Analysis of US poultry meat trade with the EU: Past, present, future - By the USDA, Foreign Agricultural Service - The US exports $2.2 billion of poultry meat per year, however none of those exports enter the EU-25. This report outlines some of the current and historical reasons for this. Web links and other sourc es are cited as appropriate.

Summary

The EU imports an average of $1.2 billion of poultry per year. However, none of that poultry is currently coming from the US, although annual US exports of poultry average $2.2 billion per year. With a market of 25 member states and 455 million consumers, imports of US poultry should be greater than they are.

The EU’s 1997 ban on the use of anti-microbial treatments for sanitizing poultry carcasses effectively halted US poultry exports to the EU, even though the use of anti-microbial treatments is approved by FDA. What is less commonly known is that on and off since the 1960s, US poultry exports have faced hurdles in reaching the European market. This report provides a historical perspective of some of the reasons US poultry exports to the EU have not maintained a significant market share in the EU market. Additionally, this report highlights the leadership role US poultry exports have in the world market.

Conclusion

US poultry exports to the EU have faced impediments for decades. The aggregate for US-EU agricultural trade makes the EU the fourth largest market for US exports despite the fact that the EU has 455 million consumers. Canada, Japan, and Mexico each import more agricultural products from the US than the EU, even though, Canada, Japan, and Mexico have smaller populations and lower GDPs.

The EU’s promotion of increased animal welfare standards could be the next obstacle US and other exporters will have to confront. Also on the horizon is continued EU enlargement, which would spread the ban on anti-microbial treatments unless the US and the EU resolve the issue over the ban.

Contents

Summary
1960s: EEC regulations and tariffs hinder US access to EEC poultry markets

• French ban on certain compounds in poultry feed
  The Chicken Wars: Increased tariffs on poultry
  EEC introduces export subsidies
  

1970s growth of US poultry exports to EEC short-lived: 1980s bring new EEC regulations

• Chilling poultry
  

1997 to present: Impediments persist

• Ban on anti-microbial treatments
  EU Food Hygiene Regulations
  EU Enlargement, 2004
  

Current US-EU trade: US poultry exports to EU blocked

• Changes in sources of EU poultry imports
  US poultry shut out of EU markets
  

New EU legislation could inhibit US poultry exports to the EU in the future

• Animal welfare for farmed animals
  Future EU enlargements
  

Conclusion
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Further Information

To read the full report please click here (20 page PDF Doc)

Source: USDA Foreign Agricultural Service - August 2005