International Egg and Poultry Review
By the USDA's Agricultural Marketing Service - This is a weekly report looking at international developments concerning the poultry industry, this week looking at the latest bird flu news in the Netherlands.
Costa Rica
The United States and Costa Rica concluded negotiations under the
U.S.-CAFTA agreement in January, 2004. The agreement is pending
approval by the Congress of each country. Costa Rica’s WTO tariff
binding is 45% for most countries. However, there are sensitive
products, like poultry, that can have tariff rates ranging from 34%-
150%. Once the agreement is implemented , it is anticipated that
U.S. agricultural products will become more competitive as duties
decline and remaining non-tariff barriers are expected to be eliminated
or phased out.
The most significant trade barrier for U.S. exports to Costa Rica is the
plant inspection requirement for export plants. A 1993 regulation
requires all meat export plants to be inspected and approved by the
Ministry of Agriculture (MAG) before they can export to Costa Rica. The
Government of Costa Rica had approved a new regulation in 2003
that allowed the approval of equivalent inspection systems, however,
they still have not approved the U.S. inspection system. The system
approval process has been put on the agenda as part of CAFTA..

Sources: Department of Commerce, U.S. Census Bureau, Foreign
Trade Statistics; Foreign Agricultural Service, USDA
Canada
Test results confirmed on March 12, 2004 the presence of highly
pathogenic H7N3 Avian Influenza (AI) on a chicken farm in southern
British Columbia. This is the second outbreak in British Columbia.
Approximately 16,000 birds were killed on the first farm and 32,000
on the second farm. The Government of Canada (GOC) established
a control area to prevent further disease spread. The area is the
Fraser Valley and includes the Greater Vancouver Area, but not
Vancouver Island or the Okanagan Valley. The GOC has also
temporarily banned poultry products being exported from the Lower
Mainland region.
What is unusual about the last out break is the second farm had both
low and high path strains. The GOC, in an effort to reduce such an
occurrence from happening again, is seeking to create a program
that routinely tests flocks across the country.
Source: Multiple News Sources
European Union
Health officials in the Netherlands have confirmed that 2 poultry farms,
a free range chicken farm and a free range duck farm, had been
infected with low-pathogenic Avian Influenza (AI). The 22,000 chickens
were destroyed on March 13, 2004 and 800 ducks on March 15, 2004.
In response to last year’s AI out break in which the more than 30
million birds were forced to slaughter, or approximately one-third of
the commercial stock, and after consultation with poultry industry, a
monitoring system and early warning system was set up so that any
harmless strain of AI can be eliminated before it develops into an
aggressive form. Under the monitoring system, blood samples are
taken once a year on all poultry farms. On free range farms blood
samples are taken once every quarter because of their ability to come
in contact with wild birds that can carry low pathogenic AI. The
Netherlands have tested approximately 1,000 farms so far.
Meanwhile, the European Commission for Health and Consumer
Protection is preparing a Contingency Plan. The Contingency Plan
would set a series of steps to be taken by member states and the
European Community to address the threat of an influenza pandemic.
The Commission views an influenza pandemic not a matter of if, but
when. Currently, they perform surveillance for AI strains that might
mutate into highly pathogenic strains, have a communicable disease
network for flow of information and consultation between experts, a
contingency plan in case an out break occurs, are establishing an
European Center for Disease Prevention to be operational by early
2005 and analyzing plans by acceding states.
Source: Various Sources
India
India’s domestic consumption, however, suffered a blow during the
first quarter of 2004 with the occurrence of Avian Influenza (AI) in the
surrounding countries. Even though no AI was reported India, egg
and poultry consumption dropped by 40 percent in some parts of the
country due to consumer concerns. The farm gate broiler price went
as low as Rs 10-20 compared to a cost of production of Rs 30-32.
Some say the industry has already lost Rs 500-800 crore and counting
since the beginning In January and was losing in a range of Rs 15-20
crore per day. India, in an effort to prevent high path AI from getting into
the country, has banned imports of grand parent stock and vaccines
of avian origin. About one third of broiler chick supplies and one fifth
of layer chick supplies depend on foreign breeding stock imports.
Retail prices for frozen chicken dropped from Rs 60 per kg before AI to
Rs 30 per kg with branded products still selling at the same rate after
AI. Other parts of the country noted ‘dressed’ chicken meat selling
upwards of Rs 60 kg at retail. Reports have been noted that chicken
demand has started to return to normal, however, eggs ere lagging.
Egg sales in some parts of the country were 100 eggs per day and
had dropped to 100 eggs every 4-5 days after AI.
Source: Various News Sources
To view the full report, including tables please click here
Source: USDA's Agricultural Marketing Service - 23rd March 2004