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Aussies Boost from USDA Mistake

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Well-known member
Feb 10, 2005
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Montgomery, Al
Australia beef gets new boost from Japan's United States ban
SYDNEY: Australia's booming beef industry has been given another boost from Japan's lastest ban on U.S. beef, with prices already rising and another big year of exports in store to the top North Asian market.

Australian beef, which rocketed to a 90 percent share of the Japanese market after the country banned U.S. beef for two years in late 2003, was spared from losing a big chunk of that business when the Tokyo government reimposed the ban two weeks ago.

''In the short-term clearly it does help us,'' said Peter Weeks, chief market analyst at Australia's meat industry authority Meat & Livestock Australia.

The ban on U.S. beef imports, lifted just a month previously, was reinstated on Jan. 20 after inspectors at a Japanese airport discovered spinal material -- prohibited under a beef trade agreement between the two countries -- in veal shipped by a New York meatpacker.

The initial ban was imposed after the discovery of mad cow disease in the United States in December 2003, which had halted annual trade worth about $1.4 billion.

Australian beef is already reaping a pay-off from the new ban, with cattle prices rising to boost the Eastern Young Cattle Indicator to 359 Australian cents a kilogram on Wednesday, up from 349 just before Japan's new ban.

Prices of Australian cattle had been expected to decline by at least 10 percent in 2006 because of the expected loss of market share in Japan. The price fall would now probably be limited to less than 5 percent, Weeks said.

Michael Hartmann, deputy director of Cattle Council of Australia, which represents Australia's cattle producers, welcomed gains for the Australian industry but added that the latest ban would not improve world-wide demand for beef.

The trade consensus is that the new bans will cause a delay of three to six months in U.S. beef sales to Japan. U.S. beef will probably not be back in Japan until mid-year, Weeks said.

Even when it does return, Japanese consumers and traders could be more wary of American beef than before, giving Australian beef a long-term structural boost.

While Japan's ban on U.S. beef should aid Australian beef exports, 2006 is still likely to see some decline in the value of exports following the near record A$4.3 billion ($3.3 billion) posted in 2005.

Korea and Hong Kong, both significant beef markets, have eased bans on U.S. beef, and Taiwan will soon resume imports.

''In a broad sense we're disappointed to see BSE back on the front pages of Japanese newspapers,'' Weeks said. ''It's going to mean the job of getting consumers in Japan back to eating beef the way they used to be will be that much harder.'' ($1=A$1.32)


Well-known member
Aug 26, 2005
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Johannes should be transferred over to the New Orleans relief effort. He is used to welfare and doesn't give a dam about the levy he has placed our export markets in Japan.

Maybe the military can help out on this one. It is about the only thing that the Bush administration can get to work right.


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Mar 2, 2005
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ABC [4 Feb 2006] Austrailia
US not expected to be major player in North Asia beef market

The new head of Meat and Livestock Australia (MLA) does not believe the US will be a major force in the North Asian beef market when it finally regains full access to Japan and Korea.

The US lost market access to Japan in 2003 after an outbreak of mad cow disease.

It regained access in December but the ban was reimposed when a consignment of beef was found to contain banned spinal material.

MLA's David Palmer says the US has still to renegotiate new trading protocols but its unlikely to take a lion's share of the market.

"The American market is very strong. There's high demand. The population growth here is staggering," he said.

"They're now approaching 300 million people. Their consumption of beef is phenomenal.

"The herd is finding it difficult to keep pace with human population growth and how they perform back on the export markets following agreements with various countries remains to be seen."

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