Mexico’s Grupo Bimbo changing to cage-free eggs

Grupo Bimbo, a leading Mexican and global baking company, and owner of brands like Bimbo, Marinela and Tía Rosa, committed to eliminating battery cages from its liquid and shell egg supply chain and only purchasing cage-free eggs in Mexico and globally. Grupo Bimbo will complete this transition to cage-free eggs in Mexico and globally by 2025.
Rosalío Rodríguez, global senior vice president of operations, Grupo Bimbo announced that the company’s efforts to carry out this transition in favor of animal welfare, adding that "With this commitment, Grupo Bimbo honors its Social Responsibility Model and we believe this action will become a common practice in the future."
Grupo Bimbo joins dozens of companies that have already committed to eliminating battery cage eggs from their supply chains, including Unilever, Nestlé, General Mills and Starbucks.
Grupo Bimbo has a presence in Mexico, United States, Canada, Latin America, China and the UK.
Humane Society International (HSI), one of the world’s largest animal protection organizations, welcomed Grupo Bimbo’s announcement.
Elissa Lane, deputy director of HSI Farm Animals, said: “Consumers care about the way animals are treated in food production and we are glad to see Bimbo taking these concerns seriously by committing to shifting to a 100 percent cage-free egg supply chain. Bimbo’s egg policy will improve the lives of countless animals and sends a clear message to the egg industry in Mexico and around the globe that cage-free production systems are the way forward.”

Low pathogenic H5N2 avian flu hits Mexican layer farm

A low pathogenic strain of H5N2 avian influenza has been detected in a commercial layer operation in El Rosario, in the Mexican state of Sinaloa.
The outbreak was announced by the World Organisation for Animal Health (OIE) on August 14.
No birds died as a result of contracting the avian influenza virus, but an estimated 433,093 chickens were reported as susceptible.
According to OIE, epidemiological surveillance activities were carried out by the Veterinary Services of Mexico, and the presence of H5N2 avian influenza in the flock was identified. Intravenous pathogenicity tests revealed that it was a low pathogenic form of the virus.
The egg production unit where the virus was found has been quarantined and a sanitary barrier has been set up. Despite the virus being a form of low pathogenic avian influenza, the birds will be euthanized, OIE reported.
Tests were conducted at three other commercial poultry farms and 33 backyard flocks within 10 kilometers of the affected farm, and those tests revealed no evidence that the virus had spread.
OIE  stated that the source of infection has not yet been determined. Weekly follow-up reports on the avian influenza case will be submitted by OIE until it is resolved.

How H7N3 avian influenza spread in Mexico

There are many factors and conditions that cast doubt on the theory of transmission of highly pathogenic avian influenza H7N3 through ducks. 
Establishing the facts and truths regarding Mexico’s avian influenza outbreaks has unleashed a series of bickering among various voices. Most adhere to the official version, but poultry consultant Dr. Armando Mirande does not, and at the annual convention of the Aneca (National Association of Poultry Specialists of Mexico) in April, he questioned whether migratory birds were really responsible for the spread of the H7N3 virus in Mexico.


Theory of avian influenza spreading via migratory waterfowl doubted
North American migratory birds such as ducks can be carriers of avian influenza, but they do not emanate viruses. There are four migration routes for birds from Canada to the Patagonia, but only two are important for Mexico: the Central and Pacific routes. The Pacific route brings birds from Asia and Central brings most of the birds that go to the southern part of the continent.
It has been reported that the low pathogenic virus was isolated from ducks in January 2012. "If this was true, it demonstrates a serious irresponsibility toward the [Mexican] poultry industry, because it was never told, plus it goes against the principles of the OIE," said Mirande.
According to him, if the virus originated in ducks, there is neither molecular nor epidemiological evidence of adaptation to chickens, plus there's nothing published in any peer-reviewed magazine since the first outbreak in 1994. "I've never seen a duck in a farm, but I have seen sparrows, which also migrate,” said Mirande.
According to Dr. Robert Webster of St. Jude Children's Research Hospital in Memphis, Tennessee, all of the H7N3 viruses in North America are unique, have no precursors and, he emphatically said, the outbreak in Mexico did not originate in ducks.
Epidemiological surveillance carried out by USDA's Wildlife Services over five years with more than 250,000 waterfowl sampled showed a prevalence of 2.4 percent for low pathogenic avian influenza in positive birds.
Mirande emphasized the significance of differences in the amount of water surface area in the U.S. compared to Mexico. Minnesota, where there have been recent outbreaks of highly pathogenic H5N2 avian influenza, is known as the "Land of 10,000 Lakes." Seventeen percent of Wisconsin’s surface area is ​​fresh water, while the Mexican state of Jalisco has just 1.7 percent fresh water surface area, including Lake Chapala, which is the country's largest lake. Without this lake, Jalisco has only 0.3 percent fresh water surface area. The theory of migratory waterfowl does not make sense, according to Mirande.


