0.411. 0.436. 0.396. 0.34. Exports. 1997. 1996. 1995. 1994 - PowerPoint PPT Presentation

Loading...

PPT – 0.411. 0.436. 0.396. 0.34. Exports. 1997. 1996. 1995. 1994 PowerPoint presentation | free to download - id: 10175-YmRlM



Loading


The Adobe Flash plugin is needed to view this content

Get the plugin now

View by Category
About This Presentation
Title:

0.411. 0.436. 0.396. 0.34. Exports. 1997. 1996. 1995. 1994

Description:

0.411. 0.436. 0.396. 0.34. Exports. 1997. 1996. 1995. 1994. 1993. 1992. 1991. 1990 -0.9097 -0.9699 ... Canada has unlimited access under NAFTA ... – PowerPoint PPT presentation

Number of Views:73
Avg rating:3.0/5.0
Slides: 107
Provided by: rcal6
Learn more at: http://r-calfusa.com
Category:
Tags: canada | exports

less

Write a Comment
User Comments (0)
Transcript and Presenter's Notes

Title: 0.411. 0.436. 0.396. 0.34. Exports. 1997. 1996. 1995. 1994


1
International Trade and the U.S. Cattle Industry
  • Terence P. Stewart
  • Law Offices of Stewart and Stewart
  • R-CALF USA Sixth Annual Convention
  • Denver, Colorado
  • January 19 21, 2006

2
Overview
  • I. Overall Trade Trends in Cattle and Beef
  • II. Major Issues in 2006
  • BSE Issues
  • World Trade Organization
  • Free Trade Agreements

3
Overview
  • Challenges facing the U.S. cattle industry
  • International market distortions the focus of
    this presentation
  • Consumer demand and the sectors vulnerability to
    health and safety concerns
  • Structure of the domestic market and
    concentration
  • In addition to trade policy, domestic policy
    solutions are needed
  • 2007 Farm Bill will be important opportunity

4
Overview
  • 2007 Farm Bill
  • Current Farm Bill expires July 2007
  • Level and type of farm payments may depend on
    outcome of the Doha Round at the WTO
  • Outcome of the Doha Round likely not known until
    end-2006 at the earliest
  • Groups pushing for one-year extension
  • American Farm Bureau Federation
  • National Farmers Union
  • R-CALF USA position
  • December 2005 comments
  • Market competition health and safety consumer
    information trade impacts and support for the
    sector

5
I. Trade Trends Overview
  • U.S. Trade Deficit in Cattle Beef
  • Global Exporters and Importers
  • Global Market Distortions Persist

6
I. Trade Trends U.S. Deficit
  • U.S Exports
  • U.S. cattle and beef exports down sharply since
    discovery of animal with BSE in December 2003
  • U.S. Imports
  • U.S. cattle imports still below 2002 level
  • U.S. beef imports steady and rising slightly
  • Net U.S. trade deficit in cattle and beef
  • 2005 projected deficit slightly higher than 2004
  • 3.4 Billion

