US looks to double EU beef exports
Exports are expected to exceed 6,000 tonnes this year, and the target is 12,000 tonnes in 2008, excluding “variety meats”.
The Federation’s target slightly exceeds the current annual EU quota of 11,500 tonnes, even though it would mean paying stiff duties on shipments exceeding the quota.
Federation sources are optimistic that the US and EU will be able to negotiate an increase to the current quota. US and EU officials have been quietly working on technical issues, such as how cattle are processed and how carcasses are rinsed, that need to be addressed before quota increases can be considered.
Beef shipped to the EU must come from cattle which have not been implanted with growth hormones.
The exports have already increased from 2,066 tonnes from January-August in 2006 to 4,554 tonnes in the same period this year.
With the European Commission predicting that beef imports from all sources could reach 350,000 tonnes in 2007, and as high as 750,000 tonnes by 2012, and the US dollar weakening against the euro, the opportunity may be taken to diversify beyond big suppliers such as Brazil.
