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International Markets

Strategic Market
Profile Report (SMP)
Taiwan - Beef

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Market Overview

Beef

In 2008, U.S. beef (including variety meat) exports to Taiwan increased 21 percent in volume over 2007 to 27,313 metric tons and 19 percent in value to $127.7 million. Despite the ban on highly popular U.S. beef items such as variety meat and bone-in short ribs, Taiwan was the 8th largest market for U.S. beef exports. Much of this success is due to the extensive adoption of competitively priced underutilized U.S. beef cuts (chuck short ribs, chuck eye roll, boneless short ribs, rib finger and top blade muscle) by the HRI and retail sectors.

“U.S. beef has achieved remarkable success in Taiwan, despite these continued restrictions,” says USMEF President and CEO Philip Seng. “By continuing to work constructively with government officials toward full market access, we can build a very bright future in Taiwan for a wider range of beef cuts.”

Strategic Market Profile:  Taiwan - Beef (PDF)

Strategic Market
Profile Report (SMP)
Taiwan - Pork
 
Click graph for complete SMP

Pork

After a 37 percent drop in 2007, U.S. pork (including variety meat) exports to Taiwan bounced back in 2008 with a 98 percent volume increase to 31,701 metric tons and a 115 percent rise in value to $52.9 million. Taiwan maintains a zero tolerance for residues of ractopamine hydrochloride. U.S. pork has been positioned as the alternative for Taiwan pork when domestic prices are high; thus Taiwan pork prices determine the level of U.S. pork imports. 

Strategic Market Profile:  Taiwan - Pork (PDF)

Bone-In U.S. Beef Clears Inspections in Taiwan

For the first time in more than six years, bone-in cuts of U.S. beef have been successfully exported to Taiwan. The first shipment of bone-in U.S. beef cleared inspections in Taiwan on Monday, Jan. 18. USMEF, the importer of record, plans to utilize part of this first shipment for an appreciation luncheon for key customers and accounts, to be held Feb. 2 at the Sherwood Hotel Taipei. The remaining products will be supplied to some of Taiwan’s most upscale hotels, where chefs anticipate a very enthusiastic consumer response.

Despite the recent controversy surrounding U.S.-Taiwan beef trade, USMEF Senior Vice President Joel Haggard is optimistic about the prospects for both boneless and bone-in cuts of U.S. beef in the coming year.

“Obviously the negative media attention has been an unwelcome development, and this has had some impact on sales,” said Haggard, who oversees the Asia Pacific region for USMEF. “But we expect that as this issue fades from the newspapers our sales will rebound quickly.  Many in Taiwan are eagerly waiting U.S. bone-in beef.”

Haggard is particularly encouraged by the positive response shown by importers, retailers and restaurateurs toward the long-awaited return of bone-in U.S. beef cuts.

“There does not seem to be a fear by hotels or restaurants that featuring bone-in beef will elicit a negative consumer response, and the fact that importers have been placing orders for bone-in beef speaks to their confidence in the market,” he said. “In addition to items like the bone-in short rib, hotels are already clamoring for hot items like bone-in ribeyes and prime ribs, and even some specialty items like bone-in striploins. There are even several people in Taiwan that are dry aging beef and plan to do so with newly arrived U.S. bone-in cuts. 

“Among our key accounts, we see a lot of confidence in the ability to sell the bone-in product,” Haggard continued. “We’re finding that they are anxious to cooperate with USMEF and the U.S. beef industry to promote both boneless and bone-in beef. So we’re going to be redoubling those promotional efforts, as well as reassuring the Taiwan public about the safety of all U.S. beef products.”

Through November 2009, U.S. beef exports to Taiwan totaled $125.2 million – a 7 percent increase over the first 11 months of 2008. When December results are available, exports should surpass the all-time, single-year value record of $128 million, set in 2008.

New Taipei Mall Offers Growth Opportunities for U.S. Beef in Taiwan

Taipei’s newest new shopping mall, Qsquare, which opened its doors Dec. 17, has enormous economic potential with an estimated half-million people passing through its doors every day.   Among those looking to capitalize on this potential is USMEF.

The Qsquare project a tremendous opportunity to reinvigorate the Taipei Railway Station neighborhood, with businesses targeting the daily commuters who transit the station. In addition to retail shops and restaurants, the property will also include luxury housing, a health club and a cinema complex.

A new, five-star Palais de Chine Hotel will open soon at Qsquare. The hotel is part of the L'Hotel de Chine Group, which also operates the Fleur de Chine, Chateau de Chine, Maison de Chine and Chinatrust brands. Hotel executives have expressed strong interest in offering U.S. Prime beef on the menu – an opportunity quickly seized upon by USMEF.

“In Taiwan, an endorsement by a five-star hotel makes an enormously powerful statement about the quality and safety of U.S. beef,” said Joel Haggard, USMEF senior vice president for the Asia Pacific region. “This is exactly the kind of positive message we need to reinforce with Taiwan consumers.”

Culinary staff at the Palais de Chine Hotel in Taipei prepare U.S. Prime beef

USMEF recently conducted a beef tasting with the Palais de Chine General Manager Achim v. Hake and his culinary staff to help familiarize them with high-quality U.S. beef.

“We very much look forward to working with USMEF and cooperating on future opportunities,” Hake said.

Jason’s Supermarket, one of USMEF’s key retail accounts in Taiwan, also has a strong presence at Qsquare. Jason’s outlet in the mall’s lower level offers a high percentage of imported, upscale items including U.S. Prime beef and other branded beef products. Qsquare even offers freezer lockers just outside of the supermarket so shoppers can store their food purchases while shopping or viewing a movie.

Customers sample U.S. beef at Jason’s Supermarket in Taipei’s new Qsquare mall

As part of the grand opening, USMEF partnered with Jason’s on a three-day U.S. beef sampling, which reached a large and enthusiastic audience, since more than 300,000 people visited Qsquare during its first three days of operation.

“Qsquare really differentiates itself from rivals by mainly targeting a younger crowd,” said USMEF-Taiwan Director Davis Wu. “Because of its strong purchasing power and health consciousness, this is precisely the audience USMEF is trying to reach.”

 



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