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Archived - Canada Expands Capacity to Export Beef to China
Ottawa, January 11, 2013 – China has approved four additional Canadian beef facilities that will now be able to export beef to China, Agriculture Minister Gerry Ritz and International Trade Minister Ed Fast announced today. The newly approved establishments will increase the Canadian export capacity for beef in a market estimated by the industry to be worth approximately $20 million annually.
"This important step sets the stage to further trade opportunities in China for our beef producers," said Minister Ritz. "Our government's top priority remains the economy, and by expanding markets in dynamic countries like China, we are helping Canadian producers increase their bottom line, which leads to more jobs, prosperity, and economic growth."
"Today's announcement is another example of how our government's commitment to opening new markets is helping increase Canadian exports and delivering real results," said Minister Fast. "We look forward to continuing to grow our trade relationship with China to ensure it is balanced and produces clear wins for Canadian workers and businesses."
The following establishments can now export to China: Les Viandes Laroche Inc (Asbestos, Quebec), Ryding Regency Meat Packers Ltd. (Toronto, Ontario), St. Helen's Meat Packers Limited (Toronto, Ontario), and Canadian Premium Meats Inc. (Lacombe, Alberta).
In June 2011, agreement was reached with China to allow imports of Canadian deboned beef from animals under 30 months of age (UTM), making Canada the first BSE-affected country to resume trade of beef with China. The staged market access approach for Canadian beef products was confirmed under the Cooperative Arrangement announced by Prime Minister Harper in February 2012 during his mission to China.
According to Canada Beef Inc., the Chinese market for Canadian UTM deboned beef is estimated at about $20 million annually, and once full market access is achieved the Chinese market for Canadian beef and cattle is expected to be worth $110 million. China is Canada's third-largest trading partner, with a two-way trade of over $64.5 billion dollars in 2011, including $3.4 billion in agriculture and agri-food products.
On November 8, 2012, the Government of Canada released the 2011-2012 Agriculture and Agri-Food Market Access Report, which highlights market access accomplishments. These achievements include continued access for Canadian canola to China, a market worth $1.6 billion in 2011.
Today's announcement is another example of what is being accomplished to enhance competitiveness and long-term growth in Canadian agriculture—priorities under the Growing Forward 2 policy framework. In addition to multi-year funding for risk management programs, Growing Forward 2 includes $3 billion in strategic initiatives for innovation, competitiveness, and market development.
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