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Meat Institute Offers Additional Information on Brazilian Beef Market Access to U.S.

Wednesday, August 17, 2016

(North American Meat Institute)

The Food Safety and Inspection Service (FSIS) recently announced that Brazil's inspection system for beef is equivalent to that of the U.S. The decision allows previously approved regions in Brazil to export fresh, chilled and frozen beef to the U.S. In 2015, the Animal and Plant Health Inspection Service (APHIS) approved 14 states in Brazil to export beef to the U.S. under specific conditions that mitigate the risk of foot-and-mouth disease. The Brazilian competent authority must now designate establishments that are approved to export to the U.S., and FSIS will publish the names of those plants on its website. It is not clear whether Brazil currently has a lotting protocol in place for imports that are destined for non-intact use, namely product that is potentially subject to testing for STECs by FSIS during re-inspection.

The decision does not provide Brazil with a country-specific quota. Instead, Brazil will supply beef to the U.S. under the Other Country Tariff Rate Quota (TRQ) of 64,805 MT. The quota is allocated on a first-come, first-served basis. Although the quota has never been filled, imports that exceed the quota will be subject to a duty of 26.4 percent. Beginning in 2020, signatory countries of the Dominican Republic-Central America Trade Agreement (CAFTA-DR) will no longer be counted under the Other Country TRQ, as they will be granted unlimited market access. Currently, those countries are required to import beef under the Other Country TRQ, until it is filled, before using their CAFTA-DR TRQs.

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