The Netherlands has become the third member of the EU following Ireland and Lithuania to get US export approval since the lifting of BSE restrictions. Prior to the ban, nearly two decades ago, the Netherlands along with the UK and Ireland accounted for almost 80% of the EU beef trade with the US.

Securing this approval, the Dutch government says the market could be worth up to €80m in the coming year. There should be some caution in these estimates as last year the Irish Government contemplated €100m sales, yet Central Statistics Office values were put at €5.4m. Even though this figure is understated due to a time lag, it is clear that Irish exports in 2015 were a fraction of what was expected at the outset.

A further note of caution is required as more countries secure US export approval. For countries without specific trade agreements, there is a general import quota block of 64,000t. About 80% of this was used in 2015 but, this year, Brazil are expected to start supplying the US again and Ireland is hoping to export high volume manufacturing beef. It is easy to visualise how the quota could get exhausted at which point the approval becomes effectively meaningless due to having to pay tariff.

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There is a positive however in that if the Dutch can successfully develop a market for veal in the US, then a knock-on effect could be a demand for more Irish calves and the subsequent increase of live shipping of calves from Ireland to back fill those that the Dutch will be using to service their US veal business.

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