The U.K. beef industry will suffocate through lack of financial oxygen unless there is immediate and radical price restructuring at retail and processing level, the British National Beef Association warned.

The NBA says the low price knot has been pulled too tight by desperate, and ultimately shortsighted, competition between multiple retailers and will choke the entire sector unless it is immediately slackened.

“The fierce retail instinct to knock seven bells out of rival companies through persistent and progressive undercutting of a core, home produced, agricultural product like beef has become a long term threat to the existence of the U.K. industry itself,” NBA chief executive Robert Forster said. “We are dismayed to discover that none of the retailers, and therefore none of the processors that serve them, are making money and can only conclude that it will be impossible for the domestic industry to survive CAP reform in January unless the many hands that are pulling the price cord ever tighter round its neck realize what they are doing and quickly change tactics.”

According the NBA it will still be possible for the multiples to deliver competitive low prices, and high quality products, to their customers without destroying their production base as long as they concentrate on manufactured grocery items and specialist products with high added value.

“These deliver big margins that they can use to compete with but if they continue to use core U.K. agricultural products, with little or no added value, as sticks to beat each other round the head they will destroy both their supply and processing base – which is not a very clever thing to do at all,” Forster said.

He added: “We have no doubt that every supermarket in the U.K. wants to maintain its commitment to U.K. beef because it is a high quality, high provenance product that satisfies all their long term aspirations on social and environmental integrity – which many beef imports do not. On top of that they know better than anyone else that a well organised home supply base is the best defense they have against delivery interruptions and the nightmare of empty shelves. But if they want to be sure of having home produced beef to sell in future they must be more selective about the products they use in their battle for value supremacy and acknowledge that it will be impossible for the U.K. beef sector to maintain its structures unless the oxygen of genuine profit is quickly let in to the supply system from the top. Our long stated, and entirely correct, view is that the U.K. beef sector can adjust to the production cost challenges thrown at it by the withdrawal of direct subsidies in January if beef cattle are very quickly purchased by processors for 250p per dwkg compared with around 195p at present.

Forster said that this encouraging signal must be put into effect quickly or many farmers may abandon production. If they do, supermarkets may not be able to correct the resulting shortages.

Web posted: September 7, 2004
 

Finished beef cattle have become more costly in August in Australia due to shrinking supplies. The reduction in supply has resulted in increased competition among processors who are keen to purchase adequate numbers to maintain daily kills, Meat and Livestock Australia said.

“Historically, cattle supply in August is seasonally tight, with a reduction in numbers available in both the physical markets and direct to works,” MLA stated in a release. “Processors this year have been forced to lift rates in order to remain competitive on the limited supplies.”

Grown steers experienced strong improvements last week, with medium weight lines gaining A$0.06, and many sold in excess of A$2.00 per kg liveweight. Lotfeeders underpinned the medium weights, purchasing 43 percent of the C3s at an average of A$1.938 per kg liveweight. Heavy steers remained steady, while bullocks were also unchanged at A$1.915 per kg. Cow prices fluctuated, depending on quality, MLA reported.

During the past few weeks, an increased percentage of lighter conditioned descriptions have been offered, as producers look to cull dry cows and save available feed for breeding stock. Overall, medium and heavy weight 3 and 4 score cows averaged approximately A$1.50, while the strongest competition was for heavy weight 4 scores, which gained A$0.01 per kg.

Web posted: August 22, 2004
 

The European Food Safety Authority has issued seven up-to-date scientific reports on the Geographical Bovine Spongiform Encephalopathy Risk assessments for Australia, Canada, Mexico, Norway, South Africa, Sweden, and the United States.

While Australia’s GBR level I (i.e. presence of BSE in domestic cattle is highly unlikely) is maintained, the EFSA raised Norway’s GBR to level II (presence of BSE unlikely but not excluded). Sweden remained at GBR level II and those for Canada and the United States were raised to level III (presence of BSE likely but not confirmed, or confirmed at a lower level) following a new assessment taking into account the most recent evidence.

EFSA’s Scientific Expert Working Group on geographic BSE risk assessment also evaluated the status of Mexico and South Africa which were classified as level III. In 2003 EFSA was requested by the European Commission (EC) to re-assess the GBR for 13 countries: Australia, Botswana, Canada, Costa Rica, El Salvador, Nicaragua, Namibia, Norway, Mexico, Panama, Swaziland, Sweden and the United States.

Although the European Commission did not specifically seek advice from EFSA relating to the appearance of BSE in South Africa, the working group decided to carry out a risk assessment for this country under a self-tasking mandate in order to allow for a meaningful evaluation of the three other countries in the Southern African Region for which a GBR assessment was requested (i.e. Botswana, Namibia, Swaziland).

EFSA’s Scientific Expert Working Group on the Assessment of the GBR has completed to date those assessments relating to Australia, Canada, Mexico, Norway, South Africa, Sweden and the United States. The GBR assessments for the remaining countries will be finalized at the end of 2004. In conducting the GBR assessments, EFSA’s GBR working group followed the methodology developed by the former Scientific Steering Committee of DG Health and Consumer Safety of the European Commission which is described in its final opinion on GBR assessment. The published risk assessments are based on up-to-date data provided by the countries concerned as well as other sources of data (i.e. Eurostat and country export data) covering the period of 1980 to 2003.

Web posted: August 23, 2004
 

Campylobacter is a common contaminant of raw poultry and a primary cause of diarrhea in humans. A cooperative effort between researchers at North Carolina State University and Auburn University attempted to measure the benefits of broiler carcass washing systems on Campylobacter contamination.

The researchers evaluated broiler carcass washers in four large U.S. broiler processing plants. The carcass washers included inside/outside washers and home-made systems. The results were reported in the July 2004 issue of the scientific journal Poultry Science

According to the researcher’s observations, carcass washers reducedCampylobacter contamination by an average of only 0.5 log cfu per ml – 4.8 log to 4.3 log. However, the addition of processing aids – trisodium phosphate or acidified so0dium chlorite – reduced contamination be an additional 1.03 to 1.26 log.

Web posted: August 16, 2004

A recently completed research project -- funded by the U.S. Poultry and Egg Association, Tucker, Georgia -- investigated factors affecting broiler mortality during live haul. “Broilers that are dead-on-arrival at processing plants are a common occurrence throughout the poultry industry,” Dr. Casey Ritz, one of the researchers involved in the project said. “These unrecoverable birds present the industry with a triple-edged challenge: evaluating the economic impact of DOA on net returns, determining causes of DOA and corresponding appropriate corrective actions, and addressing animal welfare issues as they relate to DOA and the live haul process.”

The research project characterized the pre-slaughter thermal environment of broilers and to better understand the thermal changes affecting poultry during live haul. The intended outcome of the research is to aid in determining appropriate measures to reduce the incidence of poultry DOA. The objectives of the project were to:

* Evaluate environmental temperatures experienced by broilers during live haul.

* Assess factors that contribute to the incidence of DOA during live haul such as health status and physical injury.

* Evaluate methods to minimize broiler DOAs.

The researchers found that air temperature during catch, pre-transport on the farm, and holding shed conditions and duration at the processing plant are primary points where heat stress can impact broilers. Crowding of birds in the house and catch delays can result in elevated temperatures for extended lengths of time prior to transport.

The study was conducted during the summer months. However, transport over distances typical of live haul in broiler complexes does not appear to have as dramatic impact on the thermal environment experienced by the birds as other stages of the live haul process. “Prolonged transport time, however, would presumably have greater impact on the incidence of DOA,” the researchers said.

The researchers also found that while physical injury and thermal stress appear to be leading causes of DOA, factors such as flock health status on the farm and physical injury during processing also contribute to the incidence of DOA. Of the DOA broilers evaluated by necropsy in this study, 39 percent were linked to pre-existing flock health status and 61 percent to handling and management issues. “Determining the definitive cause of DOA during commercial live haul can be difficult due to the variety of factors that can impact the physical and physiological well-being of birds,” the researchers said.

Minimizing in-house heat accumulation and crowding can reduce mortality. The researchers observed that the use of fan trailers had a dramatic cooling effect on the birds as they awaited transport. “The fan trailers may be better at cooling birds than current practices of manually wetting birds coupled with the use of large fire fans,” they concluded.

Web posted: August 16, 2004
 

Three people, including two children, have died from avian influenza in Vietnam, according to the Associated Press. The deaths are the first since the disease devastated poultry industries across southeast Asia earlier this year.

All three victims tested positive for the H5N1 strain of the virus and died between July 30 and Aug. 3, Trinh Quan Huan, head of the Ministry of Health's Department for Preventative Medicine and HIV/AIDS Control, said. The two children, ages 4 and 1, died in Ha Tay province about 30 miles west of Hanoi, while the other victim died in southern Hau Giang province in the Mekong Delta, about 110 miles south of Ho Chi Minh City, he said. There was no other information about the victims or how they may have contracted the disease.

Earlier this year, 16 people in Vietnam and eight people in Thailand died of AI-related disease. In order to control the disease, government officials ordered the slaughter of approximately 100 million commercial birds across the region.

Deputy Prime Minister Nguyen Tan Dung sent a telegram to all relevant agencies and provinces in Vietnam urging people to be vigilant against the disease.

In recent months, AI has reappeared in China, Thailand, Indonesia, and Vietnam, which had declared itself free of the disease at the end of March. The last previously confirmed AI death in Vietnam was a 12-year-old boy who died March 15. Vietnamese officials have been struggling to eradicate small outbreaks of the disease.

Web posted: August 12, 2004
 

While seasonally tight supplies saw lamb exports decline significantly on previous months, exports for July totaled 7,048 metric tons, a five percent rise on the same period last year, according to Meat and Livestock Australia.

July lamb exports to the U.S., Australia’s largest market, increased by 26 percent on last year to 1,954 metric tons, due to continuing strong demand, despite higher seasonal saleyard prices.

In the calendar year to July, exports to the United States were up by 14 percent to a record level of 19,331 tons. Exports to Japan continued to increase, with exports for July up by 26 percent compared to last year to 585 metric tons, while shipments to China eased by seven percent to 460 tons.

Web posted: August 9, 2004
 

USDA’s Food Safety and Inspection Service released regulatory sampling data showing a continued downward trend in positive tests for Salmonella. The Hazard Analysis and Critical Control Point rule, implemented July 25, 1996, established Salmonella performance standards in seven categories of meat and poultry products; broilers; market hogs; cows/bulls; steer/heifer; ground beef; ground chicken; and ground turkey. As one part of an extensive science-based food safety system, FSIS collects and analyzes Salmonella samples to verify compliance with HACCP requirements. The testing program was designed to track establishment performance, therefore it may not be reflective of the nationwide prevalence of Salmonella in these products.

Despite minor yearly fluctuations in individual categories, Salmonella rates in all classes of products have decreased to levels well below the HACCP baseline prevalence estimates. Of the random regulatory samples collected and analyzed by FSIS in 2003, 3.8 percent tested positive for Salmonella, as compared with 4.29 percent in 2002; 5.03 percent in 2001; 5.31 percent in 2000; 7.26 percent in 1999; and 10.65 percent in 1998.

Regulatory sampling results for 2003 as compared to the performance standard established in the PR/HACCP rule are as follows: broilers, 12.8 percent compared to a standard of 20 percent; market hogs, 2.5 percent compared to a standard of 8.7 percent; cows/bulls, 1.5 percent compared to a standard of 2.7 percent; steer/heifer, 0.4 percent compared to a standard of 1 percent; ground beef, 1.7 percent compared to a standard of 7.5 percent; ground chicken, 35.5 percent compared to a standard of 44.6 percent; and ground turkey, 25.4 percent compared to a standard of 49.9 percent.

While the regulatory prevalence of Salmonella across all seven product categories continued to decrease in 2003, FSIS is concerned that the percentage of positive Salmonellatests (all sizes of establishments combined) increased slightly in three poultry categories.

The agency will be examining Salmonella testing data from 1998 to the present in order to clearly identify those plants displaying negative performance trends. Enforcement Investigations Analysis Officers will then conduct in-depth HACCP and sanitation verification reviews at those facilities to help ensure that this one year increase does not continue. FSIS compares regulatory testing results to the baseline prevalence measures used in the HACCP program to provide context to the yearly data.

Since 2000, all classes of meat and poultry plants have been subject to Salmonella testing. To ensure that yearly variations in the proportion of samples collected from the seven categories were not responsible for the overall decline in the percentage of positive samples, FSIS weighted the four years of data against the proportion of samples by category in the year 2000. The results show a steady decrease in positive samples in each year of HACCP verification testing.

Web posted: August 8, 2004

Australian goat meat exports jumped by five percent in the 2003-2004 fiscal year compared to the previous year to reach 16,094 metric tons, according to Meat and Livestock Australia. This increase occurred despite mixed results in Australia's export markets.

MLA said goat exports to the Caribbean were down significantly -- dropping 19 percent compared to 2002-2003 to 1,288 metric tons. Similarly, exports to Canada were also down considerably on the previous financial year, falling by over 21 percent to 945 tons. There were also significant decreases in exports to Mexico, the European Union, Malaysia, and Singapore.

On the other hand, MLA said that exports to Australia's two largest markets for goat meat -- the United States and Taiwan -- reversed the trend seen in the majority of Australia's other export markets to record increases in 2003-2004. Shipments to the United States rose six percent compared to 2002-2003 imports to reach 7,811 tons while shipments to Taiwan jumped by 31 percent to 5,065 tons over the same period.

Queensland further cemented its position as Australia's number one goat meat exporting state in 2003-2004 with shipments of Queensland-origin goat meat increasing by 28 percent compared to 2002-2003 to total 6,669 metric tons -- 41 percent of total Australian goat meat exports. Second on the list was Victoria (3,707 tons ), followed by Western Australia (3,138 tons), and New South Wales (1,868 tons).

