SAN ANGELO, Texas – The United States and European Union have announced a new agreement on U-S beef exports.
That’s according to Trump Administration officials who signed the agreement this month.
The United States will be able to increase annual duty-free exports of beef to the European Union (EU) over the next seven years.
The annual duty-free exports for American ranchers are expected to grow from $150 million to $420 million when the agreement is fully implemented.
It establishes a duty-free tariff rate quota (TRQ) exclusively for the United States. Under the agreement, producers will have an initial TRQ of 18,500 metric tons annually, valued at approximately $220 million. Over seven years, the TRQ will grow to 35,000 metric tons annually, valued at approximately $420 million.
Under the current agreement, U.S. duty-free beef exports to the EU are only approximately 13,000 metric tons annually, valued at approximately $150 million.
In 2016, the National Cattlemen’s Beef Association, U.S. Meat Export Federation, and the North American Meat Institute requested the U.S. Trade Representative to take tariffaction under Section 301 of the Trade Act of 1974 to enforce the World Trade Organization dispute finding in favor of the United States against the EU’s ban on the use of hormones in cattle production. USTR held a public hearing on February 15, 2017.
The new agreement is expected to take effect following the European Parliament’s approval — expected this fall.