7
I. Trade Trends U.S. DeficitOverall U.S.
Agriculture Trade
Source Dept. of Commerce, Census Bureau, Foreign
Trade Stats
8
I. Trade Trends U.S. DeficitOverall U.S.
Agriculture Trade Billion US
Source Dept. of Commerce, Census Bureau, Foreign
Trade Stats
Source Dept. of Commerce, Census Bureau, Foreign
Trade Stats 2005 data annualized from Jan.
Oct. data
9
I. Trade Trends U.S. DeficitU.S. Trade in
Cattle and Beef Value
Source Dept. of Commerce, Census Bureau, Foreign
Trade Stats
10
I. Trade Trends U.S. DeficitU.S. Trade in
Cattle and Beef Billion US
Source Dept. of Commerce, Census Bureau, Foreign
Trade Stats
Source Dept. of Commerce, Census Bureau, Foreign
Trade Stats 2005 data annualized from Jan.
Oct. data
11
I. Trade Trends U.S. DeficitU.S. Trade in
Cattle Value
Source Dept. of Commerce, Census Bureau, Foreign
Trade Stats
12
I. Trade Trends U.S. DeficitU.S. Trade in
Cattle Billion US
Source Dept. of Commerce, Census Bureau, Foreign
Trade Stats
Source Dept. of Commerce, Census Bureau, Foreign
Trade Stats 2005 data annualized from Jan.
Oct. data
13
I. Trade Trends U.S. DeficitU.S. Trade in
Cattle Volume
Source Dept. of Commerce, Census Bureau, Foreign
Trade Stats
14
I. Trade Trends U.S. DeficitU.S. Trade in
Cattle Million Head
Source Dept. of Commerce, Census Bureau, Foreign
Trade Stats 2005 data annualized from Jan.
Oct. data
15
I. Trade Trends U.S. DeficitU.S. Trade in Beef
Value
Source Dept. of Commerce, Census Bureau, Foreign
Trade Stats
16
I. Trade Trends U.S. DeficitU.S. Trade in Beef
Billion US
Source Dept. of Commerce, Census Bureau, Foreign
Trade Stats 2005 data annualized from Jan.
Oct. data
17
I. Trade Trends U.S. DeficitU.S. Trade in Beef
Volume
Source Dept. of Commerce, Census Bureau, Foreign
Trade Stats
18
I. Trade Trends U.S. DeficitU.S. Trade in Beef
Million MT
Source Dept. of Commerce, Census Bureau, Foreign
Trade Stats 2005 data annualized from Jan.
Oct. data
19
I. Trade Trends U.S. DeficitMajor Exporters of
Beef to U.S.
  • 80 of U.S. beef imports from Canada, Australia
    and New Zealand
  • Canada has unlimited access under NAFTA
  • Australia meets or exceeds quota (and pays out of
    quota tariff on excess) nearly every year
    Australia quota to expand over 18 years with new
    FTA
  • New Zealand meets quota nearly every year
  • Beef imports from Uruguay growing rapidly
  • U.S. market re-opened to Uruguayan exports in
    June 2003 after FMD outbreak resolved
  • Uruguay catching up to New Zealand in 2004 2005
  • Uruguay sent six times its quota allocation in
    2004 nine times in 2005
  • Paying extra to ship large quantities out of quota

20
I. Trade Trends U.S. DeficitMajor Exporters of
Beef to U.S.
Source Dept. of Commerce, Census Bureau, Foreign
Trade Stats
21
I. Trade Trends U.S. DeficitMajor Exporters of
Beef to U.S. Thousand MT
Source Dept. of Commerce, Census Bureau, Foreign
Trade Stats 2005 data annualized from Jan.
Oct. data
22
I. Trade Trends U.S. DeficitMajor Exporters of
Beef to U.S. Herd Sizes
Source Dept. of Commerce, Census Bureau, Foreign
Trade Stats FAOSTAT
23
I. Trade Trends U.S. DeficitMajor Exporters of
Beef to U.S. Herd Size
Source Dept. of Commerce, Census Bureau, Foreign
Trade Stats FAOSTAT 2005 data annualized from
Jan. Oct. data
24
I. Trade Trends U.S. DeficitMajor Exporters of
Beef to U.S. - Uruguay
Source Dept. of Commerce, Census Bureau, Foreign
Trade Stats
25
I. Trade Trends U.S. DeficitMajor Exporters of
Beef to U.S. Uruguay
Source Dept. of Commerce, Census Bureau, Foreign
Trade Stats
26
I. Trade Trends U.S. DeficitMajor Importers of
U.S. Beef
  • Total U.S. beef exports down 75 from 2003 to
    2005
  • Two major consumers of U.S. beef exports still
    fully or partially closed
  • Together, Japan and Korea consumed 40 of U.S.
    beef exports in 2003
  • Japan
  • Partial lifting of ban this year, effective late
    December 2005
  • U.S. beef from animals 20 months and under
    allowed
  • Korea
  • Discussions on lifting the ban undertaken in
    prelude to possible FTA talks
  • Korea has agreed to open to boneless U.S. beef
    from animals 30 months and younger by late March
    2006, after import procedures are complete
  • Bone-in beef, variety meats and offal still
    banned accounted for 50 of U.S. exports to
    Korea
  • Other Key Markets
  • Hong Kong beef from animals 30 months and under
    allowed, December 2005
  • Taiwan still closed

27
I. Trade Trends U.S. DeficitMajor Importers of
U.S. Beef
Source Dept. of Commerce, Census Bureau, Foreign
Trade Stats
28
I. Trade Trends U.S. DeficitMajor Importers of
U.S. Beef Thousand MT
Source Dept. of Commerce, Census Bureau, Foreign
Trade Stats 2005 data annualized from Jan.
Oct. data
29
I. Trade Trends U.S. DeficitMajor Exporters of
Cattle to U.S.
  • More than 99.99 of U.S. cattle imports are from
    Canada and Mexico
  • Canada
  • Imports from Canada fall sharply after border
    closes in May 2003, stop in 2004, rise after
    border re-opens in July 2005
  • Monthly imports from Canada since July opening
    still below 2002 levels
  • Mexico
  • Made up somewhat for Canadas decline
  • Grew 68 from 2002 to 2004
  • Back down a bit in 2005 as Canada resumes exports
    to U.S.

