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The Potential for Canadian Branded Beef Steaks in the U.S. Market: Results from an Experimental Auction

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  • Feuz, Dillon M.
  • Umberger, Wendy J.
  • Calkins, Chris R.

Abstract

The economic health of the Canadian beef industry is dependent upon exports. The U.S. market is the largest export market (over 70 percent of export volume) for Canadian beef. Imports of Canadian beef are equivalent to only about 4 percent of domestic U.S. production; however, many U.S. producers believe imports are having a negative impact on the market for domestic beef. They are disturbed that imported beef sold in the United States is not differentiated from domestic beef. The U.S. Congress passed legislation included in the 2002 U.S. Farm Bill creating a mandatory country-of-origin labeling (COOL) program for beef. The Canadian beef industry has viewed U.S. efforts to establish mandatory COOL as potentially having a negative effect on the market for Canadian beef and as a trade barrier; however, if some consumers preferred the taste of Canadian beef or felt that it was a superior product because of other product attributes, it could sell at a premium in the U.S. market.

Suggested Citation

  • Feuz, Dillon M. & Umberger, Wendy J. & Calkins, Chris R., 2007. "The Potential for Canadian Branded Beef Steaks in the U.S. Market: Results from an Experimental Auction," CAFRI: Current Agriculture, Food and Resource Issues, Canadian Agricultural Economics Society, issue 8, pages 1-12, December.
    • Handle: RePEc:ags:cafric:46433
    DOI: 10.22004/ag.econ.46433
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    References listed on IDEAS

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    1. Dickinson, David L. & Bailey, DeeVon, 2002. "Meat Traceability: Are U.S. Consumers Willing To Pay For It?," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 27(2), pages 1-17, December.
    2. Roxanne Clemens & Bruce A. Babcock, 2004. "Country of Origin as a Brand: The Case of New Zealand Lamb," Center for Agricultural and Rural Development (CARD) Publications 04-mbp9, Center for Agricultural and Rural Development (CARD) at Iowa State University.
    3. Cox, Linda J. & McMullen, B. Starr & Garrod, Peter V., 1990. "An Analysis Of The Use Of Grades And Housebrand Labels In The Retail Beef Market," Western Journal of Agricultural Economics, Western Agricultural Economics Association, vol. 15(2), pages 1-9, December.
    4. Dickinson, David L. & Bailey, DeeVon, 2005. "Experimental Evidence on Willingness to Pay for Red Meat Traceability in the United States, Canada, the United Kingdom, and Japan," Journal of Agricultural and Applied Economics, Southern Agricultural Economics Association, vol. 37(3), pages 1-12, December.
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    Cited by:

    1. Alexander E. Saak, 2011. "A Model of Labeling with Horizontal Differentiation and Cost Variability," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 93(4), pages 1131-1150.
    2. Saak, Alexander E., 2010. "Country of Origin Labeling with Horizontal Differentiation and Cost Variability," 2010 Annual Meeting, July 25-27, 2010, Denver, Colorado 61328, Agricultural and Applied Economics Association.

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