Animal diseases, market access and animal identification are some of the chal...
Animal diseases, market access and animal identification are some of the challenges facing U.S. beef exports, but there are also many opportunities, U.S. Meat Export Federation (USMEF) Chairman John Bellinger told producers Tuesday (March 28) attending the Texas and Southwestern Cattle Raisers Association 129th Annual Convention in San Antonio.
The U.S. beef industry exported to more than 130 countries in 2003, prior to the first discovery of bovine spongiform encephalopathy (BSE) in the United States that shut down access to 72 of those markets.
But foot-and-mouth disease (FMD) could be even more damaging to the U.S. beef industry. “We need to do everything we possibly can to keep FMD out of the country,” Bellinger said. “BSE is nothing compared to what FMD can do to our international markets.”
An FMD outbreak in Brazil last October resulted in more than 30 countries banning Brazilian beef, threatening the viability of the world’s largest beef exporter.
Also, Argentina recently imposed a six-month ban on beef exports to boost domestic supply. Argentina is the world’s third largest beef producer and a key beef supplier to Europe, so its move to suspend exports could open opportunities for other countries, such as the United States.
“There are many markets, such as Europe, that are so different today than they were 10 years ago,” Bellinger said. “New opportunities exist for U.S. beef around the world, but we have to have access to those markets.”
Since the first case of BSE in the United States, more than 45 closed markets have reopened to U.S. beef and beef variety meat, with exports last year 47 percent higher in volume, at 472,668 metric tons (mt), and 69 percent higher in value, at $1.365 billion, than in 2004.
“Opportunities in variety meat are notable since nearly half of our variety meat is exported, and this potentially could produce a tremendous amount of additional money per head of cattle,” Bellinger said.
For example, Bellinger said, when Egypt, a strong market for beef livers, reopened to U.S. beef last March, USMEF persuaded the trendsetting JW’s Steakhouse at the Cairo Marriot to feature U.S. beef liver cutlets on its menu.
The success of the cutlets and other U.S. beef dishes prompted five other hotels to discuss prices and purchase plans of U.S. beef with local importers. Four Cairo hotels and six high-class restaurants are now serving U.S. high-quality steaks, beef liver cutlets and processed beef items as regular menu choices.
Even though the market was open for just nine months last year, U.S. beef variety meat exports to Egypt surpassed 2003 figures. Volume totaled 28,715 mt compared to 23,290 mt in 2003 and value was $44.6 million last year compared to $19.4 million in 2003.
Bellinger also discussed animal identification in the United States with the cattlemen, and he reported that the group appeared to be “split down the middle” over the issue. Some felt it would mean "big government" would be keeping track of what they own.
When asked what international customers think of the current U.S. animal identification program, he told cattlemen, “They don’t think much of it, since we really do not have one as compared to Australia, New Zealand and Canada.”
Bellinger noted for U.S. beef to get back into closed markets and to find new opportunities, the involvement of USMEF is essential.
“USMEF is the major facilitator of the issues and questions between our government and the international governments,” Bellinger said. “They are in the trenches of markets around the world to make sure vital information is delivered to decision-makers, media and consumers so they are able to enjoy U.S. beef with confidence.”
Bellinger’s presentation can be accessed online.
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 –