Suspension of Brazilian beef exports to China presents ‘opportunity’ for Ireland

IFA urges Government to secure access for Irish exporters

Brazil’s decision to suspend beef exports to China presents an opportunity for Ireland, the Irish Farmers’ Association has said
Brazil’s decision to suspend beef exports to China presents an opportunity for Ireland, the Irish Farmers’ Association has said

Brazil's decision to suspend beef exports to China presents an opportunity for Ireland, the Irish Farmers' Association (IFA) has said.

The world’s largest beef exporter was forced to halt its beef trade with China on Saturday after confirming two cases of “atypical” mad cow disease in two separate domestic meat plants.

The suspension, which is part of an animal health pact agreed between China and Brazil and is designed to allow Beijing time to take stock of the problem, begins immediately, Brazil's agriculture's ministry said in a statement. China will decide when to begin importing again, it added.

Exports

Brazil exported nearly 400,000 tonnes of beef to China in the first six months of 2021 and supplied 43 per cent of China’s meat imports last year.

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IFA president Tim Cullinan said the decision by the Brazilian authorities to stop exports to China "presents a huge opportunity for our beef sector".

“The Taoiseach Micheál Martin, the Minister for Agriculture Charlie McConalogue and the Government must now redouble their efforts to secure an immediate return of Irish beef to the Chinese market,” he said.

“We should be making the most of this decision by Brazil. It’s a chance to gain a foothold in a market where demand is growing for quality food,” he said.

Irish beef exports to China started in 2018 after a long and sustained diplomatic effort to gain access to the fastest growing market in the world.

However, they were suspended in May last year after an isolated case of BSE was confirmed in Co Tipperary.

IFA livestock chairman Brendan Golden said the Chinese market for Irish beef for the first six months of 2020 had grown in value by over 60 per cent to €22.5 million compared to the previous year.

Standards

“There’s huge demand for beef in China. It’s critical that Irish farmers who produce to the most exacting standards in the world are in a position to avail of this,” he said.

Brazil’s economy has been hit hard by the coronavirus pandemic but food exports led by beef have continued to flourish until now.

The suspension is therefore a major blow for Brazilian farmers: China and Hong Kong buy more than half of Brazil's beef exports.

The cases were identified in meat plants in the states of Mato Grosso and Minas Gerais, the ministry said. It said they were the fourth and fifth cases of "atypical" mad cow disease that have been detected in Brazil in 23 years.

While beef has traditionally been consumed less than pork in China, it is growing in popularity and the country is now the world’s second-biggest importer of beef. - Additional reporting Reuters

Eoin Burke-Kennedy

Eoin Burke-Kennedy

Eoin Burke-Kennedy is Economics Correspondent of The Irish Times