Web posted: August 4, 2004

The Department of Agriculture in South Africa has reported an outbreak of avian influenza that has affected ostriches on two farms. The outbreak occurred in the Bedford- Somerset-East area (Blue Crane Route Municipal area) of the Eastern Cape Province.

Samples have been taken to determine the exact nature of the virus. Precautionary steps, including quarantine measures and extended surveillance have been put into place to limit and control the spread of the disease and Ministry said it will be meeting with the affected farmers in the Eastern Cape.

As soon as the exact nature of the virus is known, necessary steps will be taken to control the disease. The Department said it would like to appeal to all farmers and members of the public to notify the nearest state veterinary office or animal health technician of any unexpected symptoms or increase in deaths in their animals.

The ministry said that prompt reporting of diseases is essential in rapid deployment of control measures by the National and Provincial Veterinary Authorities.

Web posted: August 5, 2004

USDA’s Animal and Plant Health Inspection Service said it will set more stringent standards for announcing unconfirmed positive results from initial rapid screening tests for bovine spongiform encephalopathy.

Under the revised rule, if a positive sample is detected, two additional assays would be performed. If either additional assay yields positive results, the findings would be announced publicly as an unconfirmed positive sample and definitive tests – immuno-histochemistry -- would be conducted at USDA's National Veterinary Services Laboratories in Ames, Iowa. The new plan -- which took effect Wednesday -- uses the screening tests as the manufacturers instruct them to be used. Five rapid BSE assays from four companies have been approved for use in USDA-certified laboratories.

“According to manufacturer's instructions, if either of the duplicate tests is reactive, the test is deemed inconclusive and confirmatory testing is performed using the immunohistochemistry test--the gold standard test for BSE,” APHIS chief veterinarian Dr. John Clifford explained. “During the initial few months of our testing program as participating laboratories gained proficiency in using the tests, APHIS declared a test inconclusive on the basis of the results of only the first test. To date, two samples have been declared inconclusive for BSE, but have proven to be negative for the disease according to IHC testing.”

“APHIS has now completed proficiency testing of all the BSE labs, including reviewing data from the first 60 days of testing. Based on this review, APHIS will now wait until the duplicate or second-run tests are conducted before declaring a test sample inconclusive. If either of the tests in the second run is reactive, APHIS will announce this result as an inconclusive and will conduct confirmatory testing at National Veterinary Services Laboratories in Ames, Iowa.”

The change “should help protect our industry by maintaining consumer confidence and reducing market volatility,” Jan Lyons, president of the National Cattlemen's Beef Association, said.

Not everyone was pleased with the APHIS decision “I hope this announcement does not slow down the urgency of action that USDA should follow to protect the human food supply,” Caroline Smith DeWaal, director of food safety at the Center for Science in the Public Interest, said. “The inconclusive could become a positive.”

Web posted: August 5, 2004
 

International agriculture body says poultry producers are responsible for the current avian influenza epidemic.

The FAO has cited poultry producers as the primary cause for the spread of the disease, undermining industry's assertions that it is mainly wild birds that spread the disease. Recent outbreaks of avian influenza in China, Thailand, and Viet Nam have led to producers blaming wild birds for the transmission of the disease. The major factors contributing to the spread of the avian influenza virus are poor hygienic practices related to the production, processing, and marketing of poultry, contaminated products, gaps in biosecurity and individuals not following recommended control measures, FAO said. This statement turns the tables back on the industry, after increasing concerns that wildlife was the main cause of the disease being spread between poultry flocks. "Hunting wild birds, some of which are listed as endangered, or cutting down trees to destroy roosting sites, is likely to disperse wild birds into new areas, stress them further and could make them susceptible to avian influenza or other diseases," William Karesh of the Wildlife Conservation Society explained.

. FAO said that improved poultry rearing facilities, transportation vehicles, and biosecurity measures to keep farm poultry, including ducks, from coming into contact with free-flying fowl can diminish the risk of disease spread. In recent months the organization has been working alongside respective governments and representatives of the Asia Pacific poultry processing sector in an effort to drive home this message and prevent further outbreaks of the disease. If surveillance is improved and immediate reporting is strictly applied, starting from the villages, more pockets of infection and disease are bound to be detected at their early stage. This is the best way of dealing with avian influenza, FAO said.

FAO has been pushing hard for greater transparency within the industry by trying to encourage poultry producers to report outbreaks of sickness in their farms as soon as they occur. The organization has been stressing the fact that, by not declaring outbreaks of the disease, the success of control measures will be diminished, leading to further delay restocking investments for poultry farmers.

As a result, FAO recommended that emergency response plans include the immediate destruction of affected poultry flocks using proper protective equipment and clothing that follow its specific guidelines on the subject supported by thorough cleaning and disinfection of the premises. It also said that destroyed or dead birds should never be fed to other animals nor should their carcasses be sold for human consumption. Markets and marketing patterns should be carefully monitored and samples collected for analysis.

At the beginning of this year industry experts were estimating that the AI outbreak would cost the Asia Pacific region somewhere in the region of $500 million, mainly due to the mass culling of nearly 100 million birds. However as the industry continues to be dogged by further outbreaks, costs are rising.

Web posted: July 20, 2004
 

Australian lamb exports in 2003-2004 rose 15 percent compared to the previous fiscal year reaching 112,437 metric tons representing the second highest fiscal year total on record, surpassed only by 2000-2001 when 114,796 metric tons of lamb were exported, according to Meat and Livestock Australia.

Exports to Australia's two largest export markets -- the United States and the United Kingdom -- also reached record levels in 2003-2004 -- jumping 18 percent (to 33,218 metric tons) and 34 percent to 10,951 tons, respectively compared to 2002-2003 exports. There were also strong increases in export demand from Asia with shipments to both China and Japan accelerating to new fiscal year records. China has emerged as a major destination for Australian lamb and after increasing its intake by 62% on last financial year to 8,867 tons, has become the third largest market for Australian lamb. Exports to Japan also increased considerably, rising 41 percent compared to last year to 7,116 metric tons.

Contributing to the historically high exports in 2003-2004 were the record exports for June, which saw shipments lift 22 percent on last year to 10,381 metric tons, MLA explained. “Of particular significance were the record June shipments to Japan, which were more than double the levels in June 2003 at 1,014 tons,” the group said in a statement.

Increased export demand has partly contributed to higher lamb slaughter levels. National slaughter for May increased four percent compared to last year's levels to reach 1.5 million head, while national production jumped 10 percent since last year to reach 31,637 metric tons. Continuing poor seasonal conditions throughout southern Australia and the lack of an autumn break have also contributed to the higher slaughter rates.

Continued sharp declines in eastern states lamb yardings have been the catalyst for further price improvements for trade lambs last week, MLA reported. Medium trade weights (18-20kg) recovered the minimal losses of last week to average A$5.09 for 3 scores and A$5.53 per cwt for four score descriptions. Demand for export weights has improved slightly despite some processors being closed for their annual maintenance periods while others have reduced kill days and/or shifts as a result of the current tight supplies and very dear market. Prices for light export weights (22-24kg) jumped by A$0.05 to average A$5.05 per kg cwt while heavy export weights (26kg+) eased slightly to average A$4.78, but remain A$0.58 per kg cwt above year ago levels.

Web posted: July 11, 2004
 

In the 1990s, the Brazilian government began refocusing its resources on developing its agriculture. The aim was to not only make the largest country in South America self-sufficient in food production but to make it an food-exporting powerhouse. The bold plan is becoming a reality.

“Brazil has now fully embraced agriculture as a way to generate export revenue and encourage employment in rural areas,” USDA’s Foreign Agriculture Service said in its International Trade Report “Meat Brazil.” “The meat sector in particular is regarded as an important channel for valued-added exports.”

Investment in the meat sector has been most noticeable in the south and southeastern regions, where there is generally greater affluence and better access to maritime infrastructure, FAS said. The states of Paraná, Santa Caterina, Rio Grande do Sul, and São Paolo, which comprise less than 10 percent of Brazil's total landmass, encompass 37 percent of the population and 51 percent of GDP; these states also account for 70 percent of poultry production, 49 percent of pork production, and 26 percent of beef production.

While the majority of Brazilian meat exports still originate from these four states, the Cerrado region, a 1.5 million square kilometer expanse located around the central plateaus of Mato Grosso, Mato Grosso do Sul, Goiás, and Minas Gerais, is the new frontier for large-scale agricultural development. Already well known for the production of corn and soybeans, Brazil's Cerrado is also ideally suited for livestock and poultry production.

With abundant feed supplies and inexpensive land still relatively unencumbered by environmental regulations, the Cerrado has vast potential for meat production. Almost half of Brazil's beef herds, which are largely grass fed zebu breeds, are based in the Cerrado. Regional poultry production has also nearly doubled in the six years between 1997 and 2002.

Web posted: July 6, 2004

Beef exports to Korea in June remained strong, with 8,406 metric tons shipped – 39 percent above the same month in 2003, according to Meat and Livestock Australia. Australia is a major beef supplier to Korea. This volume was down 19 percent compared to May, due to a 25 percent reduction in frozen grass-fed product.

Chilled beef exports continue to show strong growth -- up by 22 percent compared to May 2004 and 192 compared to June 2003 to 1,414 metric tons for the month. Chilled grass-fed exports have proved particularly strong with an increase of 321% on the same month last year. Growth in chilled grain-fed exports has also been strong -- up by 129 percent in June compared to year ago levels.

The June export result is the fourth consecutive month of export volumes being above year ago levels. Over this period, there has been a reduced presence of U.S. beef in the Korean market, with stocks now at low levels. However, Australian exports are expected to slow in July, compared to June levels, due to a reduction in orders taken by exporters in recent months. From July, it is expected that orders should pick up again as Korean importers begin to buy stocks in preparation for the September Thanksgiving period, one of the highest beef consumption periods of the year.

Web posted: July 6, 2004

China and Thailand reported new outbreaks of avian influenza, according to an Associated Press report. Recently, Vietnam also reported new cases of AI. Thailand's Deputy Africulture Minister Newin Chidchob confirmed new AI outbreaks in two central provinces where thousands of chickens died recently. The result of laboratory tests in Ayuthaya and Prathumthani provinces have confirmed the existence of the H5N1 strain of the virus, Chidchob said.

The outbreak in China was the first report of AI since China declared it had eradicated the disease nearly four months ago. Tests at a farm in the southeastern province of Anhui have confirmed chickens died of AI, the government said on state-run television. China declared it had defeated the disease in March after killing 9 million chickens and other poultry. But it warned that the disease might come back with warmer weather.

Although the newest cases have affected only poultry, health experts fear AI might mutate and spread from person to person. At its height earlier this year, the disease spread throughout Asia directly killing or causing the slaughter of more than 100 million chickens. Some health experts believe it also spread to from birds to humans in Vietnam and Thailand, killing 24 people.

“It's not surprising that it has come back,” Roy Wadia of the World Health Organization in Beijing, was quoted by the Associated Press. “It stays in the environment a long time.” He added: “I think the experience that China had several months ago has prepared it well.” Hong Kong, which maintains border controls with mainland China, suspended live bird and poultry imports from Anhui province.

Web posted: July 6, 2004
 

Late Friday (June 2) afternoon, USDA announced that a sample collected from a second suspected bovine spongiform encephalopathy-infected bovine was negative for the brain-destroying disease.

“"At approximately 2:45 EDT today, we were notified by the USDA National Veterinary Services Laboratories in Ames, Iowa that the inconclusive screening test sample reported on June 29, tested negative for BSE upon confirmatory testing,” Dr. John Clifford, deputy Administrator of USDA’s Animal and Plant Health Inspection Service, said. Earlier in the week, Clifford announced that another suspected sample also tested negative for BSE.

As in the first case, USDA declined to identify the source of the sample. However, USDA said that rapid tests that the agency had been using in its expanded BSE monitoring program – which began on June 1 -- yielded the positive results. Experts explain that rapid tests produce a relatively high incidence of false positive results because they are very sensitive and subject to interference. The NVSL used the more definitive immunohistochemistry test to confirm the negative results.

American Meat Institute, Arlington, Virginia, president J. Patrick Boyle said in a release after learning about the second negative BSE test results: “We are gratified that both tests ultimately were negative. Regardless of these – or any – BSE test results, U.S. beef is safe. The BSE infectious agent has never been found in beef and tissues that can contain the infectious agent are removed and do not enter the food supply.”

Jan Lyons, head of the Denver, Colorado-headquartered National Cattlemen's Beef Association, added in a release: "This result (the second negative) is not unexpected. As part of USDA's expanded BSE surveillance program, a rapid screening test is used as the first step in a two-part testing process. USDA expected some inconclusive results from this initial step. Because the rapid tests are sensitive, they are subject to occasional inconclusive results that later prove to be negative. It is a little like going through the airport metal detector. We all have had the detector beep on us at least once, but it didn't mean we were carrying a prohibited item. It simply meant more testing was needed."

She explained: The rapid test allows the government to conduct a strong and statistically valid targeted surveillance for BSE. America's cattle producers support the expanded effort as a way to determine the prevalence of BSE, if it exists in this country, and eliminate it.”

"While this animal did not have BSE, the government has indicated that finding some additional cases of the disease is possible through the expanded surveillance program,” Lyons cautioned. “In addition to keeping this particular animal out of the food supply, food safety is assured because USDA prohibits from the food supply any material that could carry the BSE agent. These are removed before processing.

