Japanese Market Sways Beef Organisation to Back Trans-Pacific Partnership

This week, Rachel Lane reported for The Cattle Site on the importance of the Japanese market for US beef farmers, and why that means many of them want the Trans-Pacific Partnership (TPP) trade agreement to be approved as soon as possible.

The TPP is a massive trade deal featuring 12 countries around the Pacific rim, but it still has to be passed by the US Congress as well as the governments of other countries. However, both major party presidential candidates have come out against the TPP.

Japan is an important market for US agriculture because it generally offers high prices to producers and demands agricultural products that the US can competitively supply.

Chase Adams, of the National Cattlemen’s Beef Association, said that while Japan remained the number one destination for US beef imports in 2015, sales are down. He said that Australia’s separate trade deal with Japan puts US beef at a disadvantage there, until the TPP is signed.

“That 10 per cent tariff advantage that they have right now is huge,” Mr Adams said. “You see tremendous support for TTP across agriculture.” – Click here to read more.

Also this week, new figures released by Hybu Cig Cymru – Meat Promotion Wales (HCC) showed that farmers received a larger share of the retail price of beef and lamb in August 2016 than at the same time in the previous two years.

UK farmers were receiving a 52 per cent share of lamb prices and a 50 per cent share of beef retail prices by August, but experienced fluctuations in this spread in previous months.

The lowest share paid to beef farmers in 2016 so far has been 45 per cent in April, but the situation has gradually improved due to a tightening of supply and steady demand for the product – read more.