060130 Japan Will Eventually Resume U.S. Beef Shipments

Davos, Switzerland - Japan will eventually resume importing U.S. beef after its latest suspension of trade in the product, Japan's agriculture minister said.

Speaking on the sidelines of the annual World Economic Forum meeting in Davos, Shoichi Nakagawa said Friday there was no possibility of an immediate solution, but the trade would most likely resume at some unspecified date.

"It is unfortunate there has been the development that we have had to interrupt the trade of beef with the United States," Nakagawa told reporters through an interpreter. "But once the problem is resolved, probably we are going to resume the trade."

Japan originally closed its market after the United States discovered its first case of mad cow disease in December 2003. The U.S. found a second case of the brain-wasting disease in 2005.

Only weeks ago Japan resumed imports, only to halt them again last week after it found banned spinal bones in a shipment of American veal.

The error jeopardized a market worth US$1.4 billion (euro1.14 billion) in 2003, the year before Japan banned the importation of American beef.

Nakagawa was meeting U.S. Agriculture Secretary Mike Johanns in Davos Friday, but said there was no chance of a solution being found in the near future.

"I do not know exactly at what stage it can be resolved," Nakagawa said.

"I think right now we have a clean slate," he added, referring to the meeting with Johanns.

The discovery of spinal bones in last week's veal shipment angered many in Japan, who accused the United States of sloppy compliance with the agreement that reopened the Japanese market.

Earlier this week, Nakagawa told parliament that 700 tons of U.S. beef distributed in Japan and already in circulation after the country eased its import ban last month is safe and can be eaten with no worries.

But importers, restaurants and other businesses handling the meat should voluntarily check it for materials that are considered at risk of carrying mad cow disease, he said.

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