Web posted: July 4, 2004
 

Demand for Australian beef continues to grow in Japan with 39,743 metric tons shipped in June -- the highest monthly figure on record, according to Meat and Livestock Australia. Australia has filled the void left when Japan banned the importation of U.S. beef after bovine spongiform encephalopathy was found in one cow in the United States in December 2003.

Exports of Australian beef to Japan were 24 percent higher than May shipments and 70 percent higher than June 2003 exports, MLA said. The volume of Australian beef exported to Japan has increased by 38 percent or 51,000 metric tons in the calendar year to June compared to year ago levels, with 187,087 tons exported over this period.

The value of Australian beef exports has also increased significantly in 2004, rising by 44 percent or A$250 million in the calendar year to May to total A$821 million.

. “Demand for Australian beef has been heightened in 2004 due to import bans placed on U.S. and Canadian beef, combined with tight supplies of chicken and higher pork prices,” MLA said. Japan is Australia's largest beef export market with 44 percent of unprocessed beef exported from Australia in the calendar year to June 2004 destined for this market. In value terms, exports to Japan account for an estimated 48 percent of Australian beef exports.

Web posted: July 5, 2004
 

An international agreement has been signed by Ireland, Canada, the United States, New Zealand, Australia, and the United Kingdom to work together to combat serious animal disease outbreaks. The agreement is designed to enable the six countries to share their expertise in the fight against disease outbreaks, and also call upon each other's vets, laboratory diagnosticians and animal health technicians.

Australian Agriculture Minister Warren Truss said: "Put simply, the agreement provides a fast-track pathway to enable signatory countries to provide assistance and expert support should a serious disease outbreak occur.

He added: "It will also provide an opportunity to discuss issues of common concern and exchange information so we all get a better understanding of animal disease outbreaks and how best to respond to them. More broadly, the agreement should prove invaluable in strengthening Australia's preparedness work for such outbreaks - one of the main areas the government has focused on over the past few years.”

Truss added that the Australian government and meat industry has made major improvements in:

* Disease control

* Emergency planning

* Coordination

* Resource and information management

* Communications

* Training exercises, and

* National simulations.

The agreement was signed by the countries’ chief veterinary officers at the annual conference of the Office International des Èpizooties - the world organization for animal health - in Paris.

Web posted: June 30, 2004

More than 300,000 cattle in France may have been infected with bovine spongiform encephalopahy since the disease first appeared in the 1980s, according to an article in the scientific publication Veterinary Research and reported in the French newspaper Figaro.. Since the disease was first discovered in France in 1991, to date 923 cases have been officially reported.

The French researchers -- Virginie Supervie and Dominique Costaglio – concluded that between 1980 and June 2000, a total of 301,200 bovines were infected with BSE in France. They based their conclusion on the amount of meat and bone meal from the United Kindgom used in France during the 1980s, and the fact that most cattle are infected with the disease between the ages of six to 12 months. The majority of beef cattle in France are slaughtered before 24 months of age. The infected animals would have been killed before the disease could have shown itself, because of BSE’s long incubation period.

In 1990, France banned the use of meat and bone meal in cattle feed. The law was modified in 1996 and 2000 to ban it from being fed to all ruminant feeds. The researchers said that because a large amount of British meat and bone used in France before the ban, it is reasonable to assume that the disease was more widespread in the national herd during the 1980s than first believed.

Web posted: July 1, 2004

Brazil's first foot and mouth disease outbreak in nearly three years, announced last week, has resulted in minimal disruption to Brazil's beef export trade, according to Meat and Livestock Australia. Australia and Brazil are competitors in the global beef market. The outbreak occurred in the northern state of Pará - from a herd of 130 cattle tested for FMD, three were declared positive. The outbreak was on a farm about 700 km north of the zone recognized by the World Organization for Animal Health (OIE) as “FMD free with vaccination.”

The OIE believes that the risk of spreading the disease is low because the site is in an area where access is difficult, with movements mainly along the Amazon River. Since the outbreak is in a region not yet declared by the OIE to be “FMD free with vaccination” and contains a small proportion of Brazil's cattle herd, the loss of export markets has been minimal, with only Russia temporarily suspending Brazilian beef imports.

Russia, Brazil's third largest export market, has imposed a temporary ban on all Brazilian beef imports until the Brazilian agriculture ministry provides more information about the outbreak. The ban is expected to be lifted this week. MLA said the Brazilian agriculture ministry has denied that this latest outbreak will impede efforts to eradicate the disease by 2005.

Web posted: June 27, 2004
 

USDA entered into a memorandum of understanding with the Pan American Health Organization to establish ways to improve the safety of meat and poultry products that are traded among the nations of the Western Hemisphere.

The MOU binds the signatories to a set of goals. USDA Undersecretary for Food Safety Dr. Elsa Murano and PAHO director Dr. Mirta Roses Periago signed the agreement. PAHO is a regional office of the World Health Organization that works to improve the health and living standards of the countries of the Americas. Specifically, the MOU outlines the ways in which PAHO and USDA will cooperate in order to implement joint projects that strive to enhance the availability, and facilitate the inter-hemispheric trade, of wholesome food for the people of the PAHO member states.

"The Pan American Health Organization and USDA are committed to protecting public health throughout the Americas through improving food safety internationally, and this MOU marks a solid first step toward reaching this goal,” Murano said. “I look forward to a strong, cooperative relationship that will bring safe food to people throughout the hemisphere." The MOU goals are:

* Increase the availability and facilitate the trade of safe food, particularly meat, poultry, and egg products in the Western Hemisphere;

* Promote greater participation of countries with small-and medium-sized economies in the international standard-setting processes;

* Enhance program coordination to reduce redundancy among programs with common objectives, procedures and communications;

* Promote interaction between scientists and government food safety officials; and

* Facilitate the coordination and sharing of resources between the participants necessary for program management, scientific investigation, and standard-setting and to reach consensus on issues of common concern.

USDA and PAHO currently collaborate on several projects through strategic alliances to increase and improve food safety, animal health and trade. The MOU is effective immediately and will be in place for the next three years.

Web posted: June 24, 2004

According to the Texas Animal Health Commission, a flock of 14 birds in Hopkins County in northeast Texas was infected with the H7N3 strain of avian influenza. This is the same strain of AI that infected 48,000 commercial breeding chickens in the county in mid-May. The small flock was located about 4.5 miles from the commercial operations, which had been depopulated. The small flock was immediately euthanized and incinerated.

Texas Animal Health Commission veterinarians now may need to revise the AI disease surveillance plan, and additional testing of flocks in the area will be necessary to ensure disease eradication and satisfy the requirements of interstate and international trading partners.

“This turn of events is disappointing to us and the area’s poultry owners, but it demonstrates why widespread, repeated flock testing is necessary during an AI outbreak,” Dr. Max Coats, deputy director for Animal Health Programs for the TAHC, said. This infected noncommercial flock was one of more than 315 in a 300-square mile area that tested negative a little more than two weeks ago. Our on-site team had nearly completed the second round of testing the flocks when the National Veterinary Services Laboratory in Ames, Iowa, reported the positive test results on the small 14-bird flock that had 10 chickens and four ducks,” said, the state’s livestock and poultry health regulatory agency.

Dr. Coats said a team comprised of TAHC and USDA inspectors and two veterinarians has been stationed in Sulphur Springs, Texas, since mid-May, after two commercial breeding flocks nearby tested positive for the H7N3 strain of AI on routine blood tests. The chickens, which did not exhibit signs of disease, were depopulated and buried, to prevent potential disease exposure to other birds. The AI virus was not isolated in subsequent laboratory tests. A third commercial flock in the testing area, also with breeding chickens, has tested negative for the disease.

“We will need to retest some of the area’s flocks again, in order to assure our trading partners that all traces of this viral bird disease have been detected and eradicated,” Coats added. “Additionally, we will have to change our testing area, as the testing protocol calls for disease surveillance within a 10-mile radius of an infected flock - whether it is a commercial or noncommercial operation.”

Web posted: June 23, 2004
 

Two new outbreaks of foot and mouth disease have been recorded in South America – in Peru and Brazil. Dr. Oscar Dominguez Falcon, director-general for animal health at the National Animal Health Service, Lima, Peru said that laboratory diagnosis on June 11 and 14 confirmed an outbreak on three farms in the Lurín district of Lima in Peru. The outbreak occurred in fattening cattle and eight were destroyed and another 80 slaughtered. The cases were reported in a zone where vaccination is practiced and where no cases of the disease had been detected since October 2000.

Control measures included the destruction of all positive cattle and the slaughter of 80 contact cattle. Other measures taken include vaccination and booster vaccination in the area, movement restrictions for susceptible species into and out of the affected area, and stepping up of epidemiological surveillance by serological monitoring.

The outbreak in Brazil was reported to the OIE (World Animal Health Organization) by Dr. Jorge Caetano Jr., director of the Department of Animal Protection in the Ministry of Agriculture, Livestock and Food Supply in Brazil. The case involved one farm in the State of Pará, Monte Alegre district.

Total number of animals in the outbreak were 130 susceptible and three actual cases. Officials are investigating the source of the outbreak. The Brazilian agriculture ministry said that due to the geographical situation of the outbreak, the risk of spread is low. The outbreak is located more than 700 km to the north of the zone recognized by the OIE as a zone free from FMD where vaccination is practiced. The affected farm is on the left bank of the Amazon River. There are few roads and access is difficult. Movements are mainly by waterway. Control measures include quarantine and movement control inside the country.

Web posted: June 21, 2004
 

Dr. Michael Galyean and Dr. J. D. Rivera, beef cattle nutritionists at Texas Tech University reported that rendered broiler feather meal can support normal growth and carcass quality in beef steers. The project was part of a comprehensive research program sponsored and funded by the U.S. Poultry and Egg Association’s Poultry Protein and Fat Council to enhance and increase the use of poultry by-products.

Galyean and Rivera used 180 crossbred steers with an average body weight of 753 pounds in a randomized complete block designed study to evaluate the inclusion of feather meal to steam-flaked corn-based finishing diets. The four dietary treatments were urea-to-feather meal ratios of: 100:0; 75:25; 50:50; and 25:75 on a nitrogen basis. All treatment diets were 90 percent concentrate -- alfalfa hay as the roughage source -- and were fed once daily in sufficient quantities to ensure ad libitum intake. When Galyean and Rivera visually estimated that at least 60 percent of the steers in a block had sufficient finish to grade USDA Choice, the block was slaughtered and carcass data were collected.

They did not find any statistical differences in average daily gain at 0 to 84 days, or for the overall feeding period. However, a quadratic response was noted for 0 to 112 days. ADG was lowest in steers fed the 25:75 ratio. When overall ADG was calculated using carcass-adjusted final body weight (adjusted to a common dressing percent), a linear decrease was observed in carcass-adjusted ADG, with the 25:75 ratio steers having the smallest gain. The researchers suspected a palatability problem in the highest feather meal diet. No statistical differences were found in feed efficiency between any of the treatments.

A linearly decreasing trend was in hot carcass weight observed as the proportion of feather meal in diet increased. However, no differences were noted among treatments in USDA yield grade. A linear decrease was observed in dressing percent, and pairwise comparisons indicated that cattle fed the 25:75 ratio diet had a lower dressing percent than cattle fed the 100:0 and 75:250 ratio diets. No differences were observed in percentage of carcasses grading USDA Choice, marbling score, backfat measured at the 12th rib, or longissimus muscle area.

Based on these results, feather meal may be used as a replacement for up to half the nitrogen supplied by urea without statistically significant effects on performance by beef cattle fed steam-flaked corn-based finishing diets, the researchers concluded. Moreover, feather meal can replace 25 percent of the nitrogen supplied by urea with almost no change in steer performance.

Web posted: June 17, 2004
 

USDA claims to have tested 500 head of cattle that exhibited signs of neurological problems. However, according to USDA documents obtained by United Press International, the Department tested only half that number.

USDA officials were cited as saying the difference was the result of cattle tested at state veterinary diagnostic laboratories. However, state laboratories do not use enzyme linked immunoabsorbent assays -- the "gold standard" test employed by USDA for confirming a case of the deadly disease, an article in the University of Guelph’s FSNet electronic newsletter said. Instead, the state laboratories use a less sensitive test that experts say could fail to detect BSE-infected cattle.

In addition, the FSNet article said the state laboratory figures were not included in a March 2004 USDA document estimating the number of animals most likely to be infected with BSE in U.S. herds. Also, apparently the data were not given to a Congressional committee that had requested data on the number of cattle exhibiting neurological disease signs.

Felicia Nestor, senior policy adviser to the Government Accountability Project, a group in Washington, D.C., that works with federal whistleblowers, was quoted as saying, "This is just adding to the demise of USDA's credibility. If the USDA is going to exclude from testing the animals most likely to have the disease, that would seem to have a very negative impact on the reliability of their conclusion. … Are they deliberately avoiding testing animals that look like they have the disease?"

Dr. Peter Lurie, of the consumer group Public Citizen, was cited as saying that cattle with central nerve system disease symptoms should absolutely be tested to have a sound surveillance system, adding, "CNS animals are far and away the most important animals to test. If there's any category that needs 100 percent testing, that's it, because they would be the most likely place to find mad cow in America. Any CNS cow that slips into the food supply represents a major case of malpractice by USDA, and similarly, the failure to test the brain of that animal to see if it was indeed infected is really a failure to protect the public."

Web posted: June 9, 2004
 

The Canadian Food Inspection Agency has introduced a compensation package for birds ordered slaughtered because of avian influenza in British Columbia’s Fraser Valley. Most birds ordered destroyed during the response were sent through normal commercial channels at market value.

The Agency’s compensation is intended to cover the cost of replacing the remaining birds ordered destroyed for which market value could not be recovered. The package reflects the unprecedented scope and scale of the outbreak, which has devastated the Fraser Valley poultry industry, from hatcheries through to processing plants. The package also includes compensation for rare or specialty birds that were depopulated due to the highly contagious nature of the outbreak.

