REDFIELD, Iowa (DTN) -- For the first time in 20 years, U.S. beef will be shipped to Australia. Negotiations between the two countries has led to open trade after delays continued for many years.

According to the United States Meat Export Federation (USMEF), it has been 21 years since bovine spongiform encephalopathy (BSE) resulted in market closure to U.S. beef around the world. While most markets had been reopened, Australia continued to ban U.S. beef exports due to BSE concerns.

"Australia is one of the last countries to maintain a ban on U.S. beef exports after 21 years post-BSE. Its restrictions are purely a protectionist measure against the U.S. beef industry which are long overdue for resolution," USMEF said in a statement.

President Donald Trump has continually worked on trade deals around the world. The National Cattlemen's Beef Association (NCBA) thanked President Trump for this trade win for America's cattle farmers and ranchers.

"For 20 years, U.S. beef was denied access to Australia while Australia exported $29 billion of beef to U.S. consumers. The lack of two-way, science-based trade has been a sticking point for many years, and we are pleased that President Trump has successfully opened the Australian market to American beef," said NCBA President and Nebraska cattleman Buck Wehrbein. "NCBA has spent decades working to correct this trade imbalance and we are proud to have a President who is willing to fight for American farmers and ranchers, expand export markets, and fix unfair trade agreements across the world."

AUSTRALIA SHIPPED BEEF TO U.S.

In 2024 alone, Australia shipped a total of $1.7 billion in beef to the U.S., according to USMEF. USMEF added that Australia would be a niche market for U.S. beef, with opportunities at food service in the short run and providing a premium product in the long run, without any threat to Australia's industry.

DTN Livestock Market Analyst ShayLe Stewart said while opening trade between the two countries is positive, it's unlikely that the trade development will have much effect on domestic prices.

"Australia beef prices are far lower than U.S. beef prices which limits export potential from a cost perspective, and with the U.S. cowherd at its lowest level in the last 62 years, the market isn't expected to be overwhelmed with supply any time soon," she said. "Australia is the sixth smallest exporting market for the U.S."

The United States-Australia Free Trade Agreement took effect in 2005 and was intended to allow U.S. beef to be sold in Australia; however, Australia hasn't allowed this to happen.

AUSTRALIA'S REACTION

Cattle Australia (CA), the leadership and policy-driven organization in Australia, has called for an independent scientific panel to review their government's decision to lift biosecurity restrictions on beef imported from the U.S.

The Australian Minister and Department of Agriculture, Fisheries and Forestry has assured its country that beef from the U.S. is safe, but CA Chief Executive Officer Will Evans said, "While we have been given assurances, we believe an independent scientific assessment is a sensible and prudent way forward. This must occur before imports commence. There is simply too much at stake when it comes to Australia's world-leading biosecurity status not to get a second opinion."

U.S. Secretary of Agriculture Brooke Rollins stood behind American farmers and ranchers and said they produce the safest, healthiest beef in the world. "It's absurd that non-scientific trade barriers prevented our beef from being sold to consumers in Australia for the last 20 years. Gone are the days of putting American farmers on the sidelines," she said.

Jennifer Carrico can be reached at jennifer.carrico@dtn.com

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