very hard for them not to move” if the science doesn’t support a 20 month age limit, Seng said.

Seng said there is still “a lot of work to do,” especially since demand for beef in general has decreased since the BSE problem in Japan began. Furthermore, the culture in Japan generally causes consumers to defer to domestic product. Still, U.S. officials have been pleased with the reception in Japan, as there has been tremendous interest shown in the product by both consumers and the trade, with demand continuing to increase.

Based on a recent consumer tracking survey, more than half of Japanese consumers agree with their government’s decision to resume U.S. beef imports, while 54.5 percent said they would order U.S. beef in restaurants and 50.5 percent said they would purchase U.S. beef at supermarkets. Seng noted that beef from all foreign countries – including Australia and New Zealand – is looked upon with skepticism by Japanese consumers.

The U.S. Meat Export Federation is the trade association responsible for developing international markets for the U.S. red meat industry and is funded by USDA, exporting companies, and the beef, pork, lamb, corn, sorghum and soybean checkoff programs.

– USMEF –

Note to Editors: For more information on the 17 new beef cuts USMEF developed for the Japanese market, see the following publications on the USMEF Web site: New Alternatives Guide in Japanese (pages 1-15) and the New Alternatives Guide in Japanese (pages 16-34) or the New Alternatives Guide English Translation (no photos).