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FAS
Weekly Attache Report Digest
January
24, 2005
Report
CHINA, PEOPLES REPUBLIC OF, January 24, 2005 -- South
Chinese incomes have doubled within the last few years,
resulting in increased beer and wine expenditure. However,
imported products only hold a small share in overall sales.
Education and promotion will be necessary to introduce more
imported wines since many consumers do not understand
variety and quality differences. In addition, sales of
foreign standard lager have primarily been successful with
joint venture production in China.
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Pan Arab FTA - Full Implementation
MOROCCO, January 24, 2005 -- The Pan Arab Agreement
governing trade among 17 Arab countries enters in full
effect starting January 2005. No major impact is expected on
U.S. trade to Morocco since none of the member countries is
a major competitor for U.S. agricultural exports to Morocco.
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Annual
SOUTH AFRICA, REPUBLIC OF, January 24, 2005 -- In 2005,
South Africa's total fresh deciduous fruit production is
expected to reach 1.384 million MT, a slight decrease (1.3%)
from last year because of a severe drought that affected
some producing regions in the Western Cape in December 2004.
Total exports are expected to decrease by 8.1% because of
lower quality products for export. An increase of 9.8% is
expected for processing, with table grapes encompassing the
bulk of the fruit. Some table grapes farmers indicated that
they would not export to the U.S. this season because of
high shipping costs caused by a strong Rand. Sources
indicate that there is also lots of inefficiency within the
supply systems that cause pressure on the profit margins,
not necessarily at the farm levels.
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EU Certification Guide - Update
EU-25, January 24, 2005 -- This guide is intended to provide
an overview of legally required health certificates. It also
refers to private certification initiatives, which are
mostly intended to guarantee quality.
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Annual Rice Report
SENEGAL, January 24, 2005 -- Post forecasts rice production
to increase in 2004/2005 due to expanded cultivated area and
increased yields. Despite the locust infestation in the
north, the harvest this year will be exceptional due to an
increase in area planted. Local rice market share has
slightly increased from 9 percent to 11 percent in
2003/2004. Rice imports have decreased 27 percent compared
to 2002.
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EU to use wheat export subsidies
EU-25, January 24, 2005 -- The European Commission has
announced that it will begin using export subsidies for
wheat during the remaining five months of the 2004/05
Marketing Year (MY). This week, the EU launched a procedure
so that up to 2 MMT of wheat could receive export subsidies.
This move follows growing market and political pressure for
wheat export subsidies following the large 2004 harvest and
building EU grain intervention stocks as well as EU wheat's
weak competitive position in key North African markets.
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Grain Interventions 2005 Update
RUSSIAN FEDERATION, January 24, 2005 -- The Federal Agency
for Regulation of the Food Market has been selected to
conduct grain interventions in 2005, but the final order
needed to begin procurement has not been issued. It is not
yet known when this order will be issued or if interventions
will even be needed this year.
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EU Traceability Guidelines
EU-25, January 24, 2005 -- Traceability has become mandatory
throughout the EU on January 1, 2005 as part of the general
food law. A guidance document on the implementation of this
requirement was made available on the SANCO website. The
document confirms that from the EU's legal point of view,
the requirement for traceability is limited to ensuring that
businesses are at least able to identify the immediate
supplier of the product in question and the immediate
subsequent recipient. The document recognizes that EU
importers often demand trading partners to apply
traceability systems beyond the legal requirements.
Traceability is intended to allow targeted withdrawals. We
therefore also included in this report the procedure from
the food and feed controls regulation for handling foods
rejected at the EU border.
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Legal Framework for Sugar Agroindustry to be
Rewritten
MEXICO, January 24, 2005 -- On January 14, 2005, the
Ministry of Agriculture (SAGARPA) cancelled the legal
framework which regulates, among other things, relations
between sugar mill owners and sugarcane producers and the
system of payment for sugarcane. The new proposal will have
to be ready by September 30, 2005 and is to be drafted by a
national sugarcane committee as called for under the Law of
Rural Sustainable Development. In the interim, rules and
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This Week in Canadian Agriculture, Issue 3
CANADA, January 24, 2005 -- * Prime Minister Heads Trade
Tour to Asia * Resumption of Fresh Pear Trade From China *
Canada Asks Mexico to Expand Beef Trade * New Wheat Class
has Potential Market in Asia * Prince Edward Island May go
GE-Free * Softwood Fight Could Lead to Trade War * Ag Canada
Forecasts Crop Production for 2005/2006 * MP's Scolded for
Passing Trans Fat Bill
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Ciudad Reynosa Reopens As A Border Crossing For
Apples
MEXICO, January 24, 2005 -- On January 21, 2005, the
Secretariat of Treasury (SHCP) published in the Diario
Oficial (Federal Register) the Seventh Resolution of
Modifications to the Rules of General Regulations on Foreign
Trade for 2004. Through the modification of Annex 21, SHCP
announces the reopening of Ciudad Reynosa as a border
crossing for apple shipments (H.T.S. 0808.10.01). On
December 28, 2004, SHCP had announced the closure of this
Mexican border city for shipments of apples, frozen chicken
leg quarters (CLQ), and selected meat varieties (see
MX5002). Reynosa will
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Corn Update
INDONESIA, January 24, 2005 -- The 2004/05 corn production
estimate has been increased to 6.5 million tons. The import
forecast for 2004/05 has been reduced to reflect higher
local production, combined with the continued sluggish
performance of the poultry sector. Nonetheless, the 1.06
million tons forecast to be imported in 2004/05 would
represent a rebound from 2003/04 when demand was constrained
by the local AI outbreak. Effective January 1, 2005, the
import duty on corn was increased from zero to 5 percent.
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China resumes imports of poultry products from
Canada
CHINA, PEOPLES REPUBLIC OF, January 24, 2005 -- On January
18, 2005, the Ministry of Agriculture (MOA) and the General
Administration of Quality Supervision, Inspection and
Quarantine (AQSIQ) jointly announced the resumption of
imports of poultry products from Canada. During CY2003,
China's imports of Canadian poultry totaled 4,000 MT valued
at $2.6 million, the number 4 overseas supplier. This report
provides an unofficial translation of that announcement.
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Pets and Other Animals Import Regulations
ISRAEL, January 24, 2005 -- The Israeli Veterinary Services
renewed its regulations regarding importation of pets and
other animals, accompanied or unaccompanied by their owners.
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