The Agency is using three approaches to establish compensation values for Fraser Valley bird owners. Compensation for birds that are raised for meat will be determined based on bird age and current market prices, with maximums set by the Compensation for Destroyed Animals Regulations.

Compensation for birds that are used for eggs–broiler breeders and layers–will be determined using a specific formula. The widespread nature of the outbreak has limited the replacement market for these birds, making it difficult for owners to restock their flocks with adult birds. Compensation values will include the replacement cost of a young bird. Maximums for these birds are also established by the regulations.

Rare or specialty birds not referenced by the regulations will be valued through a joint assessment. An evaluator representing the Agency and one representing the bird owner will work together to establish a compensation amount. This process may also be used in other cases.

Web posted: June 10, 2004
 

Meat and Livestock Australia has launched a new program that uses the skills of local butchers in Malaysia to highlight the quality and versatility of Australian red meat. MLA regional manager for southeast Asia and the Chinas Tim Kelf said the new MLA Cutting Edge Butchers Club would not only expose Asia's butchers to Australian red meat but also raise the profile of the profession, improve their skills and encourage product and technology development within the retail and foodservice sectors.

“Through promoting and developing the skills of the butchers within the Asian region MLA will be able to better showcase Australian product at its finest,” Kelf said. “This Club provides MLA with an opportunity to promote the use of innovation in the butchery sector as well as providing the region's butchers with an opportunity to develop their skills and increase networking opportunities.”

The MLA Cutting Edge Butchers Club will be widened over the next 12 months to include butchers from a number of countries across the southeast Asia region. “Malaysia is a great launching pad for this program because they have a major retail focus, combined with innovative butchers,” Kelf emphasized. Membership to the Club is open to all butchers who work in the retail and hospitality sectors, including those from supermarket chains such as Giant, Cold Storage, Jaya Jusco, Carrefour, Tesco, Isetan, Sogo, Xtra Supercentre, Hock Lee, and Hock Choon.

Participating butchers from the hospitality sector include those from hotels such as J.W. Marriott, Mandarin Oriental, the Palace of Golden Horses, the Shangri-la, and Sheraton.

A series of activities have been organized for Club members, including a National Butchers Challenge and seminars on food safety. There are already more than 200 members in the Club and this number is expected to increase over the coming months. The Club is open to other industry participants as associate members. The corporate companies involved in the program include importers, sauce companies and butchery accessory companies.

Web posted: June 10, 2004
 

A marketing campaign promoting beef and lamb in England has been a runaway success winning approval from trade and consumers alike. The integrated “Tuck-In” campaign, built around a consumer PR program, is the brainchild of the English Beef and Lamb Executive.

The central component is the Tuck-In 4 quarterly magazine and the latest edition focusing on alfresco eating has just been produced. The main aims of the campaign are:

* Encourage debate and interest amongst the food media in regional dishes, positioning beef and lamb at the heart of English cookery.

* Encourage consumers to consider the origins of beef and lamb when making food purchasing decisions.

Each issue of the quarterly magazine has a different focus and so far the editions have put the spotlight on traditional regional dishes with a modern twist; autumn lamb with themes recipes to appeal to people who were short of time; from farm to fork, focusing on local sourcing and the latest concentrates on alfresco summer eating recipes.

EBLEX CEO David Croston said: “Tuck-In 4 is being distributed to 6,400 retailers in England as part of a Summer Eating promotional kit, which also includes posters for beef and lamb. “We are also in discussion with supermarket groups for them to use the photography and recipes,” he said. The magazines are also issued to all national and regional food editors to encourage them to use the recipes and to print the Tuck-in telephone number so readers can obtain a free copy.

Web posted: June 8, 2004
 

Savings of up to 20 percent are potentially available across the pork sausage supply chain in the UK, according to a comprehensive case study published by the Food Chain Centre and Red Meat Industry Forum. The case study, involving a team from all parts of the supply chain, is part of a lean thinking guide entitled Cutting Costs - Adding Value in Red Meat.

The team mapped the pork sausage chain from farm to checkout and uncovered tremendous scope for improvement:

* Waste from losses and defects in the chain (e.g. quality faults, part-loaded vehicles, damaged goods, theft) amounted to almost 20 percent;

* Total time from farm to shelf was just over seven days, of which value-adding time was just 1.4 hours;

* Average product availability on the shelf was less than 95 per cent;

* Stock in the system from abattoir to supermarket totaled seven days.

This is despite the fact that many practices in the supply chain were leading edge and highlights the scope for improvement in all food chains. The group involving Tesco and its pork suppliers (Flagship Foods, Walkers Midshire Foods, Porcofram and pig farmer Jon Easey), examined how they could improve business efficiency and quality for the consumer. Any cost savings made will be shared equitably among the group members.

The group was brought together by the Food Chain Centre and Red Meat Industry Forum as part of the Lean Thinking Initiative. Richard Horsham, senior buying manager at Tesco said: “The project has shown the tremendous potential to improve the performance of our supply chains by co-operation and we're already considering applying this approach to other products.”

As a result, key projects have been identified as priorities over the next year. They include:

* Improving the system of pig production through better feed rations, reducing transport times e.g. by linking farms and abattoirs in the same area;

* Using new technology to assess the value of producers' animals more accurately;

* A production line for sausage manufacture, which reduces physical handling of the product.

These projects affect all parts of the sausage supply chain and will form part of the continuous improvement process that Tesco and its suppliers are embarking upon. Deirdre Hutton, Food Chain Centre chairman, said: “This case study shows how companies can work in partnership to improve efficiency and deliver better quality to the consumer. It supports our philosophy at the Food Chain Centre that by sharing best practice we can give farmers a better understanding of the issues faced by retailers and vice versa.” Peter Barr, Red Meat Industry Forum chairman said: “We have a raft of work delivering change right up the supply chain. This work is delivering benefits where it matters, on the bottom line.”

BPEX chairman Stewart Houston said: “This important work demonstrates how producers, processors and retailers can work together for mutual business benefit. This is particularly important for producers who are in the process of tentative recovery after several very difficult years.”

Web posted: June 8, 2004
 

Following four years of negotiations the Mercosur countries of South America and the European Union are close to signing a new trade agreement. The trade deal believed to be worth more than $40 billion between in all 29 countries in the two trading blocs is expected to be signed in October.

The two sides met recently in Guadalajara, Mexico, and a further new meeting is expected this month to advance the deal. The trade deal will cover agricultural products, and goods and services. South American bloc has a freeing up of the markets for food goods to the EU, while the European Union is seeking clear rules to allow them to reinforce their investments in South America.

The Mercosur countries of Argentina, Brazil, Uruguay, and Paraguay together with Chile, Bolivia, and Peru are believed to be taking the restraints off trade in almost 90 per cent of goods allowing Europe to increase exports by about $600 million.

Europe is expected to eliminate tariffs of food products including beef and dairy produce. And in exchange it is calling for improved agricultural practices and industrial processes.

Web posted: June 6, 2004
 

Fresh Australian halal prime steer beef has become relatively expensive in Malaysia, according to Meat and Livestock Australia, with some importers switching to lower priced beef from New Zealand and Argentina. In particular, less expensive New Zealand beef is now making inroads into Malaysian restaurants and hotels, MLA said.

This sector has typically been very supportive of Australian beef but sources indicate that many hotels are switching to New Zealand beef due to the apparent cost savings. In addition, some importers are pushing lower priced frozen non-loin New Zealand cuts to foodservice outlets that are currently using chilled non-loin cuts.

MLA said that indicator prices from Malaysia (chilled wholesale) reveal that Australian tenderloin is priced at RM73 per kg while equivalent New Zealand product is RM59 per kg. Similarly, Australian striploin is priced at RM33 per kg compared with RM29-30 per kg for New Zealand product. Australian rib eye was priced at RM45 per kg, D-rump at RM20.50 per kg, and knuckle at RM15.80 per kg. In addition, spot prices of chilled Australian beef sold at retail are approximately 30 percent higher than they were six months ago. Chuck tender has been selling for around RM27.90 per kg, eye round at RM25.90 per kg and knuckle at RM23.90 per kg.

MLA added that a few outlets are also reportedly using Argentinean beef but this has been limited due to the apparent inconsistency in quality in Argentinean shipments. Australian beef shipments to Malaysia over the four months to April were 1,833 metric tons. This was 18 per cent lower than the same time last year due in part to the price competition Australian beef has faced from other importing countries.

Web posted: June 6, 2004
 

The European Commission has hit out at the decision of the Russian authorities to suspend imports from the European Union of food products of animal origin. The Commission said it was surprised because discussions were ongoing on technical questions about veterinary certificates.

“Any disruption of trade is unnecessary and unjustified. The measures put in place by the Russian authorities do not correspond to any scientific assessment of risk backed up by appropriate risk management measures,” an EC spokesman said. “E.U. exports are safe and healthy. The action is not in line with recent improved relations with the Russian Federation and their desire to become members of WTO.”

The Commission spokesman added that all EU actions are based on risk assessment and WTO compliance. “The Commission hopes that in line with recent E.U.-Russia agreements, the current difficulties can be overcome immediately,” he said.

He added that strenuous efforts are being made with Russians resolve the problem. Contacts on senior level are ongoing and Commissioner Byrne has written to the Russian Agricultural Minister Gordeyev urging him to resume trade immediately in animal products between the E.U. and Russia while at the same time setting a realistic timetable for the conclusions of the technical discussions between services on the issues related to certification and other outstanding veterinary matters.

“Trade can only flourish in an atmosphere of mutual confidence,” the spokesman said. “The E.U. has made serious efforts to meet the wishes of the Russian authorities facilitating imports from Russia into the E.U. and with regard to the certification of their products into the E.U.,” the Commission spokesman said. “We should therefore immediately find mutually acceptable arrangements, based on scientific assessment of risks, which allow trade to continue to take place in safe conditions.”

Web posted: June 6, 2004
 

Korean retailers are leading the country in the implementation of meat tracing systems, according to Meat and Livestock Australia. Australia is a major beef supplier to Korea and other Asian countries. These systems enable customers to confirm a variety of details regarding the raising, slaughter and processing of animals. Hyundai department stores have introduced Australian organic beef that is supported by a full traceback system, MLA reported. “The price of this organic, traceable product is around 10 percent higher than other Australian chilled beef, but still 20 percent lower than Hanwoo beef,” MLA explained. The average price for striploin is 6,300 won per100g ($A7.70) and tenderloin 7,200 won per 100g ($A8.80). Hyundai has plans to extend the tracing system to Hanwoo, chicken and pork in the future.

Lotte department store has also confirmed that from June it will begin sales of traceable imported beef from Tasmania. This is an extension of an existing system, which enables customers to confirm details of their meat purchases via the Internet, such as the feed used, the farm where the animal was raised and any medicines used. The system, which was implemented in July 2003 for Hanwoo, has proved a success with customers, leading to plans to begin sales of traceable pork products.

LG Mart also began sales of traceable Australian beef on May 25 -- the latest of an increasing number of retailers to do so, MLA said.

Web posted: June 1, 2004
 

Following the banning of U.S. beef imports, Japan has come to rely on Australia to supplement its domestic beef production, with 90 percent of Japan's beef imports in the calendar year to April being sourced from Australia, according to Meat and Livestock Australia.

In April, Japan imported 38,072 metric tons of beef from Australia, with an additional 4,091 metric tons imported from other countries, mainly New Zealand. Supply of Australian beef to the Japanese market increased 45 percent compared with March, and 72 percent compared with April 2003.

MLA said that total beef imports for April were only four per cent below import figures for April 2003, with beef from Australia and New Zealand almost completely offsetting the decreased supply from the United States.

The value of total beef imports reached Yen 18.6 billion, with imports from Australia totaling Yen 16.9 billion. In the year to April, Australian beef exports have increased 28 percent to 119,323 tons. In value terms, imports of Australian beef were worth Yen 53.6 billion, an increase of 54 percent. In the year to May, Australian beef exports to Japan reached 147,344 metric tons - a record high for the five-month period and indicative of a record this calendar year, MLA said.

Australian beef exports to Japan continued to strengthen in May, with 32,158 tons shipped.

Exports of Australian beef increased 20 percent in May compared with April and 25 percent compared with May 2003, with total exports 31 percent higher than the calendar year to May 2003.

Web posted: June 3, 2004

The British Department of Environment, Food, and Rural Affairs, the Northern Irish Department of Agriculture and Rural Development, and the Scottish and Welsh Devolved Administrations, have launched a consultation on the U.K. contingency plan outlining the possible actions to be taken if bovine spongiform encephalopathy were confirmed in sheep.

The present situation is that BSE has not been found naturally occurring in sheep. However, researchers claim there is a theoretical risk that BSE could be present in sheep, masked as scrapie, but they say there is no information to suggest there is now a higher likelihood of BSE being in the national sheep flock.

The objective of the contingency plan is to protect public health, safeguard animal welfare and manage the impact on the industry, and on the environment, to enable the sector to recover and supply the food chain as quickly as practicable. The contingency plan is designed to build on the success of the Scrapie Plan, which uses genotyping as a means through which genetic resistance to scrapie within the national flock can be increased. The 12-week consultation period ends on August 31.

Animal Health Minister Ben Bradshaw said: "This is a contingency plan. We have no information, which makes the government believe there is now a higher likelihood of BSE being in the sheep flock. If BSE were found in sheep, consumers, farmers and other stakeholders including the E.U., would expect us to have a plan. The publication of this plan fits in with the government's increased emphasis on contingency planning and making such plans public.”

