Commission moves on US beef imports deal

Brussels willing to set quota for high quality cuts

THE EU is hoping to end a decades-long beef dispute with the US.

If EU governments agree, the European Commission could shortly begin talks with the US on a specific import quota for hormone-free American beef imports.

Hormone-treated beef has been banned in the EU since 1981. The US tried to overturn the ban in the 1990s, via the World Trade Organization (WTO), on the grounds that it discriminated against American producers.

The case failed, but in 2009 the EU agreed to a 45,000-tonne quota for “high quality” beef that is certified as hormone-free.

The bloc insists on special production units on US farms for any beef intended for the EU market.

However, the US has complained that the quota is being used up by other WTO members such as Australia, and back in 2016, the Obama administration threatened to slap tariffs on European products in retaliation.

The US wants its own import quota, which the EU has said it is prepared to discuss — but only as a carve-out from the existing one.

Momentum

Agriculture commissioner Phil Hogan said last week that the 45,000 tonne quota would remain in place and that it would “cover only products complying with Europe’s high food safety and health standards”.

Hormones such as progesterone and testosterone have been used as growth boosters in US cattle and sheep since the 1950s. Hormones are also legal in Canada, Mexico and Australia.

In Brussels, there is added momentum to do a deal on beef, following Commission president Jean-Claude Juncker’s meeting with US president Donald Trump this summer.

Since then officials have met several times to discuss a limited trade deal covering industrial goods but excluding agri-food (except soybeans).

US trade representative Robert Lighthizer was in Brussels on Monday to meet EU trade chief Cecilia Malmström, who is desperately trying to shield EU carmakers from potential tariffs.

While the beef dispute is legally separate, EU officials hope the thaw in trade relations will unlock a deal.