Agriculture officials said the move is part of the DA’s earlier commitment to lift the cattle import reduction scheme as soon as Australia fulfills its end of a compromise deal with the Philippine government. The DA implemented the live cattle import reduction scheme last June in retaliation for Australia’s refusal to process the country’s export application for bananas and pineapples.
However, instead of the original plan to pare down imports of live cattle from Australia this year by 20 percent or from 250,000 head to 200,000 head of cattle in 1999, the reduction rate would be lower.
The initial plan was supposed to adversely affect Australian live cattle exporters since the Philippines imports 90 percent of its live cattle requirements from Australia.
DA officials said the move to lift the cattle reduction scheme gradually will allow the country to fulfill its commitment with the Australian government and at the same time give it the option to restore the original targetted reduction if the latter does not deliver its end of the bargain.
The Australian government has promised the entry of Philippine tropical fruits, particularly pineapples and bananas just as soon as it completes its import risk analysis (IRA) or its study on the possibility of importing these commodities.
The DA, however, has reservations about completely lifting its cattle reduction program because of Australia’s record in handling the grape export application of the United States.
Agriculture Secretary Edgardo Angara who will be in Canada this month to attend the Cairns Group meeting, will reportedly discuss the issue with Australian Trade Minister Mark Vaile.
Under terms earlier agreed upon by the Department of Agriculture and the Australian Quarantine and Inspection Service (AQIS), the Australian government should start its IRA on pineapples this month. Two months ago, AQIS started its IRA on Philippine bananas.
An IRA, also known as a pest risk analysis, determines the likelihood of importing farm commodities by assessing the state of pests and diseases affecting such products. To many in the agriculture department, the IRA is a form of a non-tariff barrier.
The DA has been pushing for Australia to accept tropical fruits grown in the Philippines but has met stiff opposition, largely due to the intense lobbying efforts of Australian farmers.
The lobby led by the Australian government to restrict the entry of Philippine bananas, mangoes and pineapples by invoking sanitary and phyto-sanitary requirements.
The two countries have been at trying to work out an acceptable compromise but it was only when the Philippine government decided to implement a progressive reduction in Australian cattle imports, starting with a 20 percent cut this year, that Australia relented. The Philippines is Australia’s largest market for live feeder stock cattle.
The controversy eased after the agriculture chiefs of both countries signed a commodity understanding on the export of mangoes that will initially come from Guimaras Island off Iloilo province in the Visayas. The agreement extended to bananas and pineapples but should be subjected to an IRA.