USMEF Board Meeting Kicks Off in Nation's Capital

USMEF Board Meeting Kicks Off in Nation’s Capital

The annual meeting of the USMEF board of directors got underway in Washington, D.C., Wednesday, with much of the focus centered on the uncertain economic climate facing the meat industry. With the global economic downturn already impacting consumer activity and depressing the currencies of many trading partners, the interruption in trade caused by the A-H1N1 Influenza outbreak has presented a further challenge for global trade. But USMEF Chairman Jon Caspers, a pork producer from Swaledale, Iowa, said exports of U.S. pork and beef have managed to exceed the expectations of some analysts who had predicted a steep downturn in 2009.

“Really we’re doing a lot better than many had expected, with pork exports exceeding last year’s record pace by 8 percent in volume and 10 percent in value year-to-date (through the first quarter of 2009),” he said. “Beef exports are also up by 3 percent in volume and by a small amount (about 1 percent) in value. We also have some positives signs for beef on the horizon, such as the E.U. agreement that was recently negotiated. Certainly it’s not everything that we wanted, but it puts us in a position to make future progress. Also we’re encouraged that the new Administration has engaged with the industry, has worked to expand exports, and seems receptive to the industry regarding further trade expansion opportunities.”

Chairman Jon Caspers welcomes members to the USMEF board of directors meeting

Caspers acknowledged, however, that the industry faces a very uncertain terrain in its efforts to continue the growth of U.S. meat exports.

“Asian market access for beef is going to continue to be a challenge,” he said. “Will we be able to make progress using a step-by-step process, or will we have another year of lost opportunities? Will the trade suspensions from A-H1N1 Influenza be short-term, or will they linger and deal us additional setbacks?”

The keynote speaker for Wednesday’s general session was Jim Miller, USDA under secretary for Farm and Foreign Agricultural Services. Miller thanked USMEF members for the support and expertise the organization has provided to USDA.

“We’re working very closely together on a whole host of issues that face your industry,” he said. “So USMEF certainly has my appreciation, that of Secretary Vilsack, and really all of USDA for the work that you do with us and the advice and counsel you provide us as we go about this big job of trying to grow our export markets.”

Jim Miller, USDA under secretary for Farm and Foreign Agricultural Services

Miller said the Obama Administration is extremely focused on expanding trade opportunities, and feels strongly that a fresh approach is in order.

“I don’t believe we can just continue along the same path we’ve followed before,” he said. “We’re going to have to be more progressive and aggressive, and we have to figure out a way to ensure that we have a very responsible trade agenda that will help producers, help this industry, and help all other sectors of agriculture as we move through this economic crisis. We are going to use every tool we have available to break down the wide range of trade barriers that American exporters face in the world.”

Miller also addressed the prospects for several pending free trade agreements, specifically discussing proposed FTAs with Panama, Colombia and South Korea. He stated that strong bipartisan support exists in Congress for the agreement with Panama, and expressed confidence that it will be ratified after resolution of specific issues. The Office of U.S. Trade Representative (USTR) is undergoing a review of the Colombia FTA in hopes of resolving some contentious issues and building support for that agreement. He said that while several issues are under discussion with Korea, time may be of the essence because a number of competitors, such as the European Union and Australia, are aggressively seeking expanded access to that market.

“We have significant issues with Korea, particularly concerning how we are going to move forward more aggressively with our beef trade,” he explained. “But we also have to recognize that if our competitors gain access to that market in a preferred way, prior to us gaining access into that market, it could have an even larger negative impact on our beef and pork exports.”

The final speaker at Wednesday’s session was Jim Wiesemeyer, vice president of the Washington bureau for Informa Economics. In his customary fashion, Wiesemeyer offered a candid and colorful perspective on trade issues, tax and fiscal policy, and other pressing issues facing Congress and the Obama Administration.

The USMEF board of directors meeting continues through Friday. Visit www.usmef.org for updates.

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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.