MEAT exporters from the UK are on a trade mission to forge partnerships with Filipino importers with the goal of bringing back high-end UK beef to Philippine consumers.
“We’re very much excited about the opportunity the Philippines holds for all the reasons you all know — your population, your income growth — and we want to take advantage of that in complementary relationships,” said Jonathan Eckley, Asia-Pacific head of the UK’s Agriculture and Horticulture Development Board (AHDB), in an interview.
The UK is trying to gain a share of the beef market after its return in late 2017 with the issuance of a health clearance from the Philippine government.
AHDB, a statutory levy board funded by farmers and growers, is among the UK entities that led a visit in Manila on Thursday to introduce eight meat processors to Philippine importers and distributors.
Mr. Eckley said although he does not expect “quick wins,” he remains confident that his group would close deals mainly in two markets — pork and beef. He said the UK is already the seventh-biggest supplier of pork to the Philippines.
“It’s (Philippines) our second-biggest [market for pork] outside Europe. China is a big market for us and the Philippines has become an important market for us, with strong growth over the last two years,” he said.
“On British beef, we’re new to the market because we’ve only had access since very late last year. I think agreement was reached in August-September and health certificate was in place a bit later in the year,” he said.
Data from the Bureau of Animal Industry show that the UK exported a total of about 12.93 million kilograms (kg.) of meat to the Philippines in 2017, slightly lower than the 13.15 million kg. in 2016. Pork exports accounted for the bulk at around 11.63 million kg. last year, up 43% from 8.13 million kg. a year earlier. The Philippines also imports chicken and turkey meat from the UK, although at lower quantities.
“On our pig meat exports, it’s become important to us because of the demand we’ve been able to satisfy here,” Mr. Eckley said. “In 2016, we had strong growth of about 27% in volume terms and then again in 2017 we built on that, so volume increased again from the UK to the Philippines,” he said.
Jesus C. Cham, president of the Philippines’ Meat Importers and Traders Association, said there is a good chance that partnerships will be forged for high-end beef.
“A lot of UK pork is already coming in. There was never a ban on UK pork. There was a ban on UK beef because of the mad cow disease in year 2000. And it was lifted only recently,” he said. “It was long overdue because governments, they overreact.”
Asked whether there remains room for more imported beef, Mr. Cham said the UK exporters have to compete.
“So if they cannot get the mass market they can get a niche market, as long as it’s commercially feasible,” he said.
He said many of the members of his association import UK pork, but beef is more expensive and has a different market. Like Japanese wagyu, a high-end product, there will always be a market for imported meats because “certain people like certain products.”
“It’s up to the importer and the exporter to work the market,” he said. “We have not done anything yet but we are open for discussion.”
Waiting on the sidelines are Scottish meat exporters who are looking to get clearance for exportation of their products to the Philippines.
Laurent Vernet, head for marketing at Quality Meat Scotland (QMS), expressed his confidence that Scotland could secure health certification and start exporting Scottish meats in two years.
“I’m part of this delegation because Scotland is interested in the Philippines,” he said. “I don’t think we’re ready right now, but we want to look [at] the future prospects for coming to the Philippines.”
He said the Philippines has a growing middle class “who are very interested in what they’re eating.” This market is looking beyond the price of the product but also on health and animal welfare, he added.
QMS, an agency promoting the Scottish red meat industry and funded by levy payers, are looking to export prime beef cuts for steaks and stir fry.
“We would like to be able to export in the next two years, maximum,” Mr. Vernet said, adding that factors delaying the entry include the exchange rate and the health certification from Philippine authorities.
He said the biggest Scottish meat brands that are keen to export are McIntosh Donald and Scottbeef Ltd.
The meat trade mission follows an announcement last year that a beef export deal was agreed, estimated to be worth 34 million pounds over the next five years, the British Embassy in Manila said to introduce the delegation.
The meat-exporting UK companies that held talks with local importers are ABP Food Group, Buitelaar Group, C&K Meats Ltd., Cranswick Plc, Dawn Meats, Foyle Food Group, GPS Food Group (UK) Ltd., and Karro Food Group.
Mike Moon, director of the UK’s Department of International Trade, said: “We are delighted that the best beef in the world, British beef, is back in the Philippines afer a 20-year absence and welcome this mission as an opportunity to expand the British quality meat offer in the market.” — Victor V. Saulon

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