This is the latest problem for the troubled exporter following on from Operation Weak Flesh in March and subsequent issues for the biggest meat processor in the world, which has just announced a fire sale of assets. These include Northern Ireland poultry processor Moy Park.

Trade mission

Brazil secured approval late last year to supply beef to the US and according to United States Department of Agriculture (USDA) import data, had supplied 6,380 tonnes of beef to the US this year so far. In the same period, Ireland supplied just 800 tonnes, though with the Trade Mission led by Minister for Agriculture Michael Creed taking place to the USA at present, there will be hopes that this increases. On the mission, Slaney has announced the start of business with Lidl in the US for Hereford beef, while Bord Bia has secured recognition of the Irish beef production system by USDA and has been accredited accordingly to use its logo.

Brazilian growth

Despite this setback for Brazil, it is expected to grow its business substantially in the US this year and there is every possibility that Brazil will use the entire 64,000-tonne import quota set aside by the US for countries with which it does not have specific trade arrangements. If that happens, it will make what is already difficult business for Ireland impossible, as Irish beef couldn’t afford to pay the 25% tariff that applies for beef imports outside the quota.

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USA de-lists a number of Brazilian meat factories

Five of JBS’s Brazilian meat plants have been de-listed as suppliers to the USA, according to South American trade press reports.