30
I. Trade Trends U.S. DeficitMajor Exporters of
Cattle to U.S.
Source Dept. of Commerce, Census Bureau, Foreign
Trade Stats 2005 data annualized from Jan.
Nov. data
31
I. Trade Trends U.S. DeficitMajor Exporters of
Cattle to U.S. Million Head
Source Dept. of Commerce, Census Bureau, Foreign
Trade Stats 2005 data annualized from Jan.
Oct. data
32
I. Trade Trends U.S. DeficitMajor Exporters of
Cattle to U.S. Herd Sizes
Source Dept. of Commerce, Census Bureau, Foreign
Trade Stats FAOSTAT
33
I. Trade Trends U.S. DeficitMajor Exporters of
Cattle to U.S. Herd Sizes
Source Dept. of Commerce, Census Bureau, Foreign
Trade Stats FAOSTAT
34
I. Trade Trends U.S. DeficitMajor Importers of
U.S. Cattle
  • Over 98 of U.S. cattle exports are to Canada and
    Mexico
  • U.S. cattle exports have always been small in
    relation to cattle imports
  • From 1993 to 2002, U.S. imported 13 animals for
    each one exported, on average
  • Border closures due to BSE have eliminated U.S.
    cattle exports
  • Even as U.S. continues to import cattle from
    Canada and Mexico, though at lower levels than
    before

35
I. Trade Trends U.S. DeficitMajor Importers of
U.S. Cattle
Source Dept. of Commerce, Census Bureau, Foreign
Trade Stats
Source Dept. of Commerce, Census Bureau, Foreign
Trade Stats 2005 data annualized from Jan.
Nov. data
36
I. Trade Trends U.S. DeficitMajor Importers of
U.S. Cattle Thousand Head
Source Dept. of Commerce, Census Bureau, Foreign
Trade Stats 2005 data annualized from Jan.
Oct. data
37
I. Trade Trends Global Exporters
  • U.S. losing position as global exporter
  • Exporters in Latin America Asia are growing

Many lead exporters are highly
export-dependent
38
I. Trade Trends Global Exporters
Source USDA, World Markets and Trade, 2004
39
I. Trade Trends Global Exporters
Source USDA, World Markets and Trade, 2004
40
I. Trade Trends Global ExportersExport-Orientati
on of Global Beef Exporters, 2005
Source USDA, Production and Supply Database
41
Trade Trends Global ExportersExport-Orientation
of Global Beef Exporters, 2005
Source USDA Production and Supply Database
42
I. Trade Trends Global ExportersHerd Size and
Exports of Global Beef Exporters, 2004/5
Source USDA, Production and Supply Database
FAOSTAT
43
I. Trade Trends Global ExportersHerd Size and
Exports of Global Beef Exporters, 2004/5
Source USDA, Production and Supply Database
FAOSTAT
44
I. Trade Trends Global Importers
  • U.S. is top importer, and the U.S. share of world
    imports is growing

Traditional importers such as Japan and Korea
have reduced consumption
45
I. Trade Trends Global Importers
Source USDA, World Markets and Trade, 2004
46
I. Trade Trends Global Importers
Source USDA, World Markets and Trade, 2004
47
I. Trade Trends Global ImportersImport-Dependenc
e of Global Beef Importers, 2005
Source USDA, Production and Supply Database
48
I. Trade Trends U.S. DeficitImport-Dependence
of Global Beef Importers, 2005
Source USDA Production and Supply Database
49
I. Trade Trends Global DistortionsHigh Foreign
Tariffs Low U.S. Tariffs
  • U.S. tariff rate quotas on beef are generally
    more generous than other major beef importers
  • U.S. import quota is four times bigger than
    Europes and three times bigger than Koreas
  • Japan has no quota, but negotiated a special beef
    safeguard in return, and imposes high tariffs

