Hi Guys

[greybeard]

The EU may need beef but that is not the message they sent to Brazil. Brazil was paying the tariff on over a billion dollars worth of beef only to be shut out because they didn’t have tractability equivalency. EU suggested they start with about 25 ranches.
Remember, we’re talking over a billion dollars in exports. But EU says only send product from 25 ranches. Makes RCALF look like schoolboys.
I too believe the funds will run this market if it starts to show some signs of life.

[grassfarmer]

Greybeard, I would suggest that the EU took the correct stance with Brazil in this case. The EU desperately needs beef but at the same time they cannot play fast and loose with animal health - the real issue with Brazil is Foot and Mouth affecting certain areas and this not being adequately controlled due to a non-existent traceability scheme and porous national borders. If a country gets foot and mouth exports are halted until it is cleared up - the UK suffered that fate twice in 7 years and it is right that Brazil should face the same consequence.

[grassfarmer]

Farmers_son, I believe you understate the opportunities in Europe for Canadian beef. The reason we don't sell more in the EU is not because we don't have a good product or because of high tariffs it's because of pig headed stubborness by our industry leaders and their apparent control by the US packing sector.

The Hilton tariff (at 20%) is set up specially for N American supplies of high quality beef and has 11,000 tonnes a year of unfilled quota. North American countries do not fill this because of their adherence to hormone treated beef.
There are also non tariff markets for beef offal and 16% tariff opportunities for cooked/prepared beef and offal products.
All told there are probably developing opportunities in Europe for 100,000 tonnes a year of product at 20% or less tariff rates - and we are not interested in that kind of market??
With the foot and mouth problems in South America and a general beef production decline in Argentina as they tear up pasture to grow soy there is a huge opportunity in the making. The EU is shorter than ever in beef and they will/already are relaxing tariffs and increasing quotas. Why does Canada not seize the opportunity and try to ship a small quantity in there and establish a market presence? I suggest it's because our "industry" is controlled by a North American packing cartel more interested in keeping beef captive on this continent as a means to keep ex farm live cattle prices as low as possible.