Today 7/27/2006 9:36:00 AM
Creekstone Farms Praises Japan For Reopening Beef Market
KANSAS CITY (Dow Jones)--Creekstone Farms Premium Beef, a producer and processor of high-quality U.S. beef, said Thursday it applauded the overnight announcement by Japan that it is reopening its market to U.S. beef.
However, the company criticized the U.S. Department of Agriculture for its policies that are keeping the South Korean market closed. South Korean inspectors passed some U.S. packers for export but rejected some others because of the possibility of getting Canadian beef mixed in with the order.
"(USDA) Secretary (Mike) Johanns is hurting beef processors, cattle producers, and US trade by holding up this process," said John Stewart, CEO and founder of Creekstone Farms in a press release. "He should immediately allow those plants that passed inspection to begin shipping beef to South Korea. Moreover, Johanns must separately and quickly resolve the issues regarding bone chip tolerance and the segregation of Canadian beef from domestic beef at the processing level," he said.
Creekstone Farms said it was not only pleased with the speed with which Japanese officials carried out plant inspections, but also with the auditing process that found only minor issues in two of the 35 reviewed plants.
However, officials were cautious about prospects for the U.S. to regain its former market share.
"While Japan's decision to reopen is great news for American beef producers and processors," Stewart said, "today's announcement does not guarantee that U.S. beef processors can quickly regain our market share." Currently, Australia and New Zealand hold more than 80% of the Japanese beef market.
"According to recent public opinion polls, a large majority of Japanese consumers are extremely cautious when it comes to purchasing and eating US beef," Stewart said. Stewart also said that in addition to consumer resistance, there has been a decline in Japan's per capita beef consumption since the original ban was put in place Dec. 23, 2003.
Stewart took the opportunity to press Creekstone's issue with the USDA to allow 100% testing of slaughtered cattle for bovine spongiform encephalopathy, or mad-cow disease.
"American beef processors in the short run are only going to regain markets lost to Australia and New Zealand (which have both been certified as 'BSE free' by the World Organization for Animal Health and have no reported cases of BSE), by doing everything we can to satisfy Japanese customer and consumer concerns," said Stewart in the release. "And that means 100% BSE testing, if those consumers are requesting that method of reassurance."
Current USDA policy prevents such testing, and Creekstone has filed suit in federal court challenging the policy.
Source: Lester Aldrich; Dow Jones Newswires; 913-322-5179; [email protected]
Creekstone Farms Praises Japan For Reopening Beef Market
KANSAS CITY (Dow Jones)--Creekstone Farms Premium Beef, a producer and processor of high-quality U.S. beef, said Thursday it applauded the overnight announcement by Japan that it is reopening its market to U.S. beef.
However, the company criticized the U.S. Department of Agriculture for its policies that are keeping the South Korean market closed. South Korean inspectors passed some U.S. packers for export but rejected some others because of the possibility of getting Canadian beef mixed in with the order.
"(USDA) Secretary (Mike) Johanns is hurting beef processors, cattle producers, and US trade by holding up this process," said John Stewart, CEO and founder of Creekstone Farms in a press release. "He should immediately allow those plants that passed inspection to begin shipping beef to South Korea. Moreover, Johanns must separately and quickly resolve the issues regarding bone chip tolerance and the segregation of Canadian beef from domestic beef at the processing level," he said.
Creekstone Farms said it was not only pleased with the speed with which Japanese officials carried out plant inspections, but also with the auditing process that found only minor issues in two of the 35 reviewed plants.
However, officials were cautious about prospects for the U.S. to regain its former market share.
"While Japan's decision to reopen is great news for American beef producers and processors," Stewart said, "today's announcement does not guarantee that U.S. beef processors can quickly regain our market share." Currently, Australia and New Zealand hold more than 80% of the Japanese beef market.
"According to recent public opinion polls, a large majority of Japanese consumers are extremely cautious when it comes to purchasing and eating US beef," Stewart said. Stewart also said that in addition to consumer resistance, there has been a decline in Japan's per capita beef consumption since the original ban was put in place Dec. 23, 2003.
Stewart took the opportunity to press Creekstone's issue with the USDA to allow 100% testing of slaughtered cattle for bovine spongiform encephalopathy, or mad-cow disease.
"American beef processors in the short run are only going to regain markets lost to Australia and New Zealand (which have both been certified as 'BSE free' by the World Organization for Animal Health and have no reported cases of BSE), by doing everything we can to satisfy Japanese customer and consumer concerns," said Stewart in the release. "And that means 100% BSE testing, if those consumers are requesting that method of reassurance."
Current USDA policy prevents such testing, and Creekstone has filed suit in federal court challenging the policy.
Source: Lester Aldrich; Dow Jones Newswires; 913-322-5179; [email protected]