Source U.S. HTS WTO
50
I. Trade Trends Global DistortionsLarge Foreign
Subsidies
  • U.S. provides no direct subsidies to cattle and
    beef aside from disaster relief and conservation
    incentives
  • Other countries provide billions of dollars of
    subsidies to cattle and beef, undercutting U.S.
    producers
  • Countries with subsidy programs
  • Australia, Brazil, Canada, China, the European
    Union, Japan, Korea, and more

51
Trade Trends Global DistortionsForeign
Subsidies Country Examples
52
I. Trade Trends Global DistortionsForeign
Subsidies Country Examples, cont.
53
I. Trade Trends Global DistortionsForeign
Subsidies Country Examples, cont.
54
I. Trade Trends Global DistortionsMismatched
Health and Safety Standards
  • Forty markets remain partially or fully closed to
    U.S. cattle and beef due to BSE
  • Some foreign standards lack sound science or fail
    to comply with international standards
  • Countries cited by USTR in the annual report on
    foreign trade barriers include Argentina, Brazil,
    Chile, China, and Taiwan
  • U.S. imposes lower standards on imports than some
    trading partners impose

55
I. Trade Trends Global DistortionsRules of
Origin, Marking Labeling
  • Many other countries require meat labeling based
    on animal tracking information for health
    purposes
  • U.S. consumers cannot make informed decisions
  • Meat of foreign animals is deemed U.S.-origin
    product
  • Foreign meat is sold unlabeled once it is
    inspected, processed
  • USDA Grade stamp creates further confusion
  • Requiring marking of animals not likely to solve
    current consumer information needs
  • Rules of origin can also be relevant to concerns
    about possible transshipment

56
I. Trade Trends Global DistortionsSpecial Rules
for Perishable Products
  • Regular trade remedies insufficient for producers
    of perishable and cyclical products
  • Speed of relief
  • Burden on producers
  • Lasting market damage of import surges, price
    declines
  • U.S. Congress directed USTR to negotiate special
    rules for these products in new agreements

57
I. Trade Trends Global DistortionsSpecial Rules
for Perishable Products, cont.
  • Special safeguard for cattle and beef
  • Triggered automatically
  • Triggered by volume surge or price decline
  • Triggers based on historical volumes, prices
  • Ideally would treat cattle and beef as one
    product
  • Version of beef safeguard in U.S. Australia FTA
  • R-CALF USA proposed safeguard
  • WTO special agriculture safeguard is similar
  • Applies to U.S. beef imports
  • On the table in Doha Round (more on this later)

58
I. Trade Trends Global DistortionsCurrency
Manipulation
  • Concerns that foreign countries may undervalue
    their currency
  • Makes their exports to U.S. cheaper
  • Makes imports from U.S. more expensive
  • Contributes to U.S. trade deficit
  • Examples
  • China
  • Studies suggest the Yuan is undervalued by as
    much as 40
  • Goldman Sachs 10 15
  • Institute for International Economics gt 25
  • Manufacturers Alliance/MAPI 40
  • There has been some very small upward movement
    recently
  • Argentina
  • According to USDA, Argentinas Peso peg deflates
    export prices by 14

59
I. Trade Trends Global DistortionsR-CALF USA
Agenda
  • Tariffs reduce world tariffs to U.S. level
  • Subsidies eliminate trade distorting subsidies,
    including STEs
  • Health and Safety upward harmonization of
    standards

60
I. Trade Trends Global DistortionsR-CALF USA
Agenda, cont.
  • Rules of Origin, Marking Labeling born,
    raised, and slaughtered rule and informed
    consumers
  • Special Rules ensure producers have effective
    access to effective relief
  • Currency redress currency manipulation

61
II. 2006 Trade Issues Overview
  • Health and Safety BSE
  • World Trade Organization The Doha Round
  • Free Trade Agreements

62
II. 2006 Trade Issues BSEBans on U.S. Exports
Markets Lost Due to BSE
40 Countries remain closed to U.S. beef exports
due to BSE
  • Countries with import bans
  • Countries with partial or conditional re-opening

63
II. 2006 Trade Issues BSEBans on U.S. Exports
Markets Lost Due to BSE
Decline in U.S. Beef Exports Since 2003 Markets
with major losses Japan and Korea partially
open and set to re-open this year
64
II. 2006 Trade Issues BSEMismatched Standards
  • Major R-CALF Focus in 2004 and 2005
  • U.S. has adopted a standard for imports that
    allows for more product to enter than other
    countries standards
  • U.S. pursuing opening of other countries markets
    bilaterally
  • U.S. has accepted trading partners opening their
    markets under more stringent standards than our
    own
  • Result U.S. import standards different from what
    U.S. exports face in other countries

