UPDATE ON REQUIREMENTS FOR HILTON QUOTA. IMS BEEF COMMITTEE MEETING IMS WORLD MEAT CONGRESS Buenos Aires ARGENTINA September, 27th 2010 Sebastião Costa Guedes President of the CNPC

HILTON QUOTA FACTS MEAT PRODUCTION IS CHANGING IN SOME COUNTRIES; LIVESTOCK GIVES LARGE AREAS FOR AGRIC.PRODUCTION, SPECIALLY SOYBEANS IN SOME REGIONS; THE REQUIREMENTS ARE DIFFERENTS BETWEEN THE PRODUCERS COUNTRIES –EX: THE DURATION OF FEED LOT PERIOD;

THE EXCESSIVE REQUIREMENTS OF THE EU ARE TODAY STRONG FACTORS TO INCREASE THE PRODUCTION COSTS AND THE FARMERS ARE NOT INTERESTED TO EXPORT TO EUROPE; IN BRAZIL THE NATIONAL CONSUMPTION IS RESPONSIBLE FOR ALMOST 80% OF THE PRODUCTION; THE EXPORT FOR NO EUROPEAN COUNTRIES IS ALWAYS INCREASING; HILTON QUOTA FACTS

THE EXPORT OF LIVE ANIMALS FOR SOME COUNTRIES IS REDUCING MORE THE ANIMALS OFFER FOR SLAUGHTERING AND IT IS ANOTHER FACTOR TO REDUCE EXPORT TO THE COUNTRIES WITH HIGH LEVEL OF REQUIREMENTS; WITH THIS ORIENTATION EU WILL HAVE MORE DIFICULTIES TO FIND EXPORTERS OR WILL PAY MORE TO IMPORT BOVINE MEAT. HILTON QUOTA FACTS

PROPOSAL IMS IS INVITED TO HELP AND SUPPORT THE DIALOGUE WITH THE EUROPEAN AUTORITHIES TO STABLISH MORE FLEXIBILITY FOR THE HILTON QUOTA REQUIREMENTS AND ALSO THE UNIFORMITY OF THE THEM FOR ALL THE COUNTRIES WITH QUOTA’ S RIGHTS. THIS PROPOSAL NOT MODIFIES THE ACTUAL HILTON QUOTAS OF THE COUNTRIES IT IS ONLY A FACTOR TO FACILITATE THE REACH OF THE QUOTA FIGURES OR QUANTITIES.

THANK YOU MERCI BEAUCOUP GRACIAS OBRIGADO