New UK beef deal struck with the Philippines

Beef reared in the UK, already worth more than £350m in global exports each year, will now join pork, poultry, lamb and dairy on the list of UK food and drink shipped to the Philippines.

Market access for beef was withdrawn in 1996 due to BSE concerns and the ban was lifted in 2001. This latest deal, estimated to be worth £34m over the next five years, follows a visit to the UK by a delegation of inspectors from the Philippines last year.

Hosted by the Department for the Environment, Food and Rural Affairs (Defra) and the Agricultural and Horticultural Development Board (AHDB), the deal was awarded when inspectors saw first-hand the UK’s high animal welfare and food safety standards, the government said.

Food Minister George Eustice hailed the deal, saying: “Securing market access for our world-class beef to the Philippines is a huge vote of confidence for a sector that already exports more than £350m around the world, including Hong Kong and Canada.

“The UK beef industry is the envy of the world and this strong demand globally for our traditional breeds reared to the highest welfare standards is what drives our exports and creates opportunities for our farmers.”

He added that the Government is committed to driving exports for UK produce and that Defra’s Food is Great campaign was playing a key role in this, driving the demand for UK produce around the world and increasing positive public perception of UK food and drink.

Defra and AHDB worked with UKECP, the Animal and Plant Health Agency (APHA), DAERA in Northern Ireland, the Food Standards Agency, the Scottish and Welsh Governments and the other UK levy boards to secure the Philippines deal.

Dr Phil Hadley, AHDB’s international market development director, said: “We are delighted the Philippines has approved UK beef exports, a market we already export pork to. The decision indicates future expansion for UK agriculture and our growing export markets globally.”

The Philippines is the largest food and drink market in south east Asia with meat consumption expected to grow by ten per cent over the next five years.

The country first opened its doors to UK pork more than a decade ago, with the UK’s market share increasing substantially over that period. UK pork shipments grew four times between 2015 and 2016, with pork offal shipments rising by 40 per cent in the same period.

The taste for UK dairy has also increased, with UK cheese sales more than tripling between 2015 and 2016 with a 37 per cent expected growth by 2025, likely due to low import tariffs.

Dr Hadley added: “This decision enhances an exciting 12 months for UK red meat exports, with wider markets opening in Hong Kong last July and a Japanese government delegation investigating beef production controls just last month. All-in-all it paints a very positive picture for UK exports for the future.”

In June, the AHDB’s head of livestock export trade development, Jean-Pierre Garnier, said the UK’s livestock product exports are worth £2.4bn a year - making them the nation’s second largest food and drink export after spirits.

By 2021, he forecast that there would be a 20 per cent increase in volume on all meats exported, leading to 73,000 more tonnes of pork, lamb and beef leave UK shores at an additional value of £178m in carcase meat alone.

Speaking to industry delegates at the annual AHDB Meat Export Conference, Mr Garnier said: “We need to market the experience of eating British beef, lamb and pork because we have an excellent product with a great story to tell. Our high welfare, sustainable production systems mean we have a premium product for our global customers.

“Overall, meat exports are doing very well but we are constrained by a limited and variable supply of pork, lamb and beef.

“Brexit offers a number of challenges and opportunities and the overriding message... is that everyone needs to prepare and improve in readiness for new trade conditions.”

In a boost for UK beef breeders of Stabiliser cattle, the Stabiliser Cattle Company has struck an initial five-year deal with French beef genetic co-operative Bovinext to be the exclusive provider of Stabiliser genetics to French breeders.

Genetics will be delivered through semen sales and embryo transfers, with an initial target of 1,000 Stabiliser breeding females in France. Live cattle exports will also play a part in meeting the target.