65
II. 2006 Trade Issues BSEMismatched Standards
Japan
66
II. 2006 Trade Issues BSEHarmonized Standards
  • Solution to BSE concerns must be upward
    harmonization of import standards
  • Use OIE to reach agreement on science, update
    standards as needed problem is OIE is voluntary
  • Establish multilateral agreement not country by
    country

67
II. 2006 Trade Issues BSEHarmonized Standards
The U.S. Role
  • R-CALF position on U.S. role
  • Allow voluntary BSE testing by U.S. packers.
  • Close loopholes in the U.S. feed ban identified
    by an international scientific panel convened by
    the USDA over 18 months ago.
  • Adopt the most stringent BSE risk mitigation
    measures recommended by the OIE for both imports
    and exports pending an international agreement on
    BSE standards.
  • Bring countries together to harmonize BSE
    standards to prevent any further global spread of
    the disease and allow the resumption of trade in
    safe beef products.

68
II. 2006 Trade Issues WTOBackground on the Doha
Round
  • Launched in Late 2001 in Doha, Qatar
  • Covers 149 Countries
  • Major Topics
  • agriculture, services, non-agricultural market
    access, rules, development

69
II. 2006 Trade Issues WTOBackground on the Doha
Round, cont.
  • Impacts of Uruguay Round on Cattle and Beef
  • Required tariff commitments for 1st time for many
    countries
  • Locked in tariffs and quotas
  • Capped and reduced export subsidies and certain
    distortive domestic subsidies
  • Created agreement to address trade barriers
    enacted in name of health and safety
  • Established special agriculture safeguard for
    products deemed import sensitive by members
  • Governs use of trade remedies
  • Enforceable dispute settlement
  • Doha Round Seeks to Expand on these Rules

70
II. 2006 Trade Issues WTOStatus of the Doha
Round
  • Timeline for the Doha Round
  • November 2001 Launched
  • September 2003 Failed Cancun Ministerial
  • August 2004 Framework Agreement
  • December 2005 Hong Kong Ministerial
  • By April 30, 2006 Next Ministerial
  • End of 2006 Target Completion
  • Early 2007 Target Vote in U.S. Congress
  • July 1, 2007 TPA Expires

71
II. 2006 Trade Issues WTOStatus of the Doha
Round, cont.
  • Agriculture is Big Stumbling Block
  • Key Players in Agriculture Negotiations
  • U.S.
  • Europe
  • G20 Developing countries including Argentina,
    China, and Brazil
  • G10 Net food importers including Japan, Korea,
    and Switzerland
  • Developing country net food importers
  • Key Disagreements in Agriculture
  • Market Access
  • Export Subsidies
  • Domestic Support
  • Special Treatment for Developing Countries

72
II. 2006 Trade Issues WTOCattle and Beef in the
Doha Round
  • Cattle and Beef in the Doha Round
  • 1. Market Access
  • 2. Subsidies
  • 3. Special Rules for Perishable and Cyclical
    Agriculture
  • 4. Rules Negotiations

73
II. 2006 Trade Issues WTOCattle and Beef in the
Doha Round, cont.
  • 1. Market Access
  • Formula Approach to Cut Tariffs
  • U.S. most ambitious top tariffs cut by 90
  • E.U. more conservative top tariffs cut by 60
  • Sensitive Products Excluded
  • U.S. 1 percent
  • E.U. 8 percent
  • Developing Countries Get Special Treatment

74
II. 2006 Trade Issues WTOCattle and Beef in the
Doha Round, cont.
  • 2. Subsidies
  • Export Subsidies
  • Eliminate by 2013
  • With Conditions Food Aid
  • Treatment of STEs

75
II. 2006 Trade Issues WTOCattle and Beef in the
Doha Round, cont.
  • 2. Subsidies, cont.
  • Domestic Support
  • Cattle and Beef Subsidies
  • Feed Stuff Subsidies and STEs
  • Other sectors of U.S. agriculture

