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- <text id=89TT0143>
- <title>
- Jan. 16, 1989: Why The Beef Over Hormones?
- </title>
- <history>
- TIME--The Weekly Newsmagazine--1989
- Jan. 16, 1989 Donald Trump
- </history>
- <article>
- <source>Time Magazine</source>
- <hdr>
- BUSINESS, Page 44
- Why the Beef over Hormones?
- </hdr><body>
- <p>Europe says its meat ban is based on real medical concerns, but
- U.S. cattlemen call it groundless and protectionist
- </p>
- <p> Is eating U.S. beef hazardous to one's health because of the
- hormones that most American ranchers give their cattle? The case
- for fear is flimsy, yet it has set off a rancorous and
- potentially costly trade battle between the U.S. and the
- European Community.
- </p>
- <p> The fray officially began Jan. 1, when the E.C. banned
- imports of meat from animals treated with growth-inducing
- hormones. Since more than half the 35 million U.S. cattle sent
- to market each year receive at least a small amount of
- hormones, the ruling blocked European imports of $140 million
- worth of American beef. The Reagan Administration immediately
- struck back, imposing 100% tariffs on $100 million worth of West
- German hams, Italian tomatoes and other foods. Last week the
- E.C. said in effect that unless the dispute is resolved by the
- end of January, it will counter-retaliate with 100% tariffs on
- $100 million worth of U.S. walnuts and dried fruits.
- </p>
- <p> Europeans became fearful of hormone supplements in the early
- 1980s after the synthetic hormone diethylstilbestrol, or DES,
- was detected several times in baby food made with veal. (The
- growth-inducing compound, which has been linked to cancer and
- birth defects, was banned in the U.S. in 1979.) Amid the furor,
- four countries prohibited all hormone use in cattle. The E.C.
- adopted the restriction in 1985, and this month banned the
- importation of hormone-treated meat.
- </p>
- <p> E.C. officials insist the ban is nothing more than a
- regulation designed to protect the public health. They see the
- law as nondiscriminatory, since all nations exporting meat to
- Europe must meet the same requirement. Such major beef
- exporters as Argentina, Australia, Brazil and New Zealand have
- agreed to ship only hormone-free meat to the Community, even
- though they may agree with the U.S. that the restriction is too
- broad.
- </p>
- <p> Besides barring demonstrably dangerous drugs, the E.C. is
- preventing importation of many benign compounds that play a
- significant role in the U.S. cattle industry. For nearly 30
- years, American feedlot operators have promoted weight gain in
- young steers and heifers by giving them implants of natural and
- synthetic animal hormones, including testosterone and
- progesterone.
- </p>
- <p> Manufactured by Eli Lilly, Syntex and other U.S.
- pharmaceutical firms and approved by the Food and Drug
- Administration for controlled use, the hormone pellets are
- implanted in the animal under the skin behind the ears. The
- small time-release capsules slowly dole out the hormones over
- several weeks during key growth stages. By eliminating as many
- as 21 days of feeding time before the animals reach the target
- weight of about 1,000 lbs., the hormone treatments (cost per
- implant: about $1) save the cattlemen approximately $20 per
- head, which can be the difference between profit and loss.
- Producers maintain that the hormones not only help keep U.S.
- beef prices down but also turn out the leaner meat preferred by
- consumers nowadays.
- </p>
- <p> No scientific evidence has been found that such hormones,
- administered properly, cause adverse health effects in people
- who consume the meat. Yet E.C. officials have brushed aside U.S.
- contentions that the hormones are safe. "Where there is doubt,
- there must be a total ban to protect consumers," declared Bart
- Staes, a spokesman for a group of European environmental and
- political parties that oppose hormone use. The E.C. established
- a scientific panel to study the issue, but disbanded the group
- before it could report its findings.
- </p>
- <p> Many American beef growers maintain that European meat is
- more dangerous than the U.S. product. While conceding that some
- American feedlot operators have been cited for improperly
- administering approved hormones, the U.S. growers point out
- that the E.C. ban has fostered a thriving black market among
- European cattlemen in older, more dangerous compounds like DES.
- Some growers inject their herds with illicit drugs to cut costs.
- Last week a Belgian consumer magazine reported a survey of 500
- butcher shops in which 25% of the hamburger samples tested
- contained DES and other illegal chemicals.
- </p>
- <p> U.S. trade officials contend that the E.C. ban is motivated
- in large part by protectionism, since European beef producers
- are raising more cattle than they can sell locally or abroad.
- E.C. nations added 140,000 tons of excess beef to meat-locker
- stockpiles last year, bringing the total surplus to more than
- 723,000 tons, or nearly two months of European consumption.
- </p>
- <p> The E.C. is likely to leave U.S. cattlemen with a surplus of
- liver, sweetbreads and other specialty meats that are popular in
- Europe. But the American beef industry can probably make up for
- the lost European business elsewhere, since U.S. producers
- export more than $1 billion worth of beef every year to Asia,
- Mexico and Canada, or ten times the value of the meat shipped to
- the E.C.
- </p>
- <p> What worries U.S. cattlemen more is the possibility that the
- hormone dispute will raise new questions about the healthfulness
- of American steaks and hamburgers at a time when beef producers
- are struggling for the hearts and grills of U.S. consumers.
- Because of studies linking health problems with a heavy diet of
- red meats, Americans have reduced their average consumption of
- beef since 1976 by 23%, from 94.4 lbs. to 72.5 lbs. a year. As
- a result, ranchers have already reduced their herds by about
- one-fourth.
- </p>
- <p> As the trade battle escalates, it will hurt other
- agricultural producers, from dairy farmers in Denmark to nut
- growers in California's Central Valley. Trade officials on both
- continents are worried that the transatlantic range war has got
- out of hand, but so far no one is budging on the beef issue.
- The E.C. insists that no compromise is possible unless the U.S.
- accepts the hormone ban. And from the St. Paul stockyards to
- the vast feedlots of the Southwest, them's fightin' words.
- </p>
-
- </body></article>
- </text>
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