UK's new BSE rules opens door to more beef supplies

Anglo-Beef Products (ABP) Shrewsbury became one of the first abattoirs in the UK this week to open its doors to cattle over the age of thirty months, under new bovine spongiform encephalopathy (BSE)control rules.

The move marks the general relaxation of tough controls and restrictions on what animals can be used for food in the UK. Allowing older cattle into the food system would increase the supply ofcattle and potentially lower prices for food processors, both in the UK, and eventually the wider EU markets.

The release of more cattle for food consumption would be important for the EU market. For the first time in 20 years consumption of beef and veal surpassed EU production in 2003 and is expected togrow further by 2012, according to a forecast report by the European Commission.

EU food processors margins are balso eing substantially hurt by the rising cost of meat supplies and other inputs this year.

As of 7 November 2005, UK replaced a rule excluding animals over the age of thirty months with a the testing system used in the other EU countries. This means older animals can enter the foodchain, subject to a rigorous BSE testing scheme. Unlike other member states, the UK will continue to permanently ban all animals born before 1 August 1996 from the food and feed chain.

According to Farmers Weekly magazine the Shrewsbury abattoir expects to take in 100 cattle over thirty months per day in the first week, and build to 250 over time.

The journal quoted a company spokesperson as stating: "But it's too early to talk about price. We're all on a learning curve."

Auctioneers are also gearing up to hold special sales of cattle over thirty months to supply abattoirs, the journal reported. The UK's department responsible for the food industry (Defra) haspublished a list of abattoirs licensed to kill and process cattle aged over thirty months.

Abattoirs must ensure that all cattle aged over thirty months entering the food chain receive a negative BSE test result. The ban on cattle over thirty months old was imposed nine years ago afterthe outbreak of BSE or "mad cow disease" in the UK.

The changes could eventually lead to the European Commission relaxing restrictions on exports of UK beef to the rest of the bloc's market. Earlier this year the European Commission proposed liftingthe additional restrictions the bloc put on imports of most live cattle and beef products from the UK.

The Commission cited the steep decrease in the incidence of BSE within the UK and throughout the rest of the EU, as reasons why the ban might be lifted. It has also endorsed the UK's testing system.

The report forecasts beef and veal production will decrease to around 7.6m tonnes by 2012, in line with the structural reduction of the bloc's dairy herd and the impact of the introduction of thesingle farm payment. A tight domestic supply and a steady demand means food processors will have to rely on more imports entering at full duty, notably from South America.

Under the new regime carcasses will not be allowed to leave abattoirs until they have tested negative for BSE. The main BSE control, the removal of specified parts, including spinal cords, willremain in place. This removes over 99 per cent of any possible infectivity in cattle according to the scientific evidence.

Farmers will continue to be banned from using feed containing mammalian meat-and-bone.

Before the BSE crisis in 1986, the UK's beef exports were worth about £1bn (€1.5bn) compared to £20m (€29m) last year, according to Food from Britain, a consultancy.

The BSE epidemic was first recognised in the UK in 1986. At its peak in 1992, a total of 37,280 cases were discovered in UK cattle. So far this year the UK remains at the top of the BSE list, with66 cases confirmed, indicating that the total for the year could fall by about 60 per cent. Spain has reported 52 cases so far this year, Ireland 37 cases and Portugal 13 cases. Germany and Francehave so far not reported any incidents of BSE.

Poland reported 11 cases of BSE last year and has so far discovered another 11 cases this year.

According to the World Organisation for Animal Health, Ireland found 126 cases of BSE in its cattle last year, compared with 137 found in Spain. The UK had the highest incidence of BSE cases in theworld last year with 343 cases confirmed, followed by Spain, Ireland. Portugal is fourth in the BSE league, reporting 92 cases in 2004, followed by Germany with 65 cases. France reported 54 cases ofBSE last year.

The Food and Drink Federation has said previously that the relaxation of the UK's BSE rules would provide relief for the processors who depend on a ready supply of beef.

"This regime will bring the UK back into line with fellow member states by enabling the industry once again to use meat from cattle over thirty months old," the association stated ina press release. "We also welcome the government's assurances that it will work in Brussels to ensure that beef from UK cattle born on or after 1 August 1996 can be exported again as soon aspossible."