He added: “Our objective is to protect public health, safeguard animal welfare and manage the impact on the industry and on the environment. We must do all we can to enable the sector to recover and supply the food chain as quickly as practicable. I am particularly pleased that we would be able to build on the success of the National Scrapie Plan.”

National Sheep Association CEO John Thorley said: “NSA has consistently supported the concept and development of the National Scrapie Plan and takes the view that the science involved moves the U.K. flock towards a period when TSEs (transmissable spongiform encephalopathies) will be confined to the history books. Within the proposal for a contingency plan to be in place in the unlikely event of BSE being found in sheep, we shall be advocating a responsible approach by government to ensure the continuity of the work done already to remove scrapie from the national flock."

Web posted: June 3, 2004
 

Korean beef cattle slaughter recovered in April, according to Meat and Livestock Australia. Australia is a major supplier of beef to Korea. Total cattle slaughter in Korea for April 2004 was 45,710 head -- 0.9 percent below the number killed in April 2003 but 31.3 percent higher than the number killed in March 2004. In calendar year from January to April 2004, numbers are down by 26 percent compared to the same period last year.

The number of Hanwoo slaughtered increased slightly compared to March, but was still 19.6 percent down compared to April 2003 to 23,251 head. Female Hanwoo slaughter was 30.6 percent lower than last year at 8,694, while male Hanwoo slaughter dropped 11.4 percent to 14,557 head.

“While slaughter levels are seen as an indicator of beef consumption in Korea, the rapid increase in slaughter in April compared to March is thought to be partly due to the increased feed prices, particularly imported feed from China,” MLA said in a release.

Slaughter during May is expected to remain high as farmers who have held back cattle waiting for consumption to increase are driven to sell by the high feed prices, the MLA prediced. Feed prices have increased by 26 percent since late 2003, due to higher imported grain and shipping costs. At the same time, cattle prices have fallen from their highest level of 3.8 million won in January to 3.3 million won in April -- although they are still three percent higher than April 2003. The increased number of cattle on the market is expected to push live cattle prices down further.

Hanwoo farmers fear further increases in feed prices, due to increasing world oil prices, MLA explained. If this trend continues, there is concern that it may undermine the Hanwoo industry. While large-scale livestock farms may be able to survive such a situation, this may destroy small-scale livestock operations.

Web posted: May 31, 2004
 

European consumers are getting back their appetites for beef. During the 1990s, following the spread of the brain destroying disease bovine spongiform encephalopathy and outbreak of foot and mouth disease, beef consumption plummeted as consumers worried about the safety of beef.

European meat industry leaders recently met in Dublin, Ireland and decided to take a new approach to bolstering beef sales – position it as a premium food product. The European Meat Forum, organized by the Irish food board, Bord Bia, grouped together industry professionals from across Europe, including some 165 meat buyers from the major retail chains with a combined beef buying power of more than Euros 4 billion.

The leaders discussed a number of key issues, including new strategies being adopted by the major European retail chains, changing consumer trends and behavior, and new developments in packaging and technology. Ireland is one of the largest net beef exporters in the northern hemisphere with exports of almost Euro 1.3 billion in 2003. More than 85 percent of the 500,000 metric tons of Irish beef exported annually goes to the United Kingdom and mainland European countries.

Beef consumption is now rising in most major European markets after years of depressed sales caused by the BSE scare and foot and mouth disease, one report said. Excluding Ireland, European beef consumption now exceeds European beef production by almost one million metric tons annually, according to Bord Bia’s figures, highlighting the opportunity for European producers – but also underlining the potential threat from other beef exporters, notably those in the southern hemisphere such as Argentina.

For Ireland, this European beef deficit has allowed the beef industry to focus on high-end European retail and foodservice business. Almost 60 percent of Irish beef production comes from dedicated beef herds - the highest proportion of any European beef producer – putting Irish beef in a strong position to take advantage of its quality reputation. Bord Bia is working in partnership with major retailers to promote high-quality, grass-fed Irish beef to consumers in the United Kingdom and mainland Europe, in turn creating an image of Irish beef as a premium product with European consumers.

In his address to the Forum, Irish Farm Minister Joe Walsh pointed out that it was the strict labeling and traceability system for beef introduced by the EU as a result of the BSE crisis which was primarily responsible for the increased European beef consumption since 2000. “In my view this became an essential tool in restoring consumer confidence and reviving beef consumption in the E.U.,” he said.

After a period of chronic surpluses, the European beef market is now in deficit for the first time in 25 years. “The emergence of the deficit comes at an opportune time for the Irish beef industry as it seeks to reposition some Euro 200 million of its exports from the UK to Continental EU markets within the next two years,” Aidan Cotter, operations director at Bord Bia, stated.

Web posted: May 31, 2004

Like most other countries, the United States closed its market to Canadian beef last year when Canada reported it first case of BSE. Eventually, the United States partially reopened its markets to boneless beef from cattle less than 30 months of age. Scientific groups have determined that this type of beef was at very low risk of containing the prion throught to cause the brain-wasting disease.

Now, Canadian officials believe that beef imported into the United States from Canada may have actually originated in the United States and bovine spongiform encephalopathy-free Australia. USDA confirmed it had approved millions of pounds of beef imports from Canada, sparking an uproar among Republican and Democratic lawmakers. “It is not Canadian beef,” a spokesman for the Canadian Food Inspection Agency said. “It is beef from U.S. carcasses and beef from countries that are free of BSE like Australia and New Zealand.” Another official said: “Don't confuse beef and veal either. Canadian veal is allowed into the United States.”

Web posted: May 27, 2004
 

A study of more than 6600 New Zealand meat processing workers found a significantly high rate of cancers, particularly lung cancer, which may be caused by exposure to cancer causing agents carried by animals. The study, conducted by Dr. Dave McLean of New Zealand’s Center for Public Health Research, followed the health status of 6647 people who work or have worked in the meat processing industry from three plants, in the North and South Islands.

International research indicates there is an increased risk of cancers of the lung and larynx, and of leukaemia and lymphoma, among butchers and slaughterhouse workers. The aim of this project was to see whether the same was true for New Zealand and to identify the exposures associated with any increased risks.

McLean said the study found that the rate of lung cancer in the group was significantly higher than in the general population. He emphasized that while it is possible that smoking and the ethnicity of the workers had an impact on these findings, it is highly unlikely that either factor is sufficient to account for more than a small part of the excess observed.

“There are two key findings that are of considerable interest,” he explained. “The first is that there is an excess of lung cancer, for which there is a strong dose-response relationship based on how long people had worked in certain jobs. Lung cancer was most strongly associated with exposures to biological material in animal urine, feces, or blood. The second finding is that despite small numbers there is evidence of an association of cancers of the lymphohematopoietic system with how long people had worked in meat processing and plant services. This was particularly associated with exposure to animal feces.”

McLean saids that while there has been very little research into the types of exposures that occur in the meat industry. He also emphasized that there is no evidence to implicate the meat processed in the plants, or indicate any risk to consumers. Evidence suggests that the risk is associated with the handling of live animals and the slaughter process, he said. He pointed out that it disappears completely in those jobs that involve the further handling of meat, such as the meat cutters or retail butchers. He added the findings could have significance for public health policy making because of the number of people employed in the meat processing industry in New Zealand.

Web posted: May 30, 2004
 

The European Union has maintained the toughest animal welfare standards. However, one of its member states – Austria – has taken animal protection a step further by enacting Europe's strict animal rights, according to an Associate Press report. The new laws prohibit rearing cages for chickens and ban veterinarians from clipping dog ears or tails for cosmetic reasons. In addition, lions and other wild animals can no longer be used in circuses and makes it illegal to restrain dogs with chains, choke collars, or “invisible fences.” Those found guilty of animal cruelty are subject to fines up to $18,000.

A unanimous vote in the Austrian Parliament put the law intoplace. Chancellor Wolfgang Schuessel hailed the law as a “pioneering example” for the world on how to respect animals, and said he would press for similar legislation across the European Union.

The measure had broad support among all four main parties in the National Assembly, where Minister of Social Affairs Herbert Haupt, a veterinarian, drew laughter by holding up a small stuffed toy dog while addressing lawmakers, the Associated Press article said.

A key provision bans the widespread practice of confining chickens to small cages on farms and makes it a crime to tightly bind cattle with ropes. Pet owners and breeders no longer will be allowed to cut puppies' ears or tails, a common practice with certain breeds. The law, which needs the president's signature, will take effect in January.

The Austrian Farm Federation opposed the law, arguing that forcing farmers to raise only “free range” chickens will increase costs. Federation chief Fritz Grillitsch warned that it could lead to cheaper poultry appearing in supermarkets from countries with more lax restrictions.

Web posted: May 30, 2004
 

The European Commission has deemed a scheme presented by Italy for granting aid totaling Euro 10,329,138 in compensation to poultry producers for losses resulting from the 1999 dioxin crisis as incompatible with the common market. Italy has two months from notification of the Commission's decision to state what action it will take to fall into line with it.

Under the plan the aid was to be the difference between average prices in countries unaffected by the crisis and Italian prices in June-July 1999. In justification of the scheme Italy claimed that there had been an exceptional occurrence as meant by Article 87(2)(b) of the Treaty: a serious disturbance of the market in which Italian producers operated. They had lost market share and their turnover had fallen below what they could normally expect.

The Commission, which uses strict criteria in deciding case by case whether or not there has been an "exceptional occurrence", has not accepted Italy's reasoning. The chemical contamination of the foodstuffs (which did not in fact affect Italian chickens) and the crisis in consumer confidence could not in themselves be considered an "exceptional occurrence", for which a combination of serious restrictions on marketing and exportation and a fall in sales and prices is required.

In addition the compensation mechanism could have resulted in overestimation of losses. The plan has accordingly been declared incompatible with the common market on the grounds of distortion of competition. Consequently the aid cannot be paid.

Web posted: May 25, 2004
 

Pilgrim's Pride Corp., Pittsburg, Texas, reported that its bird health team has found avian influenza infection at one of its contract commercial broiler breeder flocks near Sulphur Springs, Texas, in the northeast part of the state. The farm housed 12,000 hens and roosters. The company’s health team made the discovery through routine blood monitoring.

“The National Veterinary Services Laboratory in Ames, Iowa, has reported the evidence of the H7N3 AI virus in the flock, but it may be a week or 10 days before virus isolation results are available,” Bob Hillman, Texas’ state veterinarian and executive director for the Texas Animal Health Commission, said. “There has been very little evidence of clinical signs of disease or increased mortality in the flock, leading us to believe this may be low-pathogenic AI, which causes little death loss in birds.”

Pilgrim’s Pride emphasized there is no need for consumers to be concerned because its “stringent USDA inspection standards ensure that consumers will continue to receive the highest-quality, safest poultry products in the marketplace.”

The breeder flock was located about six miles from the nearest commercial poultry farm. Officials have quarantined the farm and the flock has been destroyed on-site to prevent the spread of the disease, O.B. Goolsby, Pilgrim Pride’s president and COO, said. “Our poultry testing in Texas is believed to be the most aggressive in the nation, with every breeder flock tested every 10 weeks,” Goolsby said. “As a result of this diligence, we believe that the virus can be contained, particularly since this flock is so far from any other poultry farms.”

Earlier this year avian influenza was discovered in a poultry flock n Gonzales, Texas, and in the northeastern United States. As a result, Pilgrim's Pride and other poultry companies heightened their biosecurity policies to minimize the risks to their flocks.

Web posted: May 28, 2004
 

Olivier Andréoletti, a prion specialist at the National Veterinary School in Toulouse, France, reported in the medical journal Nature Medicine that he and his colleagues isolated a prion from the muscle of sheep infected with scrapie. Prions are normal proteins that for some reason have become improperly folded or mis-shapen. In the brain the malformation causes the improper folding and function of other proteins with the net result being the formation of microscopic lesions in the brain. Diseases caused by the misshaped prions are called collectively called transmissible spongiform encephalopathies. Bovine spongiform encephalopathy in cattle, scrapie in sheep, and chronic wasting disease in deer and elk are TSEs.

Some scientists theorize that the prion, which causes scrapie mutated forming the prion that causes BSE. Normally, prions that cause BSE and scrapie are only fould in nerve tissue, such as the brain, spinal cord, and eyes. The Andréoletti study is significant because it is the first time that prions associated with scrapie were found in muscle. However, the concentration of prions found in the sheep muscle was one five-thousandth the concentrations that they are present in the brain tissue of scrapie-infected sheep and therefore are likely to be much less infective than the muscle. Andréoletti and his colleagues emphasized that the finding of the prion in muscle did not mean that lamb or mutton posed a danger to humans. "The risk of transmission from sheep to humans is very, very low," he said. Also, the animals were infected with scrapie, a prion disease that is not the same as BSE.

Dr. Paul Brown, a prion expert at the (U.S.) National Institutes of Health, added that after nearly 40 years of trying, no researcher has ever infected a healthy animal with a prion disease by injecting it with liquefied muscle from a sick one - not even when the injection was directly into the brain. It is even less likely that a human could be infected by lamb or mutton that has passed through the acidic process of digestion, he said.

The French research team found the prions in the leg muscles of sheep that were naturally infected with scrapie and in sheep deliberately infected with the disease. In one naturally infected sheep, they found scrapie eight months before the animal showed any signs of the disease, which include itching that makes animals scrape themselves against trees and fences, tremors, stumbling gaits, and, eventually, lethargy and death.

Although he agreed that prion levels in the meat were low, Dr. Giuseppe Legname, a prion expert at the University of California at San Francisco, called the finding "a warning." Two years ago, in collaboration with Dr. Stanley Prusiner, who won a 1997 Nobel Prize in Medicine for his work in the field, Dr. Legname found prions in the muscles of mice and showed that they could replicate there. Since then, Swiss researchers have found prions in the muscles of humans with new variant Creutzfeldt-Jakob disease, a degenerative brain disease that is thought to arise spontaneously in one in a million humans.

