The recent announcement of an agreement to restart U.S. beef exports to China could be worth more than $2 billion to U.S. agriculture. AFBF Senior Director of Congressional Relations Dave Salmonsen says the China beef market is growing, and China is looking to purchase more beef…
“As China improves economically, more people moving into the middle class, they’re looking to improve their diets, and they’re looking to purchase more beef.
“Currently, most of their beef is coming in from Argentina, Uruguay, Brazil, Australia, but, there certainly is an opportunity for our grain-fed US beef. And the estimates are that this could grow to a $2 billion export market for the US.”
Part of the agreement with China includes poultry and biotechnology approvals…
“One thing that China wants to be able to do is export cooked poultry into the US. So, as part of the agreement, the US needs to put out a proposed rule, to allow that to happen.
“So, it’s a good example of how trade works, where people have to get benefits of both sides of this.
Also, in the agreement is a desire to work on biotechnology and the approval process in China. So, there was an announcement that there would be more work on that.”
The target date to complete the agreement is July 17th of this year. Salmonsen says U.S. beef could then be exported to China…
“It’s like anything, it won’t reach full potential right away. But, over time, I think that could be a really strong market, and certainly hope it will help prices here in the US for the benefit of ranchers across the country.
“We’ll see how this works out, this is an agreement, both sides are committed to working through these issues, and we hope they’ll be diligently and solve these issues to make this trade happen.”
AFBF Senior Director of Congressional Relations Dave Salmonsen.