76
II. 2006 Trade Issues WTOCattle and Beef in the
Doha Round, cont.
  • 3. Special Rules
  • Congressional Negotiating Objectives
  • Eliminate practices that adversely affect trade
    in perishable and cyclical products
  • Improve import relief mechanisms to recognize
    unique characteristics of P C agriculture
  • Ensure import relief mechanisms for P C are
    accessible and timely
  • Develop a position on the treatment of P C
    products before the negotiations
  • Develop international consensus on treatment of P
    C products in dumping and safeguard
    investigations

77
II. 2006 Trade Issues WTOCattle and Beef in the
Doha Round, cont.
  • 3. Special Rules, cont.
  • Special Agriculture Safeguard
  • Developed Countries Eliminated
  • Developing Countries Maintained but modified
  • Special Rules for perishable and cyclical
    products need to be created elsewhere
  • No U.S. proposal on special rules tabled yet

78
II. 2006 Trade Issues WTOCattle and Beef in the
Doha Round, cont.
  • 4. Rules Negotiations
  • Phase-Out Periods in Free Trade Agreements
  • Australia FTA 18 year phase-out for beef imports
  • New WTO rules may limit phase-outs to 10 years,
    even for sensitive products
  • U.S. needs to make a proposal

79
II. 2006 Trade Issues WTOCattle and Beef in the
Doha Round, cont.
  • 4. Rules Negotiations, cont.
  • Trade Remedy Laws
  • Congressional Negotiating Objective
  • Preserve the ability of the U.S. to enforce
    rigorously its trade laws
  • More than 200 proposals, many that would weaken
    effectiveness of U.S. laws
  • U.S. needs aggressive strategy

80
II. 2006 Trade Issues WTOCattle and Beef in the
Doha Round, cont.
  • Key Issues for Cattle and Beef not Being
    Addressed in the Doha Round
  • Health and Safety Standards
  • Rules of Origin, Marking and Labeling
  • Currency Manipulation
  • Special Rules remains to be seen

81
II. 2006 Trade Issues WTOCattle and Beef in the
Doha Round, cont.
  • Cattle and Beef in the Doha Round Next Steps
    for R-CALF USA
  • 1. Improve Market Access
  • 2. Eliminate Harmful Subsidies
  • 3. Establish Special Rules for Perishable and
    Cyclical Agriculture
  • 4. Preserve Effective Trade Remedy Laws and
    Flexibility of FTA Phase-Outs

82
II. 2006 Trade Issues FTAsFree Trade Agreement
Strategy
  • U.S. Strategy
  • Competitive Liberalization
  • Political Considerations Build alliances, Build
    pressure for Doha Round and FTAA
  • Develop model for future WTO rules, future FTAs
  • R-CALF USA Strategy
  • Prioritize strategic markets
  • Maximize benefits for U.S. producers and
    eliminate worst global distortions
  • Develop model for future WTO rules, future FTAs

83
II. 2006 Trade Issues FTAsStatus of FTAs
84
II. 2006 Trade Issues FTAsStatus of FTAs
  • Countries with U.S. FTAs
  • Countries negotiating or implementing U.S. FTAs
  • Countries discussing possible U.S. FTAs
  • Countries with which FTA negotiations are
    stalled

