Optimism key in wake of BSE - WP editorial

THE discovery of a second case of bovine spongiform encephalopathy in North America could not have come at a worse time for Canadian cattle producers.

They were just beginning to see a light at the end of the tunnel following the cattle market crash caused by a Canadian case of BSE announced last May. A BSE discovery in Washington state on Dec. 23 forced many countries to ban U.S. beef imports. Canada has banned higher risk material but continues to allow U.S. imports of dairy products, live cattle destined for immediate slaughter and boneless beef from cattle 30 months of age or younger.

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Significant price shifts have occurred in various grains as compared to what was expected at the beginning of the calendar year. Crop insurance prices can be used as a base for the changes.

The U.S. beef trade has been thrown into turmoil and cattle prices have plummeted here and in the U.S., just when the Canadian industry was showing signs of recovery.

Add to that the severe droughts and feed shortages that wracked the Canadian industry before BSE arrived on the scene and nobody could blame cattle producers if they grew bitter and disillusioned.

Yet throughout these disasters, Canadian producers have proven they are resilient. There has been little talk of devastation and destruction.

Instead, most producers have focused on how they are going to carry on despite the troubles and they have talked of finding ways to prepare for when the industry returns to normal.

The coming months could test producers even more. It appears as through the Washington BSE case originated from a Canadian herd, although DNA confirmation is pending. This carries importance but only in tracking the source of the problem, whether it be infected feed or otherwise.

Even had the latest BSE case originated from within the U.S., it should cause no great relief here. The integrated Canada-U.S. cattle markets have ensured that a serious problem in one country translates into problems for the other. Canada depends on the U.S. as the top sales destination for its beef.

If there is good news to be garnered from the latest reports, it is that the BSE-infected animal found in Washington was 61/2 years old, which dates it before the ban on feeding ruminant animal parts in feed to other ruminant animals.

This means the diseased animal could have developed BSE from infected feed before the ban, and measures now in place could prove sufficient.

Additional measures taken by the U.S. last week to match the safeguards Canada established last year offer more long-term food safety assurances. The new steps prevent potentially dangerous tissue, such as brain and spinal cord material, from being processed into food or animal feed. As well, the U.S. appears poised to set up a national cattle tracking system, similar to the one used in Canada.

Still, the latest BSE reports must come as discouraging news to many. Cattle producers are going to have to unearth more of the same optimism and determination we saw last year.

Basing plans on a brighter future is the best way to help steer the course toward more profitable times.