Mad Cow to Cash Cow? Ireland first EU state to re-enter Chinese beef market
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After a ban on European Union beef lasting nearly two decades, Ireland has won the race to be the first EU state to return to the Chinese market. Both China and the US banned imports of beef from the EU in 2000 due to fears over BSE – so-called mad cow disease. But will winning the hearts of China's 1.4 billion consumers turn mad cow into a cash cow for Ireland? Richard Bestic reports.
Irish beef farmers believe being the first Europeans back into the Chinese market could be worth a hundred million Euros a year.
But it's the growth potential of China, which intrigues them mostly.
Angus Wood Irish Farmers Livestock Chairman
"China possesses great potential for a beef market. All the signals are positive out there in terms of increasing consumption of beef. There's a real desire for trying new menus and news tastes and experimenting with new products in China. So, we would believe that China would be an excellent market for Irish beef."
Ireland's agricultural exports to China have increased roughly fivefold since 2010, according to Irish government figures, to nearly a billion Euros last year.
Now six Irish beef-processing plants have been cleared for exports, including a $50 million Euro contract for processors ABP here and a 35 million Euro deal signed by processors Kepak.
Ireland's case for breaking back into the Chinese market was boosted by high profile diplomacy - visits to the Republic by Chinese President Xi Jinping and Premier Li Keqiang – visits that ran alongside 18 years of inspections by Chinese health officials.
Ireland's livestock producers claim the profiling of the country's stock is unrivaled, with a national online tagging system that traces cattle back to within two weeks of their birth.
RICHARD BESTIC WICKLOW, IRELAND "For Ireland's farmers getting their beef back into the Chinese market after nearly two decades is a moment of significance. However, it's a significance dependent on the potential of the Chinese marketplace and it's got to be remembered that market is five thousand miles from green hills of Wicklow here."
Building brand Ireland inside China a big part of that and at the recent Shanghai food fair a total of nine Irish beef and pork processors were on show.
The head of Bord Bia, the Irish food board, says its now essential to convert access into market opportunity.
Tara McCarthy Irish Food Board CEO "The first part of all the work we'll be doing is putting some context around Ireland and we'll be using Europe as the backdrop to that. But also our research is telling us that Chinese consumers are also putting a premium on how the food is produced and that's about sustainability, it's about the mix of nature with security behind it."
Irish beef should be on the market in China by mid-summer. The challenge ahead say ministers, to maximize that potential. Richard Bestic, CGTN, Dublin.