--------------------------------- THE BridgeNews FORUM: Viewpoints on issues in international trade. --------------------------------- * Legal Quirk Would Exclude Meat From Many EU Countries, While Forcing France To Accept British Imports By David Walker, agricultural economist Bridge News NORWICH, England--After four weeks of discussion, it seemed Britain and France were close to resolving their dispute over the beef trade. But the French food safety agency has been slow to accept the protocol signed by both countries -- a document that gives the French the opportunity to bow out of their embarrassment gracefully. The protocol also has inadvertently added to the confusion on the position of other member states of the European Union, possibly creating a legal quagmire. The protocol indicated that all five issues raised by France -- traceability of beef, testing, derived products, controls and labeling -- were satisfactorily covered either by information provided by the British or through agreement on further testing, spot checks and the like. The long-running controversy arose in response to the finding of BSE (bovine spongiform encephalopathy), or mad cow disease, among British cattle. The most contentious issue in the latest discussions had been labeling. Britain was unwilling to allow its beef to be stigmatized by any French provision for special labeling. It transpired, however, that an existing 1997 European regulation designed to provide traceability of British beef exported to other EU states satisfied the French, while allowing the British to claim that they had not been blackmailed into yet more draconian measures. Here the issue would have rested, were it not for France's understandable concern over third-party, or triangular, beef trade. Unfortunately, only three EU states -- France, Spain and Britain -- have met or will meet the EU's requirements for a traceability system for meat by Dec. 31. The legal implications of this are mind-boggling. While it is almost certainly illegal for any EU state to ban British beef imports, at the same time it is probably illegal for any member state, other than France, Spain and Britain, to import British beef. It may also be legal after Dec. 31 for any member state to ban imports of meat from another member state that does not have the traceability system in place. The amount of British beef crossing the English Channel is minimal, with just a one-tonne shipment of Scottish beef to Italy reported last week. Without traceability systems in place, however, there is no way for an importer to be fully assured that it is not receiving backdoor supplies of unidentified British beef from a third country. It is this issue that the French food safety agency is nominally pondering. Jean Glavany, the French agriculture minister, referred this issue to the food safety agency after signing the protocol. He was no doubt mindful that the French farm lobby would view the prospect of a ban on meat imports from other member states favorably, even if British beef had to be accepted. From other than a French perspective, the issue appears relatively straightforward. The food safety agency was embarrassed about four weeks ago when the European Science Steering Committee debunked its 600-page report, which claimed new evidence on BSE. Hence, third-party trade is a really bogus issue. To save the agency, in particular, and the French government, in general, the embarrassment of an immediate climb-down, the British entered into protracted discussions. These almost certainly proved more politically unpalatable for the British government than expected. A protocol was, however, signed, indicating agreement or accommodation, from either Britain or the European Commission, on all items. In addition, the uncovering of unsavory practices by the French livestock feed industry and almost daily demonstrations in Britain created so much smoke that the original blunder by the French agency has almost been forgotten. What more could the agency want? Nevertheless, when it met on Nov. 27 the agency decided not to close the issue by quietly agreeing to the terms of the protocol -- this being as much as it could reasonably expect under the circumstances. Clearly the French see things differently and are in no hurry to settle. They may indeed feel there is political gain to be made from the embarrassment they are causing. Meanwhile, back at the European Commission, there will be no early break to celebrate Christmas and the new Millennium. The European Parliament, which plays a much greater role on food safety issues than on agriculture and came close to censuring the commission a few years back on this BSE issue, cannot be pleased. Whether the commission will have time to get a regulation in place delaying the deadline for member states to set up meat traceability systems is doubtful. Such a regulation would require a nod from the European Parliament before being approved at the European Council's pre-Christmas meeting in Helsinki. It is well within the realm of possibility, however, that France will attempt to broker a deal at Helsinki next month on some totally unrelated issue on which it needs accommodation. And with so much at stake who will refuse them? For the rustic wit who likes to laugh at sin, the ultimate irony would be a situation in which France legally bans meat imports from elsewhere, thereby creating a market for British beef that it cannot legally stop. DAVID WALKER, an agricultural economist, lives on his family's farm outside Norwich, England. He recently served as senior economist in London for the Home-Grown Cereals Authority and previously was executive director of the Alberta Grain Commission in Canada. His views are not necessarily those of Bridge News, whose ventures include the Internet site http://www.bridge.com/. OPINION ARTICLES and letters to the editor are welcome. Send submissions to Sally Heinemann, editorial director, Bridge News, 3 World Financial Center, 200 Vesey St., 28th Floor, New York, N.Y. 10281-1009. You may also call (212) 372-7510, fax (212) 372-2707 or send e-mail to opinion@bridge.com. EDITORS: A color photo of the author is available from KRT Photo Service. End A COMPLETE SUMMARY of recent opinion articles is available on BridgeStation. (Story .5400) [SLUG: BRITISH-FRENCH-BEEF-WAR:BN _ op-ed]
|