China Clears Last Hurdle for U.S. Ag Trade

March 23, 2000

China has cleared the way for imports of U.S. meat, poultry, wheat and citrus. With the issuance of new rules on the imports, the bilateral portion of last year's U.S.-China trade agreement goes into effect.

"This means China is now fully positioned to purchase U.S. meat and citrus and continue to expand its purchases of Pacific Northwest wheat," said U.S. Trade Representative Charlene Barshefsky. The agreement "is based on sound science and the mutual benefits of open markets. U.S. farmers, ranchers and consumers will benefit substantially from this agreement."

Agriculture Secretary Dan Glickman called it a "fundamental breakthrough for American's farmers and ranchers ... China is providing our producers with the tremendous opportunity to significantly increase export sales to the world's most populous country."

U.S. exporters now can form relationships with Chinese importers and develop the Chinese market for citrus, wheat, meat and poultry. The United States will be able to export citrus based on domestic national standards. The export program will be phased in over two years.

Under the agreement, China recognizes the U.S. meat and poultry certification system, meaning U.S. exporters can develop commercial relationships for those commodities as well.

China has banned imports of U.S. wheat and other grains from the Pacific Northwest for more than 26 years for what the United States considered scientifically unjustified reasons. By signing the agreement, China acknowledged that TCK smut does not pose a risk to its domestic wheat production and will allow imports of U.S. wheat and other grains below a specific TCK tolerance level.

U.S. poultry industry leaders said implementing the agreement "means sales for the industry and jobs for American workers." John Bekkers, National Chicken Council president, called China "a land of enormous potential for American poultry producers." National Turkey Federation Chairman Jerry Jerome said it will allow the turkey industry "to provide an economical protein to fed the population and provide the industry an opportunity to grow its export market."

Jim Sumner, president of the USA Poultry and Egg Export Council, said China's finalization of the agreement shows the country intends "to live up to their agreement and allow our products in."

China agreed to lower tariffs on poultry imports from 20% of value to 10% over four years. China also will forego a tariff-rate quota for poultry and red meat above a certain quantity.