Brown, who spent decades on prion research, was not surprised at the French discovery. “In the last few years, the sensitivity of immunoblot tests has been ramped up so much that people are beginning to find the protein all over the place," he said. He ventured a prediction: "Within the next year, somebody will make a big splash by finding it in the muscles of cattle, and the beef industry will go crazy."

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Web posted: May 24, 2004
 

USDA’s Animal and Plant Health Inspection Service approved of five additional state laboratories that will assist in the surveillance program for bovine spongiform encephalopathy. The following laboratories will receive federal funding on a per test basis:

* Kissimee Diagnostic Laboratory, Florida Department of Agriculture and Consumer Services, Kissimee, Fla.;

* Minnesota Veterinary Diagnostic Laboratory, University of Minnesota, St. Paul, Minnesota;

* Veterinary Diagnostic Laboratory, Kansas State University, Manhattan, Kansas;

* USDA Laboratory, Frankfort, Kentucky; and

* Pennsylvania Veterinary Laboratory, Harrisburg, Pennsylvania.

These laboratories will work in coordination with seven other state laboratories that were approved to conduct BSE surveillance testing on March 29. These labs will use approved rapid tests for BSE surveillance. USDA’s National Veterinary Services Laboratories in Ames, Iowa, remains the national reference laboratory for BSE and will conduct confirmatory testing.

On March 15, USDA announced an enhanced BSE surveillance plan that incorporates recommendations from an international scientific review panel and the Harvard Center for Risk Analysis; both have reviewed and support the plan. Under the plan, which is scheduled to be fully implemented by June 1, USDA intends to sample as many cattle from these high-risk categories as possible in a 12-18 month period. Sampling some 268,000 animals would allow for the detection of BSE at a rate of one positive in 10 million adult cattle with a 99 percent confidence level. In other words, the enhanced program.

Experience in the United Kingdom and Europe has shown that testing high-risk cattle is the most effective way to identify BSE if it is present. Therefore, USDA has tailored its surveillance program to collect samples from the following categories: nonambulatory cattle; cattle exhibiting signs of a central nervous system disorder; cattle exhibiting other signs that may be associated with BSE, such as emaciation or injury; or dead cattle.

The seven other laboratories are: California Animal Health and Food Safety Lab System, University of California-Davis; Colorado State University Veterinary Diagnostic Laboratory; Texas Veterinary Medical Diagnostic Laboratory (College Station, Texas); Wisconsin Animal Health Laboratory (Madison, Wisconsin); Washington State University Animal Disease Diagnostic Laboratory; Athens Diagnostic Laboratory, College of Veterinary Medicine, University of Georgia; and New York State College of Veterinary Medicine, Veterinary Diagnostic Laboratory, Cornell University.

Web posted: May 23, 2004
 

Despite the loss of export markets due to the discovery on one bovine spongiform encephalopathy-infected cow, beef prices in the United States continue to increase. Retail prices climbed slightly in April, while consumer beef demand -- a combined measure of price and per capita consumption -- increased 10.4 percent in the first quarter, the National Cattlemen's Beef Association said.

The main factor that is putting upward pressure on beef prices is simple supply and demand. Several consecutive years of drought in the western United States and its devastating effect on grass and other feed, have forced cattle ranchers to shelve plans for herd expansion or to sell breeding stock. NCBA chief economist Gregg Doud added that an improving economy is stimulating consumers’ appetites for beef.

“I don't see much of a change in the supply-and-demand equation here through, quite frankly, the end of the year,” he said. In the January-March period, overall production declined seven percent, Doud said. Consumption was down about 1.4 percent in the same period, Jim Robb, director of the Livestock Marketing Information Center, added.

According to NCBA data, the retail price of ground chuck increased to $2.49 per pound from $2.21 in April 2003; boneless round steak increased $4.06 per pound, up from $3.74 in April 2003; boneless sirloin steak was $6.61 per pound in April 2004 compared to $4.58 in April 2003.

Prices for live cattle were in the upper $80 per hundredweight range The price was $91 on Dec. 23 – the day USDA announce the first case of BSE in the U.S. Shortly after, the average price of live cattle was $73 per hundredweight, Doud said.

Web posted: May 20, 2004

In 2002, a fire destroyed the Carvel International facility in DeKalb, Illinois, shutting down production at one of the few remaining horse-slaughtering facilities in the United States. Carvel -- a Belgium-headquartered company -- found investors, rebuilt the facility, and is now ready to begin horse slaughter again in the small town in north-central Illinois. However, if some state lawmakers have their way, horse meat -- called cheval in some markets -- production at the plant will be brief. Caval plans to slaughter 100 horses per day

One state senator John Cullerton, who is opposed to the paddock-to-plate plan is pushing a bill to through the Illinois legislature that will outlaw the slaughter of horses in Illinois for human consumption. The bill passed the state senate this week. Most of the horsemeat produced in the United States is exported to Europe – mainly France, Belgium, Italy, and the Netherlands. Cullerton said: “If in their culture they eat the meat, let them get it from France.” Two bills are pending in Congress that would ban the slaughtering of horses for human consumption. California banned the practice in 1998.

Approximately 42,000 horses are slaughtered for meat in the United States each year. Most are old horses or horses with behavior or structural problems. Only two other facilities – both in Texas – slaughter horses in the U.S.

People against the slaughter of horses for meat for human consumption say the practice is cruel although the facilities must practice humane handling rules. Others counter that if horse slaughter is banned, rival exporters in Argentina, Australia, Canada, and Mexico will simply kill more horses. Animal handling expert Dr. Temple Grandin is concerned that abuse and neglect could increase if there were no longer a legal place to dispose of unwanted horses.

A ban in Illinois “would certainly help nationally and send a very strong message and maybe keep them from popping up somewhere else in the country,” Chris Heyde, executive director of the National Horse Protection Coalition, told a business wire.

Web posted: May 20, 2004
 

World governments and international health and disease organizations must prepare for future outbreaks of diseases such as avian influenza and West Nile virus that leap the species barrier from animals to humans, the United Nations health agency.

Recent outbreaks have taught health experts several lessons on discovery, report, and control. However, Dr. Francois Meslin, World Health Organization coordinator for control of zoonoses admitted that predicting the next epidemic will be difficult. “Emerging zoonotic diseases are a global and regional issue of increasing importance and the current upward trend is likely to continue,” Meslin said following a three-day meeting at WHO headquarters. “But continual changes in risk factors lead to unpredictability and we are not able to tell where the next zoonosis will pop up.”

The meeting was held jointly with the U.N. Food and Agriculture Organization and the Paris, France-based World Organization for Animal Health and included international experts in public health, veterinary science, microbiology, conservation biology, disease modeling, and forecasting.

Meslin said scientists need to think beyond traditional disease research and consider the possible role played by climate change, air travel, and the growth of cities in developing countries - where large numbers of people live close to markets were animals are slaughtered or sold live.

The transmission of disease from animals to people depends on many factors, including the interactions between animals and humans, the microbial agent involved, and the environment. The scientists urged governments to boost cooperation in zoonosis research and monitoring. “A coordinated international response is essential across all sectors,” Meslin said. He added that in particular, doctors and veterinarians must work together to predict new threats and tackle disease outbreaks as they emerge.

Meslin said the meeting also looked at other diseases which are currently “not on the radar” Including ebola. Some experts believe the disease may enter the human population from the ingestion of infected “bush meat” – monkeys, chimpanzees , gorillas and other animals sometimes included in the traditional diet of central African people.

Web posted: May 18, 2004
 

Australian lamb exports in April were 17 percent higher than in April 2003, according to Meat and Livestock Australia. The news wasn’t as good for live cattle. Exports in March fell 17 percent compared to a year earlier -- to 33,979 head. March 2004 was the eleventh consecutive monthly year-on-year decline for live cattle exports by Australia.

During the first four months of 2004, strong demand for Australian lamb has lifted shipments to a record level of 38,533 metric tons – 14 percent higher than last year and nine percent higher than the previous record of 35,362 tons set in 2002.

Despite April exports to the U.S. four percent to 2,789 metric tons, exports for the first four months of the year reached record levels, climbing six percent to 11,727 tons. Exports to the European Union for April rose 32 percent compared to last year to 1,220 tons with exports for the first four months of 2004 hitting record levels, 63 percent higher at 4,650 ton. April exports to Japan and Papua New Guinea also experienced significant increases of 42 percent (820 metric ton) and eight percent (728 tons), respectively. Exports of Australian lamb to China continue to grow, with shipments for April jumping four-fold on last year, to 1,214 ton. Demand for Australian lamb, particularly for hot-pot meals in the restaurant sector, has been one of the main drivers for the growth in Australian lamb exports to China, MLA said.

Live cattle exports for March declined to all of Australia's major live export destinations except the Philippines. Exports for the first quarter of 2004 totaled 116,921 head - the lowest level since 1995.

The strong Australian dollar against the Indonesian Rupiah, combined with competition from less expensive Indian buffalo meat continues to weaken demand for Australian cattle in Indonesia, with exports for March 30 percent below last year, at 14,701 head. Exports to Indonesia have slowed considerably, with exports for the first quarter of 2004 sliding 38 percent to 58,298 head, compared with near-record exports for the first quarter of 2003 (93,957 head).

After establishing itself as one of Australia's most stable live cattle export markets during 2003, shipments to Malaysia during 2004 have plummeted, with no cattle shipments during February and exports for March down 35 percent compared to March 2003. MLA reported one bright spot: Exports during March to the Philippines jumped 79 percent to 4,912 head with the rise primarily attributed to low exports in March 2003 (2,747 head).

Web posted: May 18, 2004
 

Two of the world’s largest economies have established a free-trade agreement. Although the deal will eliminate nearly all tariffs on manufactured goods, it maintains U.S. trade barriers against imports of Australian sugar, beef, and dairy products. Both U.S. Trade Representative Robert Zoellick and Australian Trade Minister Mark Vaile, who negotiated the accord, urged lawmakers in their two countries to quickly approve the agreement so it can go into effect Jan. 1, 2005.

“There is a hardheaded economic reality that supports this free-trade agreement,” Zoellick said. “ More than 99 percent of the manufactured goods traded between the United States and Australia will be duty-free on the first day of this “Manufacturing FTA goes into effect. This is the most significant immediate reduction in industrial tariffs ever achieved in a U.S. free-trade agreement.” He added that the “state-of-the-art agreement” will provide more economic opportunities in both the United States and Australia by removing barriers to agricultural products, investment, government procurement, and services while protecting intellectual property. Zoellick pointed out that “much of this long race remains to be run” – approval by U.S. and Australian governments. Still, he expects approval by this summer. The Bush administration and some Republican leaders in Congress are pushing for votes on agreements with Australia and perhaps Morocco this year, according to the Associated Press. Rep. Bill Thomas, R-California, chairman of the House Ways and Means Committee, which oversees trade negotiations, said the chances of a vote on the U.S.-Australia free trade agreement are very high.

Talks for the U.S.-Australian Free Trade Agreement began in March 2003. Negotiations were completed on Feb. 8, 2004 and five days later President George W. Bush notified Congress of his intent to enter into the agreement.

“The FTA is sensitive to concerns that have been expressed by Congress and U.S. beef and dairy farmers, and the agreement uses tariff-rate quotas to respond to these concerns while increasing trade,” the U.S. Trade Representative Office said explaining the exclusion of beef and dairy products from the free-trade agreement. The Trade Representative added that U.S. above-quota tariffs will be phased out over an 18-year period. Also, initial increased beef imports from Australia under the TRQ quota will amount to approximately 0.17 percent of annual U.S. beef production, and 1.6 percent of annual U.S. beef imports. The quota increases will take effect when U.S. beef exports return to their 2003 (pre-BSE) levels, or three years after the effective date of the FTA.

Zoellick’s office said the U.S.-Australian free-trade agreement will address food inspection procedures that have been barriers to pork trade.

Web posted: May 18, 2004
 

The British Government has published its strategy for developing a comprehensive surveillance program for anti-microbial resistance in animals for England and Wales. The move follows concerns over the emergence of anti-microbial resistance as a serious problem in human medicine. This has led to increasing concern about the use of antibiotics in human medicine, veterinary medicine, animal production, agriculture, and horticulture.

Animal Health and Welfare Minister Ben Bradshaw said: “The publication of this strategy underlines the importance that the government places on obtaining all of the information necessary to enable us effectively to tackle the development of anti-microbial resistance.”

The AMR surveillance strategy outlines a program of work that will further the Government's knowledge about mechanisms and transfer of anti-microbial resistance, detecting emergence and spread of resistant clones, and outlining requirements for further research. This program addresses issues identified by the 1999 Advisory Committee on the Safety of Food report on anti-microbial resistance.

The key elements of the government's strategy to reduce the development of anti-microbial resistance in farm animals are:

* Surveillance to determine the prevalence of resistant organisms in the animal population;

* Development of guidelines to encourage the prudent use of anti-microbials;

* Promote the development of livestock management systems that reduce the use of antimicrobials;

* Review dosage regimes for authorized products and contribute to the development of E.U. guidelines that ensure regimes that delay the development of resistance are put in place for new products;

* Identify research priorities and commissioning research projects to get a better understanding of resistance;

* Ensure veterinary education -- undergraduate and continuing professional development -- reflects the importance of the issue; and

* Promote public awareness of issues relating to the use of anti-microbials in animals.

