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Broadening of Trade Not Coming Easy with Taiwan
11/2/2009
By Roger Bernard, Farm Journal Policy & Washington Editor
The U.S. and Taiwan have signed a protocol which will broaden the terms of trade for U.S. beef shipments to the island country.
Taiwan has only accepted U.S. boneless beef from animals under 30 months of age since it resumed imports after initially cutting off those shipments after the discovery of BSE here in 2003. The protocol would broaden the terms of trade to include bone-in beef and other products like ground beef, offals and spinal cords.
In order to ensure a smooth transition for expanded trade, U.S. exporters have decided as a transitional measure to initially export only U.S. beef and beef products from cattle less than 30 months in age to Taiwan.
But the pending broadening of trade is not coming easy. In fact, the situation appears eerily similar to efforts to get more U.S. beef moving into South Korea. Since the announcement, here's quick rundown of developments that have unfolded:
Legislative slowdown: Democratic Progressive Party (DPP) legislators have held up action in the country's legislature over the expanded beef trade deal. They held up action, they said, in reaction to public protests over the beef-trade deal. Specifically, they were reacting to provisions that would allow in ground beef, offals and spinal cords, items they believe carry higher risk of BSE.
Revealing names: Department of Health Minister Yaung Chih-liang, seeking to calm upset lawmakers, said his agency would announce the names of those companies who import the products lawmakers are most concerned about. Yaung said that they would announce the company names within a week "as long as it is not prohibited by law."
Inspectors in U.S.: Taiwan's Yaung also told lawmakers the country would station officials in the United States to inspect meat establishments exporting beef to Taiwan. Those inspectors would notify the Taiwanese government immediately if they observe conditions that are not in compliance with the terms of trade.
Verification system: U.S. meat industry representatives such as the U.S. Meat Export Federation, the American Meat Institute and others wrote to USDA Secretary Tom Vilsack, asking that once the agreement is in force, the U.S. government should establish an age-verification Quality System Assessment (QSA) Program for Taiwan. "USDA AMS (Ag Marketing Service) has already confirmed that it is taking the necessary steps to establish this QSA program," the groups said.
No imports by some: The Importers and Exporters Association of Taipei, along with the Kaohsiung, Taipei County and Taiwan importers and exporters chambers of commerce said they won't import U.S. ground beef, offal and spinal columns until safety concerns surrounding these products are settled, according to the China Times. Leading beef importers including Game Meat Industrial Co. Ltd., Mayfull Foods Corp., Noble Family Co. Ltd., Shuh-sen Co. Ltd., and Yu-ho Foods Co. Ltd. also unveiled a similar measure.
No backtracking: Taiwanese President Ma Ying-jeou sought to calm the uproar over the beef-trade deal, assuring the public and irritated lawmakers the U.S.will allow Taiwanese inspectors in U.S. beef plants that export to Taiwan. "The government does not import nor promote the (U.S.) beef products," he added. "Our importers are imposing controls and you can rest assured of the product safety. There's no need to renegotiate the issue with the U.S."
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Roger Bernard has covered farm program and policy issues for Pro Farmer since 1986. He spent 11 years working in Washington, D.C. and maintains a long list of connections there. Roger is a frequent contributor to the television shows AgDay and U.S. Farm Report and also covers policy issues for Farm Journal magazine. You can read more from Roger Bernard by subscribing to www.ProFarmer.com.
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