85
II. 2006 Trade Issues FTAsTrade Impacts of FTAs
Source Dept. of Commerce, Census Bureau, Foreign
Trade Stats 2005 figures annualized from Jan.
Oct. data
86
II. 2006 Trade Issues FTAsTrade Impacts of FTAs
Chile FTA
Source Dept. of Commerce, Census Bureau, Foreign
Trade Stats 2005 figures annualized from Jan.
Oct. data
87
II. 2006 Trade Issues FTAsTrade Impacts of FTAs
Source Dept. of Commerce, Census Bureau, Foreign
Trade Stats 2005 figures annualized from Jan.
Oct. data
88
II. 2006 Trade Issues FTAsTrade Impacts of FTAs
Singapore FTA
Source Dept. of Commerce, Census Bureau, Foreign
Trade Stats 2005 figures annualized from Jan.
Oct. data
89
II. 2006 Trade Issues FTAsTrade Impacts of FTAs
Source Dept. of Commerce, Census Bureau, Foreign
Trade Stats 2005 figures annualized from Jan.
Oct. data
90
II. 2006 Trade Issues FTAsTrade Impacts of FTAs
Jordan FTA
Source Dept. of Commerce, Census Bureau, Foreign
Trade Stats 2005 figures annualized from Jan.
Oct. data
91
II. 2006 Trade Issues FTAsTrade Impacts of FTAs
Source Dept. of Commerce, Census Bureau, Foreign
Trade Stats 2005 figures annualized from Jan.
Oct. data
92
II. 2006 Trade Issues FTAsTrade Impacts of FTAs
Australia FTA
Source Dept. of Commerce, Census Bureau, Foreign
Trade Stats 2005 figures annualized from Jan.
Oct. data
93
II. 2006 Trade Issues FTAsTrade Impacts of NAFTA
Source Dept. of Commerce, Census Bureau, Foreign
Trade Stats 2005 figures annualized from Jan.
Oct. data
94
II. Trade Issues FTAsNAFTA Cattle and Beef
Trade Balance Billion US
Source Dept. of Commerce, Census Bureau, Foreign
Trade Stats
Source Dept. of Commerce, Census Bureau, Foreign
Trade Stats 2005 data annualized from Jan.
Oct. data
95
II. 2006 Trade Issues FTAsFTA Provisions
  • Achievements in FTAs
  • Opening to U.S. cattle and beef
  • BSE bans lifted (all or part) Bahrain, Chile,
    CAFTA, Oman
  • Increased market access for U.S. beef
  • Extended phase-outs on U.S. tariffs and quotas
  • Australia 18 Years
  • CAFTA 15 Years
  • Special Safeguard in Australia FTA
  • Growth of U.S. import quota in Australia FTA
    conditioned on resumption of U.S. exports

96
II. 2006 Trade Issues FTAsFTA Provisions
  • R-CALF USA Goals in Future FTAs
  • Ensure beef excluded or subject to extended
    phase-outs in deals with large cattle and beef
    producers and exporters
  • Address distortions
  • Upward harmonization on health and safety
  • Elimination of harmful subsidies and STEs
  • Address currency manipulation, other distortions
  • Special safeguard for cattle and beef
  • U.S. quota expansion conditioned on resumption of
    U.S. exports
  • Treat cattle and beef as one product
  • Born, raised and slaughtered rule of origin

97
II. 2006 Trade Issues FTAsStatus of Upcoming
FTAs
98
II. 2006 Trade Issues FTAsUpcoming FTAs
  • Andean FTA
  • Timeline
  • Peru complete, likely to come before Congress
    after April signing
  • Colombia and Ecuador still negotiating
  • R-CALF comments to USTR in October 2005

99
II. 2006 Trade Issues FTAsUpcoming FTAs, cont.
  • Middle Eastern FTAs
  • R-CALF supported Bahrain FTA
  • Oman complete and likely sent to Congress this
    year
  • UAE negotiating, Egypt negotiations possible
  • Small domestic production and imports make up
    high portion of consumption, but barriers to U.S.
    access

100
II. Trade Issues FTAsUpcoming FTAs Middle East
Source Dept. of Commerce, Census Bureau, Foreign
Trade Stats FAOSTAT Note Includes variety
meats
101
II. 2006 Trade Issues FTAsUpcoming FTAs, cont.
  • Thailand FTA
  • Was targeted for completion in Spring 2006,
    negotiations being re-evaluated by USTR
  • Not a major market, but growing
  • U.S. had a large share of Thai beef imports
    before BSE

102
II. 2006 Trade Issues FTAsUpcoming FTAs
Thailand
Source Dept. of Commerce, Census Bureau, Foreign
Trade Stats FAOSTAT
103
II. 2006 Trade Issues FTAsUpcoming FTAs, cont.
  • Korea FTA
  • In preliminary stages, formal negotiations have
    not begun
  • Expected to lift ban on U.S. imports by end of
    March
  • Second largest consumer of U.S. beef before BSE
  • Subsidizes domestic cattle production

104
II. 2006 Trade Issues FTAsUpcoming FTAs Korea
Source Dept. of Commerce, Census Bureau, Foreign
Trade Stats FAOSTAT Note Includes variety
meats
105
II. 2006 Trade Issues FTAsPossible New FTAs as
Portion of U.S. Beef Exports
106
II. Trade Issues FTAsPossible New FTAs as
Portion of U.S. Beef Exports
Source Dept. of Commerce, Census Bureau, Foreign
Trade Stats FAOSTAT Note 2003 U.S. imports
less than reported in earlier tables for the
Middle East and Korea because variety meats
excluded for comparison purposes
About PowerShow.com