Hearing of Committee on Agriculture, Nutrition and Forestry on Examining the Effects of BSE on U. S. Imports and Exports of Cattle and Beef
Hearing of Committee on Agriculture, Nutrition and Forestry on Examining the Effects of BSE on U. S. Imports and Exports of Cattle and Beef
STATEMENT OF HON. MIKE CRAPO, A U.S. SENATOR FROM IDAHO
Senator Crapo. Thank you, Mr. Chairman, Senator Harkin, and thank you, Secretary Johanns, as well as Dr. Collins and Dr.
DeHaven, for being here with us today.
With the final rule to reopen the U.S. border to live cattle trade in Canada due to go into effect March 7th, this is
an opportune time for us to discuss the effects of the BSE issue on cattle and beef trade. Secretary Johanns, I know you
understand the importance of this issue to the cattle producers, processors, and the communities that we represent,
and I look forward to the discussion today.
There have been many challenges in dealing with the unfortunate discoveries of BSE, and one very critical challenge
has been with regaining our foreign markets. I commend you for the efforts that you have already put forward during your short
time as Secretary of Agriculture to regain our export markets, and I was pleased to see that you asked the Japanese Government to set a date for the resumption of U.S. beef trade. Frankly, the Japanese trade issue is directly related to the Canadian trade issue that we are dealing with here, and I would appreciate all of the strong effort and aggressive push you can make to make sure that we resume Japanese trade. We all hope that date comes swiftly, and ideally before March 7th.
Due to Idaho's geographic location, Idahoans have benefited greatly from trade with the Pacific Rim countries, and
prolonged closure of the Asian market hurts the Idaho producers and our economy. Many are looking to you to continue to push to get our markets open, and I look forward to the day when the U.S. can once again ship our beef products to these markets.
Additionally, the continued absence of our key export markets has contributed to the suspension of domestic beef
processing operations in the United States, including processing here in Idaho. I understand the chairman mentioned
that. I am holding a press release right now from Tyson indicating that they are continuing the closure of their
operations in our area.
This is very concerning because it not only results in a loss of jobs and revenue for our economy, but it also decreases
the processing options for cattle producers. This results in cattle producers being forced to ship greater distances,
driving up production costs. Far too many American companies and cattle producers are suffering similar problems, and I have
concerns and questions about an aspect of the rule that I feel could make this problem worse. Senator Thomas has just referred to it. Specifically, I am concerned with the portion of the rule that provides for the import of beef over 30 months of
age, even though cattle over 30 months of age will not be allowed to be imported.
It is inconsistent to ban cattle over 30 months of age while allowing in boxed beef over 30 months of age. When the
U.S. border was open for the importation of beef products under 30 months of age but not cattle to be processed at U.S. plants, a vast opportunity was created for Canada to increase their beef processing capacity for export of beef products to the
United States. Canada seized this opportunity and reportedly increased their processing capacity by 20 to 30 percent. U.S.
cattle producers and our economy are impacted as domestic processing capabilities are squeezed and shifted above the
border. This problem is poised to be expanded upon through broadening the scope of products to be imported from cows that
are banned from importation. I would note--I doubt that you have seen it yet, but the entire Idaho delegation has sent you
a letter today expressing these concerns and expressing our hope to work with you on correcting this and some other aspects
of this rule.
I have further questions regarding this matter that I will raise during the questioning portion of the hearing. Again, I
welcome you here today and look forward to the discussion.
Thank you, Mr. Chairman.
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