Beef to the EU

U.S. President Donald Trump will formally announce a deal to open up the European Union to more beef exports after the bloc carved out quotas from other nations earlier this year, people familiar with the plans said.

U.S. Trade Representative Robert Lighthizer and the European ambassador to the United States on Friday will sign an agreement to increase the amount of American beef that can be sold in the EU market, the people said, speaking on condition of anonymity ahead of the announcement Friday.

Trump ’s daily itinerary for Friday includes "an announcement on EU Trade," though the White House did not specify what the event was about. A White House spokesman and the USTR did not immediately respond to requests for comment late Thursday.

The deal, which has been in the works for months, follows the EU's success in persuading Australia, Argentina and Uruguay to give up some of the market (with Trump's tariff threats hanging over their heads, handing Trump a victory on trade was probably in Europe's best interest).

Lighthizer called for a formal deal-signing ceremony to show that the administration is making progress on its trade agenda.

American farmers will be entitled to almost 80% - or 35,000 metric tons - of the annual EU quota on hormone-free beef over seven years, with an initial allocation of around 40%, European officials told reporters in June. The Trump administration in June secured more access to the European Union’s beef market after the bloc persuaded Australia, Argentina and Uruguay to cede chunks of the import quota.

According to people familiar with the announcement, Lighthizer called for the formal signing ceremony in an attempt to show progress on the bilateral trade agenda.

www.zerohedge.com/news/2019-08-02/here-what-trumps-mysterious-european-trade-announcement-will-be-about

All natural market should get a good bump out of this deal. Which should raise the price across the board some.

Boris Johnson's government is working on a £500 million plan to support farmers by purchasing slaughtered lambs and other livestock in the event of a no-deal Brexit, according to reports.

It comes after a farmers' union in Wales warned the prime minister that leaving the European Union without a deal would cause "civil unrest" in rural areas. Many British farmers are heavily reliant on trade with the EU and would face very expensive tariffs in a no-deal scenario, meaning many could go out of business.

For example, farmers would face a 40% tariff on lamb exports to the EU in a no-deal scenario.

Johnson said in Wales that British farmers would be better off if the UK left the EU in October, which he has called a "do or die" policy. He said the government was working on "interventions" that are aimed to support farmers' incomes and added: "We'll make sure they have the support they need."

Michael Gove, who is in charge of the civil service's no-deal planning, is understood to be finalizing the plan, which would cost an estimated £500 million a year. It would see the government buy any lamb and beef, and some crops, at a set price. The payments would go some way to replacing the EU's Common Agricultural Policy, which subsidizes farmers.

Winning . . . . . . . Again.

My understanding of beef in large portions of the EU is that most of it is from beef breeds over dairy. There's nothing wrong with that cross and our current beef over dairy crosses were built on that system, but it's inconsistent. You don't really get a product that performs the same with every carcass. If we could send them a consistent product, which our current grading system is geared towards, it could be a huge market in time.

You're most likely correct but that opens up other avenues for niche producers here. If we have sudden demand for boxed beef and the price on it bumps then the gap between it and gourmet is that much smaller and thus more of an option to people that wouldn't normally purchase it.

 

In the mean time....