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NATIONAL BEEF demand by our customers The Midwest Cattleman · April 1, 2021 · P18
continued from page 3 worldwide and will provide JAPAN TO RAISE to 25.8% on April 1, 2020 and
an expanded market for the continued from page 3 will eventually phase to 9%
Iowa family farmers who by 2033.
ond shift. National Beef ac- supply us with premium to March 10, 2021, reached “The next round of tariff
quired the facility in 2019 Angus cattle,” he said. 242,229 tonnes, exceeding cuts was scheduled to occur
for approximately $150 mil- Matt Deppe, CEO of the the safeguard trigger level. on April 1, 2021, however
lion, at a time when reve- Iowa Cattlemen’s Associa- The temporary tariff in-
nue was about $650 million tion, said the expansion at crease begins March 18 and due to imposition of the safe-
guard this will be delayed
per year. the plant is a positive sign ends April 16.
National Beef acquired for the company and the The USJTA began in Jan- until April 17 when tariffs
the Iowa Premium plant in beef producers that supply uary of 2020, under which are reduced to 25%,” FAS
2019 for $150 million. At the facility. Japan committed to phasing added.
The Japan Times reported
the time of the acquisition, “As fed cattle demand out most tariffs, enacting tar-
Iowa Premium employed continues to grow, we must iff reductions, or implement- that Japanese consumption
of U.S. beef has surged as
more than 800 people and look for ways to transform ing lower duties on a specific
processed approximate- packing capacity within the quantity of imports. imports from Australia has
declined. The Australian beef
ly 1,100 head of corn-fed, state,” Deppe said. “We wel- FAS said that under the
Black Angus cattle and gen- come opportunities to build USJTA, “…Japan immedi- market has seen prices spike
and cattle supplies dwindle
erated annual revenue of more shackle space and en- ately lowered tariffs on US
about $650 million. courage more competition beef from the most-favored after years of drought.
The project’s comple- for Iowa’s fed cattle inven- nation rate of 38.5% to 26.6%. Drovers
tion date is slated for late tory. National Beef’s expan- Tariffs were reduced further
2022 and is expected to cre- sion plans, in conjunction
ate hundreds of jobs in the with the state of Iowa’s ini-
Tama area. The investment tiatives to further develop
plans are supported by the local processing, will pro-
communities around Tama vide additional opportuni- WE ARE ON THE WEB!
as well as the state of Iowa, ties for cattle producers and
said Tim Klein, president our local communities.”
and chief executive officer
of National Beef. meatpoultry.com
“This project will increase
our capacity to produce midwestcattleman.com
products that are in high
