12/06/05 World trade talks and beef

American Rancher December 6, 2005 Next week is that ministerial meeting in Hong Kong in the Doha Round of world trade talks. It had been hoped the Hong Kong meeting would serve as a wrap up meeting for a new global trade deal but now most analysts believe the Hong Kong meeting will be seen as successful if members simply agree to continue to Doha Round of talks. Tom Lipetsky, a vice president of the U.S. Meat Export Federation, says a successful outcome in these trade talks could have some major benefits for the U.S. beef industry. Lipetsky: "Right now when we do get back into Japan we still face 38% tariffs. Places like Korea it is even higher. Places like Thailand it is as high as 60-65%. So whatever we can do in the Doha Round to bring down tariffs across the board, that is only going to be beneficial for the U.S. beef industry." And Lipetsky says there will be a lot of growth around the globe providing opportunities for export. Lipetsky: "As the population increases, as their incomes rise, there are a lot of organizations that are projection that the growth around the world is going to be about the equivalent of adding a new United States every 15 years." Lipetsky says one key role the export market plays is that many products exported don't have a big demand in the United States but by shipping them overseas a higher value is generated. Things like tongues and livers can generate a premium in the export market. I'm Bob Hoff.