POULTRY

The Uruguay Round agriculture agreement will establish disciplines in the areas of market access, export subsidies, internal support, and sanitary and phytosanitary measures. In addition, countries have made a number of commitments that will benefit U.S. agricultural exports. Highlights for the U.S. poultry and egg industry, whose 1992 poultry and egg exports totaled $928 million and $100 million, respectively, include the following:

Key Developments for U.S. Exports:

EU Cuts Export Subsidies: The European Union will reduce the quantity and budgetary outlay for export subsidies from the current level. In the year 2000 the EU's maximum allowable quantity of subsidized poultry exports will be 291,000 tons, 179,000 tons below the quantity of subsidized exports in the 1991-92 period. For eggs, the maximum allowable quantity of subsidized exports in the year 2000 will be 83,300 tons, 28,700 tons below the level in the 1991-92 period.

EU Cuts tariff on Processed Turkey and Increases Access for poultry: The EU will reduce its tariff for processed turkey from 17% to 8.5%. In addition, it will establish a tariff-rate quota for 18,000 tons of fresh, chilled or frozen chicken and turkey in 1995, increasing to 29,000 tons by 2000.

Korea Improves Market Access for Frozen Chicken: Korea will establish a quota with a tariff of 20% for 7,700 tons of frozen chicken in 1995, 10,400 tons in 1996, and 6,500 tons for the first half of 1997. On July 1, 1997, Korea will eliminate all quantitative restrictions on frozen chicken imports and replace the quota with a tariff of 30.5% for all frozen chicken. This tariff will be reduced to 20% by the year 2004. The 20% tariff on fresh or chilled chicken cuts (liberalized on January 1, 1994) and fresh or chilled whole chickens will be reduced to 18% by 2004.

Philippines Improves Access for Poultry: The Philippines will open a tariff-rate quota for chicken of 14,000 tons, increasing to 23,500 tons by the year 2004; the in-quota tariff will be 50%. Previously, imports of chicken meat were banned. The Philippines will also cut the tariff on frozen turkey from 50% to 35%.

Thailand Reduces Tariff on Turkey: Thailand will cut the tariff on fresh, chilled or frozen turkeys from 60% to 30%.

Austria Increases Access for Poultry: Austria will establish a tariff-rate quota for a minimum purchase commitment for 1,000 tons of chicken parts.

Costa Rica Improves Access for Poultry: Costa Rica will provide greater minimum access for poultry. A tariff-rate quota for poultry parts will be established for a 770 tons growing to 1,284 tons over the implementation period. A tariff-rate quota for whole birds will be established for 385 tons growing to 642 tons over the implementation period.

South Africa Guarantees Access for Poultry: South Africa will establish a tariff-rate quota for poultry starting at 17,420 tons, growing to 29,030 tons over the implementation period. It has committed to adjust the in-quota tariff rate if the quotas do not fill.

Hong Kong Binds Tariffs at Zero: Hong Kong will bind (as a formal GATT commitment) all tariffs for poultry and egg products at zero.

Japan Reduces Tariffs for Egg Yolks: Japan will reduce the duty on dried egg yolks from 25% to 18.8%. The tariff for frozen egg yolks will be reduced from 25% to 20%.

Finland Allows Access for Eggs: Finland will establish a tariff- rate quota for eggs and egg products of 1,719 tons in 1995, increasing to 2,865 tons by the year 2000.

Norway Increases Access for Eggs: Norway will establish a tariff- rate quota for eggs and egg products of 1,023 tons in 1995, increasing to 1,828 tons in the year 2000.

U.S. Commitments:

Market Access: The United States will reduce its tariffs for poultry and eggs by 20% in equal annual installments over 6 years beginning in 1995.

Export Subsidies: The United States will establish quantity and budgetary outlay ceilings for subsidized exports of poultry and eggs. The final year commitments are the required 21% and 36% below the 1986-90 base for the quantitative and budgetary commitments, respectively. The reductions for eggs will begin from the 1991-92 average levels. The annual allowable quantities and expenditures will be the following:

(Note: This fact sheet is a summary of Uruguay Round highlights; it does not reflect all results.)
June 1994

Last modified: Friday, November 18, 2005