UNITED STATES-BEEF EXPORTS CLIMBING BACK.
U.S. beef exports rallied in 2008 to almost match export levels in 2003, before the mad-cow-disease scare cut sales.
Exports have slowly grown over the past four years as U.S. beef has regained trust in top foreign markets.
U.S. Department of Agriculture statistics show $3.62 billion worth of beef was exported last year. That’s the first time beef exports topped $3 billion since 2003, when exports were $3.86 billion.
Beef exports made astronomical gains in key markets such as South Korea, Vietnam, Europe and Russia.
Colorado maintained third place among states for total beef exports in 2008 and was second for fresh and chilled beef, according to the Colorado Department of Agriculture. Colorado became the leading beef supplier to Canada and the No. 2 supplier to Japan and Mexico.
"Colorado beef exports have been screaming over the last few years. Having those exports coming out of Colorado instead of other states, that’s wonderful," said Tom Lipetzky, director of the Division of Markets for the Colorado Department of Agriculture.
Despite the gains, a significant deterrent still lurks this year for Colorado and national suppliers.
Japan has been slow to lift trade restrictions that date to the 2003 scare over mad cow, also known as bovine spongiform encephalopathy, or BSE. Although Japan has shown a 54 percent gain since 2007, it is still importing only slightly more than a quarter of what it was in 2003.
Japan’s trade block comes even after U.S. beef has been certified safe by several organizations, including the World Organization for Animal Health.
The ban excludes beef from cattle older than 20 months, since BSE doesn’t surface in cattle until they’ve reached older age.
Ninety percent to 95 percent of U.S. cattle slaughtered are between 15 and 24 months old.
The ban frustrates Colorado suppliers because the World Organization for Animal Health has said the 30-month limit commonly used in other world markets is safe.
"It’s not science- based. It’s very cumbersome," said Chandler Keys, spokesman for JBS-Swift, which runs one of the nation’s largest meat-processing plants in Greeley. "You can’t supply the same volume of beef that you could with a 30-month limit."
A change in rules by Japan would mean millions of additional dollars for Colorado suppliers.
"Being stuck at 20 months instead of 30 months basically reduces the value per head of cattle (by) $80 to $90," said Tim Larsen, senior international marketing specialist for the Colorado Department of Agriculture. "That comes out to $60 million we’re missing out on."
