US access opens up high value market for steak
He will announce a dedicated website aimed at American consumers, highlighting the quality of Irish beef.
With individual Irish beef processors now allowed to seek export licenses for the US, the expected trade benefit in 2015 is €50-100m.
Mr Coveney said, “The Department has been working with interested Irish plants to assess their readiness and suitability for export for some time and this work will intensify now in order that the trade can formally commence as soon as possible.
“We now have first-mover advantage as a result of being the first EU member state to gain entry. There is also the large Irish-American community, which will be a key target of our promotional efforts for Irish beef now.”
Meat Industry Ireland Senior Executive Joe Ryan said: “USDA approval is important from the perspective of Irish beef’s international reputation.”
“We believe that the US market will ultimately be a high value, low volume niche market, principally for Irish grass-fed steak cuts. However, at present, due to lower than normal beef production in the US, there is opportunity to potentially export greater volumes, including manufacturing beef, in the course of 2015 and hopefully 2016, while US herd rebuilding is under way. The next steps are to agree a veterinary certificate, clarify outstanding details and progress the approval of additional plants beyond those initially approved.”
Niall Browne, CEO of Dawn Meats anticipated a “considerable opportunity”, based on their customer visits and meetings in the US over the last two years.
The US breakthrough follows ABP Food Group recently becoming the first Irish company to sign a major prime beef contract with a Japanese company, since a ban in 2000 due to BSE. The contract is valued at over €4m, and first deliveries are expected in the New Year. Ireland is one of only three European countries with access to the Japan market.
Last month, China audited Ireland with a view to allowing Irish beef in.
The European Commission said the Irish breakthrough sends a positive signal to other EU member states who requested the US to re-establish access to the US beef market.
Britain may regain access to the US market later this year, according to a spokesman at the Department for Environment, Food and Rural Affairs in London. US inspectors will probably check British plants in the next few months, he said.
