Livestock, Dairy, and Poultry Outlook No. (LDPM-14301) 18 pp

June 2006

An Economic Chronology of Bovine Spongiform Encephalopathy in North America

The first confirmed cases of bovine spongiform encephalopathy (BSE) in Canada and the United States had significant effects on trade and prices of U.S. cattle and beef. However, these incidents occurred during a period of low U.S. beef supplies, near-record beef prices, and strong domestic demand for beef that was largely unshaken by the BSE announcement. Also, U.S. reliance on beef and cattle exports, roughly 10 percent of production, was not so great as to cause burdensome increases in domestic supplies. Increased regulations, however, imposed additional costs on beef production and processing sectors.

Keywords: beef, bovine spongiform encephalopathy, BSE, byproducts, cattle, mad-cow disease, ruminant, trade

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