Web posted: May 13, 2004
 

Beef imports to the Philippines increased by 49 percent in the first quarter of 2004 to 31,130 metric tons compared with the same period last year, according to figures released by Meat and Livestock Australia. In particular, growth was fuelled by Indian buffalo shipments (up 60 percent), South American imports (up 44 percent), and New Zealand imports (up 108 percent), MLA said.

In expensive Indian buffalo and South American beef have made inroads in many South Asian markets and pose a significant threat to Australian product. Market shares also show some interesting developments; Indian buffalo enjoyed a 53 percent share of all beef and buffalo imports in the three months to March, compared with 50 percent for the same time last year.

The South American share eased slightly to 28 percent compared with 29 percent, while New Zealand and Canada's shares rose to six percent and three percent, respectively. Australia's share eased to 10 per cent over the quarter compared with 14 per cent for the same period last year.

Web posted: May 17, 2004
 

Concerns that geese on a Canadian farm we contaminated with highly pathogenic avian flu virus have proved unfounded. Further testing has revealed that geese on a Fraser Valley farm in British Columbia were not infected with either H5 or H7 avian influenza.

There is strong evidence indicating the geese were exposed to the H6 avian influenza virus. The H6 virus is not associated with serious animal or human illness. Initial investigation gave cause for suspicion of an H5 infection on the farm. Further testing revealed with greater certainty that there was no H5 or H7 infection in the geese but rather a strong indication of exposure to H6. Additional tests currently underway may further define the virus type in the geese. Further testing will also determine the type of virus present in the ducks on the farm.

The flock was located within three kilometers of three known infected premises and was targeted for depopulation as part of the Canadian Food Inspection Agency’s avian influenza response. The regional depopulation of animals in response to contagious diseases such as avian influenza reflects internationally accepted animal disease management strategies. Detecting various subtypes of the avian influenza virus is not surprising, particularly in birds such as geese and ducks that are usually raised outdoors.

Under such conditions, commercial birds would have contact with wild birds, which are known to carry various subtypes of the virus. Most subtypes carried by wild birds are low pathogenic and do not cause serious illness in birds. Neither clinical signs nor high mortality were observed in this flock.

Bringing the spread of avian influenza to a halt is a priority for the Government of Canada. All required resources are being made available to aggressively protect the health of British Columbia’s poultry industry.

Web posted: May 17, 2004
 

The United States and Japan will begin a series of technical working group meetings on bovine spongiform encephalopathy next week with the objective of resuming beef trade between the two countries in the summer. The first meeting will be held May 18 and 19, in Tokyo with subsequent meetings to be held in June and July.

On April 23-24, a multiple-agency U.S. government delegation -- including USDA, FDA, state agencies, and the U.S. trade representative -- held consultations with the government of Japan in Tokyo on the resumption of beef trade. Those discussions resulted in an agreement to form a joint technical working group to address several key issues, including:

* The definition of BSE and methods of testing;

* The definition of specified risk materials and the method for removal;

* Appropriate surveillance; and

* Appropriate feed ban implementation.

The completion of the working group's three meetings will provide policy level officials with a full review of the technical information. Members of the U.S. technical group include:

* Dr. Peter Fernandez, associate administrator, USDA Animal and Plant Health Inspection Service.

* Dr. George Gray, executive director, Harvard Center for Risk Analysis, Harvard University, School of Public Health.

* Dr. William James, deputy assistant administrator, USDA Office of International Affairs, Food Safety and Inspection Service.

* Dr. Daniel McChesney, director, FDA Office of Surveillance and Compliance, Center for Veterinary Medicine.

* Dr. Gary Smith, professor Emeritus, Department of Animal Sciences, Colorado State University

Web posted: May 12, 2004
 

A new strain of avian influenza, which officials say is different from anything seen in the area before, has been found on a duck and geese farm in the Fraser Valley of Vancouver, British Columbia, in Canada.

Scientists won’t rule out the possibility the strain is the one responsible for the outbreak of AI in Asia that has been linked to more than 20 human deaths and devastation of the poultry industries in Thailand, Vietnam, and other countries. However, as a precaution, officials closed a school near the farm.

“We don't know what it is,'' Sally Greenwood, a spokeswoman for the British Columbia Center for Disease Control, told the Associated Press. “It's not the H7 (virus) we have seen in B.C., we don't know what it is. There's a possibility it could come back as being an H5 subtype. But even if it does, it doesn't mean it's going to be the same virus as the one in Asia.” Test results are expected in 48 hours.

Web posted: May 12, 2004
 

Meat companies in New Zealand are irate at the added payroll costs of the new Holidays Act, which also extends sick and bereavement leave benefits. “By the time the four-week annual leave is mandatory, this new act will have cost us five percent more on payroll," Alliance Group personnel manager Kerry Stevens, said.

The incidence of sick leave has quadrupled since the act came into force on April 1. "It's amazing how many fellows we now have off sick when the fishing's good," one industry source said. Payroll personnel at meat plants are spending up to seven times longer on calculations and paperwork processing. "It took us two months to make the necessary software changes, using our own programmers and payroll systems," Stevens said. Another meat company reported making 3000-plus individual new calculations for the Easter payroll, such were the complexities of the statutory leave changes.

New Zealand Meat Industry Association CEO Caryll Shailer said the substantial direct and indirect costs of the Holidays Act would eat into money for reinvestment and rewarding employees. A small group of MIA representatives presented Labor Minister Paul Swain with their concerns and examples of added costs. Blue Sky Meats general manager Malcolm McMillan said the statutory day costs had doubled, whether employees worked on the day or not.

One processor estimates the impact of the new law to be NZ$0.70 per lamb processed, which will come out of meat company margins or be passed back to farmers. "Increased costs cannot realistically be recovered from the international marketplace where consumers are increasingly price conscious and have an ever-increasing range of protein options,” Shailer added. "It is likely that such additional costs will have to be absorbed domestically." Early feedback to the MIA indicates the new act has imposed an increased cost on meat processors of 2.5-5 percent of payroll (or $16.5-33.2 million annually). A further two percent of payroll will be added from April 2007 when all employees get four weeks' annual leave instead of three. One meat company chairman said the new rules could destroy workforce flexibility and agreements that made widespread meat industry productivity gains possible during the 1990s.

Web posted: May 13, 2004
 

Japanese domestic beef prices pushed higher in April, as the absence of the US from the market increased demand for domestic, Australian and New Zealand beef, according to Meat and Livestock Australia. Prices for B2 and B3 grades of cattle experienced the strongest increases, with Wagyu B2 prices increasing by 35 percent to Yen 1,632 per kg year on year and 14 percent compared with March 2004 prices. Prices for Wagyu B3 carcasses increased 22 per cent to Yen 1,904 per kg and 10 per cent compared with March.

Meanwhile, MLA said that consumption of beef in Japan fell in March, with only 61,708 metric tons consumed, a fall of 33 per cent compared with the same time last year. Consumption of domestically produced beef increased by six per cent to 29,387 metric tons. However consumption of imported beef fell 50 percent to 32,321 metric tons. MLA added that demand for Australian beef in Japan remains strong, with exports of Australian beef up 33 percent in the calendar year to April - a record high for the four month period.

Consumption of chicken was also lower with 129,484 tons consumed, as Japan continues to recover from the fallout from avian influenza which has disrupted the supply of imported chicken, with Japan's two main suppliers, China and Thailand, still absent from the market.

Pork consumption continues to benefit from the disruptions in supply of beef and chicken, with consumption in March up 12 percent year on year to 123,014 metric tons.

Web posted: May 11, 2004
 

The British National Farmers’ Union is claiming a victory in cutting down on unnecessary red tape and the introduction of food hygiene regulations simpler than those originally proposed by the European Commission. For the past four years the NFU has been in talks with the European Commission and Parliament in Brussels on an ambitious program to consolidate and simplify existing E.U. legislation that will come into play across Europe from 2006.

The NFU have also liased closely with the Food Standards Agency (FSA) in the UK; the organization that will be responsible for administering the new regulations in this country. The proposed regulations encourage a more risk-based approach to manage food safety along all parts of the food chain - including primary production - but allows derogations for small businesses and regional food producers.

FSA inspectors have already visited several English farms at the invitation of the NFU, examining current best practice of self- regulation through existing farm assurance schemes, and how they will fit with the requirements of the new regulations. Having drawn up proposals, the FSA is now seeking further views on how the new laws should be applied in practice to food-producing businesses in the United Kingdom, including farms.

“It is an invaluable opportunity to explore ways of dismantling some of the ineffectual and burdensome layers of farm and plant inspections, and replace them with a more cost-effective and efficient system of food safety controls, which will ensure high standards with a minimum impact on the day-to-day running of farm businesses,” an NFU spokesman said.

Web posted: May 4, 2004
 

Japan’s on-going bans on U.S. beef – due to bovine spongiform encephalopathy -- and poultry – due to avian influenza -- have significantly disrupted the Japanese meat market, Meat and Livestock Australia said. As a consequence, Australian lamb has been the subject of increased attention as the industry seeks alternatives to US beef, chicken and increasingly higher pork prices.

Although lamb exports to Japan have been steadily increasing since 1998, Australia now has the opportunity to rapidly increase sales of lamb to Japan, and establish a strong alternative export market to the United States and the United Kingdom.

“Japan is an increasingly important destination for Australian lamb, with Japan now Australia's third largest export market in value terms, increasing 84 percent since 1998,” MLA said. “This growth in lamb export values has outpaced all other significant markets, with the exception of the U.S. and the U.K. (which is restricted by the E.U. sheepmeat import quota).”

The volume of lamb exported to Japan has increased 34 percent since 1998. This trend has continued in 2004, with exports of Australian lamb increasing 38 percent in the calendar year to April.

New Zealand is also capitalizing on this opportunity, with New Zealand exports of lamb to Japan increasing 71percent in the calendar year to March. The growth in the volume and value of exports to the Japanese market has largely been driven by a shift from frozen to chilled lamb exports, and from carcass to boneless exports. Shoulder cuts are the main cut exported to Japan from Australia for use in the barbecue market.

Web posted: May 9, 2004
 

The European Commission has adopted a series of transitional and permanent implementing measures to prepare for the application of the import provisions of the Animal By-Products Regulation. The key objective of the Regulation was to revamp the veterinary legislation on animal by-products, only allowing certain products to enter the feed chain.

Third-party countries export considerable quantities of animal by-products to the Europen Union, either in the form of ingredients for livestock or pets food (such as fishmeal and canned pet food) or as raw materials (such as tallow, bones, hides, and skins) intended for the manufacture of such feed or for technical/industrial uses (such as production of cosmetics, medicinal products, medical devices, leather, glue, paint, and plastic).

Only material derived from animals declared fit for human consumption can be imported or used for the production of animal feed. Slightly less stringent conditions apply for other uses, such as biogas and oleo-chemical products. The rigorous measures required by the Regulation also apply to E.U. trading partners. Some of these third countries asked for a phase-in period to allow operators to adjust and for the relaxation of certain provisions that they consider disproportionate.

In order to address these concerns, the Commission adopted a number of decisions, including:

* The application of the third country import provisions was postponed until 30 April 2004.

* Derogation has been granted for the import of photographic gelatin produced from specified risk vertebrae materials from the United States and Japan intended for the production of photographic film in France, the Netherlands, and the United Kingdom.

* For Australia, Canada, China, and the United States, derogation has been granted until Oct. 31, 2005 for the continued import of certain products not meeting the requirements of the Regulation concerning the total separation of Category 1, 2, and 3 processing plants.

* Derogation has been granted for the import, transit, trade and export of Category 1 and 2 risk materials (hides and skins, rendered fats, intestines, and bones) intended exclusively for technical/industrial uses.

The European Commission said that the postponement of the application of the import provisions until April 30, 2004 has given adequate time for trading partners and operators to adjust to the new requirements. It has also enabled the Commission to update import rules, for example by making the necessary technical amendments to the model health certificates and establishing health conditions for new products such as collagen, egg products, tri-calcium phosphate, and flavoring The review of the health certificates was also necessary to adapt them to an electronic format, allowing for the speedy transfer of trade documents.

Operators have been advised to check with the relevant competent authorities before shipment of their products. Nevertheless, in order not to disrupt trade, the Commission has advised member states to continue to accept the health certificates drawn up according to the old rules until June 15, 2004 and thereafter, to exercise some further flexibility until Aug. 15, 2004, enabling the import of products which have left third countries before June 15, 2004.

Web posted: May 4, 2004
 

Dr. Ron DeHaven, administrator of USDA’s Animal and Plant Health Inspection Service and Dr. Barbara Masters, acting administrator for USDA’s Food Safety & Inspection Service, commented on the recent reports of a cow slaughtered in Texas that was exhibiting signs of neurological problems associated with the brain-destroying bovine spongiform encephalopathy. The USDA officials said the cow in question was slaughtered at Lone Star Beef in San Angelo, Texas on April 27, 2004.

"The cow in question was condemned and prohibited from entering the human food chain on ante-mortem inspection by a veterinarian with USDA's Food Safety and Inspection Service,” DeHaven and Masters said. “The veterinarian condemned the animal after observing the cow stagger and fall, indicating either an injury or potentially a central nervous system disorder or other health condition.”

They added: “Standard procedures call for animals condemned due to possible CNS disorder to be kept until APHIS officials can collect samples for testing. However, this did not occur in this case and the animal was sent to rendering. The rendered product from this animal did not enter the human food chain; it presents no risk to human health.”

The Food and Drug Administration's feed ban – enacted in 1997 -- prohibits rendered ruminant products to be fed to other ruminants. FDA is addressing the proper disposition of the rendered product made from the cow in question. "We continue to investigate the circumstances of this case and will take appropriate actions once all information is available,” DeHaven and Masters said.

