In December 2003 Korea closed its market to U.S. beef products after a case of mad cow disease (Bovine Spongiform Encephalopathy or BSE) was discovered in Washington State. U.S. beef exports to Korea had grown a lot over the preceding ten years, and by 2003 Korea was U.S.'s third biggest export market.
Kenneth Mathews, Monte Vandeveer, and Ronald Gustafson provide a useful overview of events from 2003 through June 2006 in An Economic Chronology of Bovine Spongiform Encephalopathy in North America (USDA)
On January 13, 2006, the U.S. and Korea announced that technical consultations had led to an agreement on an initial beef import protocol that would lead to a reopening of the Korean market to U.S. beef products. Here is the joint press release from the Department of Agriculture and the United States Trade Representative: Secretary Johanns and USTR Portman Welcome Progress to Reopen Korean Market to U.S. Beef (January 13, 2006).
Here's the text of the press release from the U.S. Meat Export Federation: South Korea-U.S. Agreement To End Beef Ban Seen As Important First Step (Jan 13, 2006):
...“The government of South Korea, through its Animal Health Committee and Ministry of Agriculture and Forestry has completed its own vigorous review of U.S. beef and found it safe,” USMEF President and CEO Philip M. Seng said in a statement released in Seoul. “Today’s announcement that South Korea is ready to again open to U.S. beef should be the signal to South Korean consumers that they can be confident in our products.”...
The agreement announced today limits U.S. imports to boneless beef from cattle under 30 months of age with specific risk materials, such as spinal cord and brain, removed in accordance to the United States Department of Agriculture (USDA) safety protocols.
Variety meat, which made up about 14 percent U.S. beef product exported to South Korea in 2003, is excluded. Other criteria apparently established in the agreement will be included in a new beef verification program. U.S. beef exports will likely arrive in South Korea in late March once the export verification program is finalized....
"Late March" would prove to be very optimistic.
The U.S. Meat Export Federation 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, lamb, corn, sorghum and soybean checkoff programs.
Pete Hisey reported for meatingplace.com:
The negotiations in Seoul between Chuck Lambert, deputy undersecretary of marketing for USDA, and Park Hyun-Chool, director general of the South Korean Agriculture Ministry’s livestock bureau ,bore partial fruit when the two agreed that boneless beef from animals under 30 months of age would be allowed on Korean shelves, probably by late March.However, the Korean delegation refused to budge on the issue of bone-in product, which includes the beef ribs Korean consumers covet, and which made up about two-thirds of trade prior to the market closing in December 2003. Variety meats, which accounted for another 14 percent of sales, will also remain banned unless the United States can change Seoul’s mind.”Today’s announcement that South Korea is ready to again open to U.S. beef should be a signal to South Korean consumers that they can be confident in our products,” said Philip Seng, chief executive of the U.S. Meat Export Federation, who called the agreement “an important first step.”A new verification program is part of the agreement, and it may take significant time to finalize the program, leading to the March estimate. (hat tip the Beef Blog: Exports to South Korea expected to begin in March , January 16, 2006)
By March 1, the Koreans were announcing plans to send an official delegation to the U.S. to inspect U.S. beef production facilities: S. Korea To Inspect U.S. Beef Plants In Early March (Bill Tomson, Dow Jones):
South Korea is preparing to send government officials to inspect U.S. beef production facilities in early March as part of a negotiated process to ease South Korea’s import ban, government and industry officials said.
A South Korean government official said details on the trip are being worked out now in Seoul and a U.S. industry representative said the delegation is expected to arrive in the U.S. on March 6. The officials spoke on condition of anonymity.
U.S. industry officials said the delegation is expected to inspect more than 20 U.S. beef facilities....
U.S. and South Korean negotiators reached a preliminary deal in January that would allow some exports of U.S. beef products to resume.
USDA Secretary Mike Johanns has said recently he expects that to happen by the end of March.
The January agreement reached by U.S. and South Korean negotiators in Seoul would allow the U.S. export only boneless beef from cattle under 30 month old and would continue to ban bovine offal products.... (hat tip the Beef Blog: S. Korea to Inspect U.S. Beef Plants in Early March, March 1, 2006)
This post was prepared on November 4, 2007 but dated January 13, 2006.
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