Speaking at the Gain Feeds and Merial beef finishing event in Kilkenny this morning, Joe Burke, beef and livestock sector manager with Bord Bia, said that although 1,800t of Irish beef was exported to the US by the end of quarter three in 2016, manufacturing or mince meat has yet to enter the country.

Ireland got clearance for manufacturing beef to go to the US in July 2016, but Irish beef processors are facing stringent tests before accessing this market. The US usually requires carcases to be washed with lactic acid, but Ireland has negotiated a system which avoids this practice.

Instead, a raft of new testing is being deployed to determine “baseline levels” for E-coli and SPEC in carcases. Processors will have to carry out these tests over a period of a few weeks at a time.

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Falling cattle prices and certificate of import

Our market specialist Phelim O’Neill says that failure to get manufacturing beef into the US is also related to falling US cattle prices, by over €2/kg equivalent from record highs in May last year, as well as the delay in agreeing a certificate for import of manufacturing beef.

“This is the main import requirement of the US, with Australia and New Zealand being the main suppliers to date, sending almost 600,000t between them in 2015,” he said.

“Brazil had a much publicised return to the US market in recent weeks, but reports from South America this week suggest they cannot afford to do business there – with prices for imported lean manufacturing beef being worth $3.80/kg (€3.45/kg), while they need ¢4.20/kg (€3.80/kg). Ireland won’t do business in this weak market, especially as other manufacturing beef markets are strong at present, particularly for the lean product.”

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USA not critical at present for Irish beef and lamb