Meat + Poultry - December 2006 - 18

International News & Trends
Chilean poultry exports increase 21 percent
The value of Chile's poultry exports increased 21 percent in the first nine months
of this year to $113.3 million compared with $93.4 million in the previous year,
according to a report from the Chilean National Office for Agricultural Policy Studies. The volume of Chile's poultry exports increased 15 percent to 56,723 tonnes. In 2005, Chile
exported $133 million in poultry, which was a 42 percent
increase from 2004.
Mexico was by far the largest destination for Chilean
poultry exports, accounting for 58 percent of the total.
The United Kingdom represented 18 percent of total poultry exports and China had
9 percent of the total. Canada, Japan and Germany accounted for 3 percent each.
In other news, the Ministry of Agriculture of South Korea has finally authorized
imports of Chilean poultry meat. South Korea initially expressed interest in importing poultry meat from Chile in March 2004, and the authorization was finally given last month. South Korea is expected to begin importing Chilean poultry
meat before the end of 2006.

Danish meat processor to close plant
Tulip Food Co., part of the Danish Crown Group, has reportedly decided to
close down its meat processing plant in Braband, Denmark. The Braband plant,
which employs 186, expects to close its doors in September 2007. Tulip Food
Co. has eight facilities in Denmark and two in Germany.
Tulip officials plan to relocate the production of pork products to the companies other facilities in Denmark or abroad as part of a new strategy to reduce
costs, according to a Danish business news site.

Japanese importers arrested for dodging pork tariffs
The former president of a major meat wholesaler in Japan and four others were
recently arrested after they allegedly evaded $112 million in customs duties on
imported pork.
The Tokyo District Public Prosecutors Office allege that Noboru Sogabe, the
former president of Kyochiku, based in Shikokuchuo, violated customs law. He
was arrested along with four others in November.
Two import fi rms were allegedly involved in the illegal
trading of pork - Sansui Bussan, based in Shimonoseki, and Global Foods Trading in Chuo Ward, Tokyo.
Kyochiku and the import fi rms reportedly began illegally importing frozen pork from Denmark around
the summer of 2002.
According to prosecutors, the fi rms reported false prices for the pork, pretending to have paid more than they actually did, thereby evading a tariff imposed
when the import price is less than the standard price. Japan's special tariff system
was established to protect domestically produced pork. The illegal importation
took place 1,400 times until the fall of 2004.
Sansui Bussan delivered the imported Danish pork to Kyochiku. The pork was
sold to meatpacking firms.
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MEAT&POULTRY

December 2006

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Argentine beef exports
up in September,
down for 2006
Beef exports in Argentina increased
by 12.5 percent based on volume in
September compared to the previous
year. The country exported 83,622
tonnes in September, which represented $168.5 million, compared to
$123.2 million in
September 2005.
However, for
the f irst nine
months of 2006,
total beef exports
form Argentina
were down to $890.6 million compared to $997 million in the same
period of 2005, according to data
from the country's agriculture and
cattle breeding secretariat. In volume terms, Argentina has exported 455,493 tonnes of beef this year,
down 28.8 percent compared to the
same period of 2005. The average
price per tonne of beef in 2006 has
increased to $2,963 from $2,287 per
tonne last year.

Russia processor
increases turkey
production
Eurodon, a vertically integrated turkey meat processor based in Russia, has invested $50 million in a
turkey meat production facility in
the Rostov Region of Russia. Eurodon plans to produce 63,000 tonnes
of turkey meat in 2007 and up to
212,000 tonnes in subsequent years.
The company expects to break even
within seven years.
In 2004, Russian state-owned
bank Vneshtorgbank (currently
VTB) took out a $31-million, sevenyear loan from France's BNP Paribas
to finance the project.

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Meat + Poultry - December 2006

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