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060217 Canada Exports Record C$2.8B In Pork In 2005

February 18, 2006

Winnipeg, Manitoba - Canada exported a record amount of pork last year, but exports are expected to level off in 2006, Canada Pork International said on Friday.

The industry exported 1.029 million tonnes of pork worth C$2.84 billion ($2.47 billion) in 2005, up 11 percent from 931,000 tonnes valued at C$2.65 billion the year before.

Shipments to Japan and Australia, Canada's second and third largest customers after the United States, were expected to remain stable in 2006. Exports to the United States have declined over the last two years, said Jacques Pomerleau, spokesman for Canada Pork International, which represents pork exporters.

"The exports to the U.S. could continue to decrease because of the surplus of animal protein in North America," Pomerleau said, also citing lower prices.

The strong Canadian dollar relative to the U.S. currency, along with dropping pork values, could also cause exports to drop, he said.

The increased exports in 2005 were the result of higher hog production in Canada and the spillover effect from mad cow disease. Opportunities for pork exports opened up when many countries placed restrictions on Canadian beef in 2003, when the country's first native-born case of bovine spongiform encephalopathy was discovered.

South Korea should continue to increase Canadian pork imports, thanks to competitive pricing, Pomerleau said.

Exports to South Korea jumped 80 percent to 60,000 tonnes worth C$100 million in 2005, compared with the year before, Canada Pork International said.

Sales to China, Mexico and Romania each exceeded C$50 million, with those to Russia, Taiwan, New Zealand, Cuba and the Philippines each exceeding C$10 million.

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