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Illegal Beef Floods Market

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A sharp increase in smuggled beef on the Chinese mainland is being attributed to a growing shortage in local supplies - a phenomenon that food analysts fear could put consumers' health in jeopardy, as much of the illegally imported meat comes from regions with mad cow disease.

China has banned beef imports from Japan since 2001 and from the United States since late 2003, because mad cow disease was found in those countries. The embargo on beef imports, however, has failed to prevent shipments from arriving indirectly through various channels in Hong Kong and Vietnam, according to Jim Peterson, chairman of the US Meat Export Federation, who was quoted by Bloomberg.

Official statistics on the amount of smuggled beef weren't available, but some reports have suggested that at least 100,000 tons of it have entered the country since 2008 through illegal channels, mainly from Brazil and the US, according to the Irish Independent, citing a United States Department of Agriculture report.

China's beef imports, which tripled last year, look to jump a further 30 percent to 30,000 tons in 2010, agrimoney.com reported.

Beef demand in China is likely to rise to 7.4 million tons in 2015, up 23 percent from 6 million tons in 2008, said Pan Chenjun, an analyst of food and agriculture with the Beijing bureau of the Amsterdam-headquartered Rabobank.

"Beef production in China stands at 6 million tons per year. It is unable to keep pace with the growing domestic-market demand that has contributed to the emergence and rising trend of beef smuggling in the country," Pan told the Global Times.

Mad cow disease, or Bovine Spongiform Encephalopathy (BSE), is a transmissible, neu-rodegenerative, fatal brain disease found in cattle, according to the World Health Organization.

Pork, which is cheaper than beef, has long been the meat of choice for the predominately Han Chinese, accounting for 60 percent of their total meat consumption, reports said. Growing affordability due to a general increase in incomes and demands on food varieties are believed to have contributed to the boom in beef consumption.

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