After the Japanese minister for agriculture, forestry and fisheries Yuji Yamamoto pulled out of his scheduled trip to Brussels on Friday, it looked like another last-minute problem had arisen in the EU-Japan trade talks. However, the Irish Farmers Journal can confirm that EU Agriculture Commissioner Phil Hogan will have a telephone conversation with the Japanese minister tomorrow morning and has his case packed to make the 12-hour flight to Tokyo later in the week to close the deal.
A deal between the EU and Japan has been on the brink since last Christmas
The commissioner told the Irish Farmers Journal in Brussels last week that he was confident of a deal before the summer break.
However, a deal between the EU and Japan has been on the brink since last Christmas, with agriculture, as is so often the case, being the sticking point. That is why the agriculture commissioner is to the forefront at this stage, as opposed to trade commissioner Malmstrom. It is understood that the discussions between EU and Japanese officials went well in Japan last week, finalising other outstanding issues.
End game
It is now down to the end game with agriculture and it is believed that the EU is pushing for a generous beef quota in particular, with the Japanese resisting strongly. They are defensive on agriculture and this is one of the occasions when the EU are offensive and Hogan will be anxious to secure a strong settlement, particularly on beef, as it will come under pressure in Mercosur discussions where the pace towards a deal is also quickening.
Wagyu beef on sale in Tokyo Japan
Imports
Japan is currently the second-largest beef importer in the world, taking around 900,000t, though will be overtaken by China this year. Ireland currently supplies small tonnages of offal, but this has potential to grow if the high tariff barriers are removed and could then include higher-value cuts. Japan is already a large market for Irish pig meat and dairy products that will also be more competitive in a tariff-free arrangement.