Daily News Update, Jan. 18, 2008

Cattlemen's Capitol Concerns: Russian trade update

USDA approved three more beef plants for export to Russia this week as word comes that the first U.S. beef shipment to Russia since December 2003 has cleared Russian customs and has entered the marketplace.

Although negotiations on a new export protocol have been delayed due to the holidays, and are not yet completed, industry sources indicate that additional sales have been made and the prospect for future sales looks promising.

A bilateral trade agreement signed in November 2006 provides access for U.S. boneless and bone-in beef, and variety meats into Russia. NCBA continues to monitor this situation carefully as Russia will likely remain the second largest beef importing nation in the world in 2008 at 1.1 million metric tons (mt) versus 725,000 mt for Japan, according to USDA's latest estimates.