Canada increased its beef exports to the EU by 113%
The beef industry in Canada is showing strong growth in the EU market thanks to the CETA trade deal. Last year, beef exports to the EU market increased by 113% in terms of volume, reaching 1,059 tonnes, and by 98% in value ($15.5 million), according to Canada Cattlemen's Association (CCA).
At the same time, European beef exports to Canada in 2018 grew to 3,236 tonnes, up 12% in volume and 22% in value ($18.9 million) from 2017. The CCA attributes this growth to a combination of factors, but primarily to the increasing number of producers supplying more EU eligible cattle and a major packer developing the EU market. The association is expecting a steady growth of beef exports for this year and is currently looking to increase the number of auditors that can undertake the hormone free audits that are required for EU shipment.
Nevertheless, there is one disruptive factor that can impede the beef trade in the near future. "As nearly two-thirds of the 2018 volume and half the value has gone to the UK, much is riding on the access Canadian beef will have to an independent UK following Brexit. Unfortunately, uncertainty over Brexit is causing a delay in bringing future Canada-UK trade parameters into focus", claim CCA leaders. The UK is a net importer of beef and 6% of its beef imports are sourced in non-EU countries. The British government has announced a 7% tariff on beef imports from the EU in case of a no-deal Brexit but, for other suppliers, the duty can be set higher.
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