The FDA said it tracked down all the material from the cow that was sent to a rendering facility. All of the rendered material is being held by a business that the Agency did not name. FDA said if the business agrees to only using the material in swine feed, it will then track the material through the supply chain from the renderer to the pig farm that purchases the material to ensure that the feed is monitored and fed only to pigs.

Web posted: May 4, 2004
 

Brazil is set to overtake Australia in 2004 to become the world's largest beef exporting country, according to the latest USDA forecasts. Meat and Livestock Australia said that with higher beef production due to improved genetics and cattle production practices and an attractive currency, Brazilian exports are expected to increase 15 percent to reach 1.35 million metric tons in 2004.

MLA added that this was remarkable because the result would come without Brazilian unprocessed beef being able to access North Asian or North American markets due to its foot and mouth disease status.

According to USDA, Australian exports are forecast to increase by three percent to 1.3 million metric tons as Australian beef fills some of the shortfall left by U.S. beef in Japan and South Korea. Beef exports are also expected to ramp up from India (including Buffalo beef), Argentina, and Uruguay. Product from these countries competes with Australian beef in most export markets.

U.S. exports are expected to decline by 83 percent in 2004 to 195,000 metric tons, due to the closure of most export markets to US beef. MLA said that in making this projection, the USDA has assumed the import bans in place as at March 30 will remain for the forecast period.

MLA added that on the import front, Japan, Mexico, and Korea are expected to import less beef products in 2004 than a year earlier. These three countries were heavily dependant on U.S. beef imports prior to the import ban and despite attempts being made by Australia and New Zealand to fill the shortfall, USDA believes the void left by U.S. beef will not be completely filled.

Imports to Japan are forecast to fall 36 percent from 2003 levels to 520,000 metric tons. Korean imports are expected to suffer a greater blow, falling 55 percent to 200,000 tons. In Mexico, imports may fall by up to 32 percent, despite the partial lifting of import restrictions on U.S. beef to allow beef from cattle aged less than 30 months of age.

Excel Corp., Dodge City, Kansas, voluntarily recalled approximately 45,000 pounds of fresh ground beef that may be contaminated with E. coli O157:H7, according to USDA’s Food Safety and Inspection Service.

The products subject to recall are 80-pound boxes of Excel chuck ground beef 81/19 fine grind, Excel 81/19 coarse grind ground beef, Excel 81/19 fine-ground ground beef, and Excel 90/10 fine grind ground beef.

Each box contains eight, 10-pound chubs of ground beef and carries the date-code and “Use/freeze by: 04-29-04” message. The boxes bear the establishment number “86K” inside the USDA mark of inspection. In addition, each box contains the following lot code, “04100409 0018” or “04100409 0019.” Each chub contains the use/freeze by date and the USDA mark of inspection.

The beef was produced on April 9, 2004 and shipped to distributors in Alabama, Illinois, Indiana, Kansas, Michigan, Minnesota, Missouri, Ohio, and Texas. The bulk beef was then likely repackaged prior to retail distribution.

An FSIS inspector discovered the problem while conducting an inspection verification check. FSIS has not received any reports of illnesses associated with consumption of this product. E. coli O157:H7 is a potentially deadly bacteria that can cause bloody diarrhea and dehydration. The very young, seniors and persons with compromised immune systems are the most susceptible to food-borne illness.

Growing the appetite of 60 million Thais for New Zealand beef will become easier with a new trade deal on the horizon to improve access, according to Meat and Wool New Zealand. The organization welcomed the announcement that the New Zealand and Thai governments will start negotiations on a Closer Economic Partnership, which will improve access for New Zealand’s meat exports into Thailand.

Meat and Wool New Zealand CEO Mark Jeffries said the government’s study into a comprehensive CEP with Thailand has highlighted that it will provide real benefits for the consumers, industries and economies of both countries. Meat and Wool New Zealand participated in the feasibility study.

“Even though the meat sector’s existing trade with Thailand was only $6 million in 2003 - the CEP negotiations will provide New Zealand farmers and exporters with a real opportunity to reduce the trade barriers that currently apply to New Zealand meat products.” Jeffries said. He also said a CEP agreement would lead to improved trade access - particularly for beef.

“The current tariff rates for meat products are prohibitive, at 50 percent for beef, 30 percent for sheep meat, and ranging between 30-40 percent for meat offals,” he said. “We support the study’s recommendations for these trade barriers to be removed. This will allow both Thai consumers and the Thai tourism industry to enjoy a more reliable supply of high quality New Zealand red meat for which there is growing demand.”

Jeffries said that although the tariffs on New Zealand wool products are low, a CEP will also help New Zealand’s wool exports to Thailand. “New Zealand has an existing trade in wool products with Thailand with wool exports totaling just under $8.5 million last year. Any gains that might be achieved for such exports would not necessarily come from tariff cuts, but more from bringing our two economies closer together,” said Jeffries. He emphasized that Meat and Wool New Zealand looks forward to working closely with the government on the CEP negotiations with Thailand.

Increased competition, particularly from China, and a reduced supply of light Australian lamb carcasses, could threaten Australia’s trade with the Middle East. According to Meat and Livestock Australia the Middle East has been a consistent market for Australian chilled airfreighted lamb carcasses, preferring lighter lambs (10-14kg) to supply the traditional meat markets. However, the proportion of Australian lamb carcasses exported to the Middle East accounted for only 43 percent of lamb exports in the March 2004 quarter, compared with 70 percent in the March 2003 quarter.

MLA figures show that total lamb exports in the first quarter of 2004 dropped to 1,812 metric tons, down 31 percent compared with the first quarter of 2003 (2,610 metric tons). This fall was mainly a result of the 58 percent fall in lamb carcass exports due to the reduction in the availability of lighter lambs.

MLA said that this time last year, at the peak of the drought, there were an excessive number of lighter lambs available. However, the fall in the lamb carcass trade during 2003 and into 2004 has been offset by strong demand for chilled lamb cuts from the developing retail and foodservice sectors - lamb cuts increased by 32 percent in the first quarter, totaling 1,040 metric tons compared with the first quarter 2003 (787 tons).

The demand for Chinese lamb carcasses has grown considerably in most Middle Eastern countries, in particular Jordan, the United Arab Emirates and Kuwait, following the lifting of disease related restrictions for Chinese product in 2002. Further fuelling demand is the price competitive nature of Chinese product. China is the world's largest producer of sheep meat and goat meat (1,695,000 metric tons), accounting for 22 percent of the world's total production - in contrast, Australia produced 544,000 tons of sheep meat in 2003, or eight percent of global production.

Irish meat processors have been accused of undermining spring lamb prices at a major cost to early lamb producers. Irish Farmers’ Association National Sheep Committee chairman Laurence Fallon said processors have attempted to erode prices from Euro 0.60-0.90 per kg.

“This attack on spring lamb prices at this time of year sends a very negative signal to sheep farmers heading into a decoupled policy from next January,” Fallon said. He added that domestic demand for spring lamb at butcher level is strong and supplies are extremely scarce. “This attack on prices by the factories cannot be justified,” he emphasized.

Fallon said some plants are also trying to renege on some deals for hoggets. “Farmers cannot allow the factories or their agents walk away for a price deal already agreed,” he said. The IFA sheep farmers’ leader said France is returning up to Euro 0.50 per kg for Grade 1 Irish hoggets and based on this price the factories could easily afford to pay up to Euro 0.25 per kg. Fallon pointed out that lambs will remain very scarce throughout this year and a number of new slaughterers are entering the market.

“We are very pleased with the decision by Hong Kong to reopen its market to U.S. poultry exports,” USDA Secretary Ann Veneman said following Hong Kong’s announcement that it was reopening its markets to U.S. poultry. “Exports are important to the economic health and vitality of American poultry producers,” she said. “Hong Kong is one of our largest markets, ranking third for U.S. poultry meat.”

“We have worked very hard to provide full assurances to Hong Kong’s scientists on the thorough mitigation measures taken to contain and eradicate avian influenza,” she added. “We appreciate that Hong Kong bases its food safety standards on internationally accepted scientific principles.

Hong Kong’s purchases of poultry meat from the United States totaled $219 million in 2003, according to USDA. The United States provides over half of the poultry consumed in Hong Kong.

“(The) announcement marks an important step in our efforts to work with our trading partners to use sound science as a basis for establishing standards for human and animal health,” Veneman said. “Hong Kong will resume processing poultry meat imports from the United States. The resumption does not apply to the state of Texas, but discussions will continue to ensure total access for U.S. poultry producers.”

Web posted: May 2, 2004
 

The European Commission adopted a report on the implementation of Council and European Parliament Regulation No.1760/2000. The regulation introduces rules to ensure origin labeling reliability by the application of a global traceability system, based on national individual bovine identification systems and beef traceability requirements applicable from the slaughterhouse to the point of sale to the consumer.

In 2002-2003, the Commission’s Food and Veterinary Office evaluated the application of the legislation on E.U.-produced and imported beef and veal labeling. It also evaluated the feasibility of extending beef origin labeling to processed beef products and beef prepared by restaurants institutions caterers, and formulates proposals that will serve as a basis for discussion. The Council and Parliament will evaluate the report in the coming months.

Proponents say provisions of the regulation that address beef traceability and origin labeling in will greatly help restore consumer confidence and beef consumption to the levels of before the second bovine spongiform encephalopathy crisis in October 2000. It will led to a profound change in the way the operators in question organize their work and make trade in beef more transparent. However, according to the European meat trade sector the scheme has caused a certain re-nationalization of the trade in beef, in particular for beef products sold directly to final consumers (i.e. in the retail sector).

Consequently, the possibility of labeling beef as of E.U. origin rather than national origin, without reducing the guarantees provided for consumers, is worth looking into, the report said. This would be limited to establishments that prepare cuts of beef intended directly for final consumers. Under such a scheme, these operators would be free to decide whether to label products as being of national or E.U. origin, depending on the preferences of consumers and the distribution sector.

The Commission also noted that a number of Community rules are proving difficult to apply to certain types of operators in the beef sector in all member states. The problems mainly concern the requirements regarding homogeneity in batches of beef at secondary cutting plants, traceability and labeling of off-cuts, supplies to minced beef plants, and consumer information on beef products marketed in non-pre-wrapped form.

By contrast, the Commission is not in favor of extending the origin labeling rules to cover processed beef products, products containing beef and other ingredients or prepared meals produced by the restaurant and institutional catering sector or the fast food sector. It believes that this would be particularly difficult for the operators in question to apply, for both technical and commercial reasons. Although Regulation No 1760/2000 has helped restore consumer confidence and beef consumption, extending its scope would bring only restrictions and extra costs without any commensurate public health benefits or increase in beef consumption: the costs associated with such a measure would outweigh any benefits.

Web posted: April 28, 2004
 

Meat and Livestock Australia has sold its VIAscan technology to Brisbane, Australia-headquartered-SASTEK. VIAscan is the Australian-developed video imaging analysis technology designed to deliver more objective feedback on carcass yields.

MLA managing director Mark Spurr said the sale to SASTEK would enhance the potential of the VIAscan technology. “SASTEK has over 24 years experience in providing technological solutions to the processing sector, so we anticipate the uptake of the VIAscan technology to continue under their ownership,” Spurr said.

He explained: “MLA's intention has always been to commercialize the VIAscan technology and place the administration, marketing and development of VIAscan in the hands of a commercial organization that has the required infrastructure and expertise to ensure uptake and utilization by industry - SASTEK fits this criteria.”

SASTEK CEO Keith Roskam said VIAscan would form a very good strategic fit with SASTEK's existing business. “SASTEK is an Australian-owned company and we have strong links to the meat processing sector, not only in Australia but in New Zealand as well,” he said. “We are committed to meeting the needs of the existing customer base and promoting the technology into the future.”

SASTEK has a history of innovation in the area of meat processing technology. The company plans to increasing industry uptake and enhancing the current VIAscan technology both within Australia and internationally. “This is a positive move for our company and for VIAscan," Roskam said.

SASTEK has also purchased VIAscan's marketing arm, VIAscan Quality Assessment. Expressions of interest for the purchase of the VIAscan technology and VQA were sought in November last year after ownership reverted to MLA. The sale of VIAscan and VQA to SASTEK will include a payment of around $500,000 to MLA, along with a percentage of sales should revenues exceed an agreed threshold.

Web posted: April 27, 2004
 

Australia and Saudi Arabia have agreed to greater cooperation in health and quarantine matters relating to the trade in plant and animal products. Australian Agriculture Minister Warren Truss this week signed a memorandum of understanding on cooperation in sanitary and phytosanitary measures in Riyadh with the Saudi Arabian Minister for Commerce and Industry Dr. Hashim Al-Yamani.

Truss said that Saudi Arabia is an important market for Australia, taking more than $2 billion worth of our exports in 2002-03. At the same time, Saudi Arabia exported more than $1 billion worth of goods to Australia. “The MOU on cooperation in sanitary and phytosanitary measures will benefit Australian exporters by establishing a mechanism with Saudi Arabia for discussing important technical issues whenever they arise,” he said.

“Australia's major agricultural exports to Saudi Arabia include meat, dairy, barley, pulses, and fresh vegetables,” he explained. “The MOU reflects the growing, bilateral relationship with Saudi Arabia, and the close ties our agriculture sector is developing in this important market. The MOU will also contribute to a more stable, long-term trading environment, something I know Australia's rural industries, particularly the meat industry, have been seeking.”

He added: “Australia is also seeking to progress with Saudi Arabia a separate MOU specifically covering the live animal trade. Live animal shipments to Saudi Arabia will remain suspended until this MOU is finalized.” Truss' Saudi Arabian visit was part of a 12-day mission to the Middle East to boost Australia's agricultural relations with the region.

Web posted: May 4, 2004