Audio: Doubling of U.S. Pork Quota Could Boost Export Opportunities to Russia...

The United States and Russia recently agreed to changes in the protocol governing trade of poultry, beef and pork. The biggest gain for U.S. farmers and ranchers in this new agreement is a near doubling of the country-specific tariff rate quota for U.S. pork.

The quota had been 50,300 metric tons (110.9 million pounds) per year, but has now been increased to 100,000 metric tons (220.5 million pounds) for 2009. The trade protocol between the two countries has been in place since 2005, and the U.S. pork quota has never exceeded 55,000 metric tons during that time. The previous high was 54,800 metric tons – about 119 million pounds - during 2006.

According to USMEF Economist Erin Daley, Russia is attempting to grow its own pork industry. But it simply doesn’t have enough domestic pork production at this time to meet its growing needs.

Audio Clip #1               :24                    Outcue:   (… during 2009.)

As Ms. Daley explains, this increase in the quota will help make U.S. pork more affordable to Russia. Pork entering Russia within the quota is only subject to a 15 percent duty, while the tariff rate for above-quota imports is increasing from 60 percent to 75 percent. The higher quota is especially important, because of a growing presence of U.S. pork in Russia.

Audio Clip #2               :30                    Outcue:   (… metric tons this year.)

  # # #

The U.S. Meat Export Federation (www.USMEF.org) 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, corn and soybean checkoff programs.