Both countries have confirmed that the UK may export UK beef to China again later this year, ending the 23-year import ban imposed during the mad cow disease epidemic that hit the UK in the 1990s.
Chinese Ambassador to the UK Liu Xiaoming and the British Minister of Environment, Food and Rural Affairs Robert Goodwell signed the “China UK Beef Protocol” dialogue at the 10th China-UK Economic and Financial Association held in London on Monday.
The two countries must now finalize a standard health certificate for shipment at any time and are expected to begin by the end of 2019.
Goodwill estimates that this move could bring in £230 million ($288 million) to British farmers and exporters over the next five years.
“This is a major breakthrough in our world-class food and agriculture,” Goodwill said. “Today’s milestone reflects our ambition to achieve new trading opportunities on a global scale and become a truly global UK when we leave the EU.”
In February last year, China began to lift the import ban on British beef. This year, Chinese officials completed a series of inspections of British meat processing plants and other facilities.
British beef exports stopped in 1996 due to the outbreak of the deadly neurodegenerative disease bovine spongiform encephalopathy (also known as mad cow disease or mad cow disease). The disease can spread from cattle to humans, killing 180,000 cows and more than 150 people in Britain.
The EU lifted the ban on British beef in 2006, and the United States will cancel it in 2016. Now, the reversal of the Chinese ban has allowed British farmers to enter one of the fastest growing markets in the world.
“Today’s move is the advancement of our world-leading British beef producers who will soon be able to export their products to one of the world’s largest economies, support local employment and bring millions of pounds a year to the UK economy,” Minister of International Trade Liam Fox.
“As we leave the EU, we will continue to break down barriers to market entry, making it easier for UK companies to trade on a global scale,” he said.
The growth rate of Chinese beef consumption is higher than domestic production, resulting in a growing demand for imported meat. Between 2013 and 2017, Chinese beef imports increased at a compound annual growth rate of 24%.
China is now the second largest beef importer after the United States. Last year, Chinese beef imports totaled 4.8 billion US dollars, accounting for 10% of global imports.
Five countries – Brazil, Australia, Uruguay, New Zealand and Argentina – supply 90% of Chinese imported beef.
According to Phil Hadley, director of international market development at the UK’s Agriculture and Horticultural Development Council, the UK is a modest beef exporter compared to these countries and wants to build a reputation as a quality agricultural supplier.
“The survey shows that Chinese consumers believe that imported food in the UK is healthy and safe,” Hadley said. “We need to break into the Chinese market, build a reputation for reliability, quality service and quality products, and then increase consumer interest in UK products through food safety, animal welfare and grass-fed animals.”
Hadley said that full muscle reduction may make up for the initial beef exports. Online, UK exporters may wish to ship the so-called “fifth-quarter production cuts”, including viscera, as China’s demand for China far exceeds that of the UK.
