Oldtimer
Well-known member
Canada's mad cow may slow US beef trade with Asia
KTIC 840 Rural Radio
CHICAGO, July 13 (Reuters) - Confirmation on Thursday that Canada has another mad cow case, its seventh since 2003, could hurt efforts by the United States to restart beef shipments to Japan and South Korea, livestock analysts said.
Since Canada and the United States are generally seen as one market, they said, Asian buyers may use the case to slow a resumption of beef shipments from the United States.
"Under that assumption I think we would have a negative reaction. It would be a slow going in opening up the Asian markets," said Don Roose, analyst with U.S. Commodities Inc.
Canada currently ships to the United States cattle and beef under 30 months of age. That trade will likely continue in the wake of Thursday's announcement, analysts said.
The latest Canadian case was a 50-month-old Alberta dairy cow and none of the meat entered the human or animal food supply.
Japan, South Korea, and many other nations banned U.S. beef in December 2003 when the United States reported its first mad cow case. There have been two other U.S. cases since then.
While some foreign markets have reopened to U.S. beef, Japan and South Korea remain closed, although recent agreements have raised hopes that beef shipments to those two countries could start later this year.
"I believe it will delay South Korea, it is possible it could delay Japan," Jim Clarkson, analyst with Chicago-based A.& A. Trading, said of the latest Canada case.
Mad cow disease, formally known as bovine spongiform encephalopathy (BSE), is a fatal brain disease in cattle. Scientists believe humans can contract a similar fatal brain disease by eating infected beef from diseased animals.
Washington sources have said that South Korea, once a major importer of U.S. beef, has been insisting that American beef plants must segregate Canadian beef.
The latest case also will likely delay attempts by the U.S. Agriculture Department to expand imports of Canadian beef from older cattle, analysts said. Those attempts have recently been slowed by court challenges and a third mad cow case here.
"It will also certainly delay cattle over 30 months of age from coming into this country," said Clarkson.
News of Canada's latest mad cow was released after the Chicago Mercantile Exchange cattle markets closed.
"I would probably look for no market reaction tomorrow," said Rich Nelson, analyst with Allendale Inc.
Canada announced early this week that it might have another case and as a result Chicago traders and livestock industry officials have had time to digest the news, said Nelson.
kticam.com
KTIC 840 Rural Radio
CHICAGO, July 13 (Reuters) - Confirmation on Thursday that Canada has another mad cow case, its seventh since 2003, could hurt efforts by the United States to restart beef shipments to Japan and South Korea, livestock analysts said.
Since Canada and the United States are generally seen as one market, they said, Asian buyers may use the case to slow a resumption of beef shipments from the United States.
"Under that assumption I think we would have a negative reaction. It would be a slow going in opening up the Asian markets," said Don Roose, analyst with U.S. Commodities Inc.
Canada currently ships to the United States cattle and beef under 30 months of age. That trade will likely continue in the wake of Thursday's announcement, analysts said.
The latest Canadian case was a 50-month-old Alberta dairy cow and none of the meat entered the human or animal food supply.
Japan, South Korea, and many other nations banned U.S. beef in December 2003 when the United States reported its first mad cow case. There have been two other U.S. cases since then.
While some foreign markets have reopened to U.S. beef, Japan and South Korea remain closed, although recent agreements have raised hopes that beef shipments to those two countries could start later this year.
"I believe it will delay South Korea, it is possible it could delay Japan," Jim Clarkson, analyst with Chicago-based A.& A. Trading, said of the latest Canada case.
Mad cow disease, formally known as bovine spongiform encephalopathy (BSE), is a fatal brain disease in cattle. Scientists believe humans can contract a similar fatal brain disease by eating infected beef from diseased animals.
Washington sources have said that South Korea, once a major importer of U.S. beef, has been insisting that American beef plants must segregate Canadian beef.
The latest case also will likely delay attempts by the U.S. Agriculture Department to expand imports of Canadian beef from older cattle, analysts said. Those attempts have recently been slowed by court challenges and a third mad cow case here.
"It will also certainly delay cattle over 30 months of age from coming into this country," said Clarkson.
News of Canada's latest mad cow was released after the Chicago Mercantile Exchange cattle markets closed.
"I would probably look for no market reaction tomorrow," said Rich Nelson, analyst with Allendale Inc.
Canada announced early this week that it might have another case and as a result Chicago traders and livestock industry officials have had time to digest the news, said Nelson.
kticam.com