How is avian influenza traveling?
Despite all this, "it has never been mentioned that the virus could have [traveled via] roads" said Mirande. This is how avian influenza virus reached Tepatitlán, he stated, by road, through sick and misdiagnosed heavy breeder hens. Instead of burying them, they were sent to slaughter in San Juan de los Lagos (in the Los Altos region, in Jalisco).
In addition, the virus traveled with the 11 million live chickens from around Mexico that were moved to the greater Mexico City area. It also traveled with live hens that go south to the states of Tabasco and Chiapas, and with the poultry manure that went north for feedlot cattle.
Mirande said that the most serious problems are health practices: Poultry manure is not heat-treated, and mortality pits are inadequately handled, even by major companies.


Differences in the costs of avian influenza outbreaks
Excluding the current highly pathogenic influenza outbreak in the U.S. and Canada, the four U.S. and Canada outbreaks over the last 30 years resulted in nearly $300 million in direct costs, Mirande reported. Meanwhile, in Mexico in 2012, in just a few months the direct costs amounted to $504 million. Mirande added to these numbers the indirect costs of the 8,160 jobs lost and the loss on unused raw materials, bringing the cost of the 2012 outbreak in Mexico to $742.5 million (Table 1).


Next steps for Mexico
Mexico was the first country in which avian influenza H5N2 became endemic; it is now the first country to have two endemic viruses, with the addition of H7N3. "It is possible, but not likely, that the H7N3 virus in Mexico has emerged from migratory waterfowl, but these birds have not spread the virus to the rest of the country" said Mirande. Poor everyday practices in commercial poultry production are to blame for the spread of the avian influenza outbreak to the rest of Mexico.
Mirande recommends further study of waterfowl to prove or disprove for their alleged contact with migratory birds.
All this has turned the dream of Mexico of being a poultry exporter into the nightmare of not being able to provide even domestic needs. Mexico is not alone. In India, Egypt and China there are very similar conditions with two strains of avian influenza and denial of the situation and vaccination. Maybe it's coincidence, but these four countries are at the same latitude.


Table 1. Comparison of direct costs of avian influenza outbreaks in the US and Canada with those of Mexico 
Avianinfluenza outbreak	Costof outbreak
USA / Canada
H5N2 / Pennsylvania / 1983-84	$64 million
H7N2 / Virginia / 2002	$56 million
H7N3 / British Columbia/ 2004	$76 million
H5N2/ California, Minnesota., Wisconsin., Dakotas/ 2015	$96 million
Total	$291 million
Mexico
H7N3 / Altos de Jalisco / 2012	$504 million
Source: Mirande, A. Pre-Congress Course, Annual Convention ANECA, Riviera Maya, QR, Mexico, April 2015, with data from the Economic Studies Office of the UNA.
In a matter of months, Mexico had spent more on one avian influenza outbreak that had the U.S. and Canada in the past 30 years. 

Bachoco net income declines in FY 2013

Mexican poultry company Bachoco reported a decline in net income for fiscal year 2013 and the fourth quarter of the fiscal year. Both periods ended December 31, 2013.
Bachoco's net income for FY 2013 declined to MXN1.9 billion (US$144 million), dropping from the MXN2.2 billion (US$164 million) reported for FY 2012. Bachoco's net income for the fourth quarter of FY 2013 also dropped from the same period in FY 2012, declining from MXN554.2 million (US$41 million) to MXN452.5 million (US$34 million).
The company, however, did record net sales and historic high earnings before interest, taxes, depreciation and amortization (EBITDA). Those positive yearly results were achieved despite a sluggish fourth quarter.
Bachoco CEO Rodolfo Ramos Arvizu was satisfied with the Bachoco FY 2013 results, despite various challenges. The most notable challenge was the outbreak of avian influenza that for several months affected some Bachoco facilities in central Mexico.
"The balance for the full year of 2013 was positive, and we were able to achieve efficiencies in key processes, while maintaining a continuous supply to our customers," said Arvizu. "At the same time, we kept solid finances across throughout the entire year and reached historical EBITDA levels."
The Bachoco EBITDA for FY 2013 reached a record high of MXN3,936 million (US$296 million), an improvement over the FY 2012 EBITDA of MXN3,467 million (US$261 million). The FY 2013 fourth quarter EBITDA was recorded at MXN583 million (US$44 million), down from the MXN865 million (US$65 million) recorded during the same period in FY 2012.
Bachoco's net sales for FY 2013 also fared well, reaching a record MXN39,710 million (US$2,990 million), a 0.9 percent improvement from FY 2012. Net sales for the fourth quarter were down 9 percent when compared to the previous year, reaching MXN9,739 million (US$733 million).

Netherlands launches new consortium to focus on Mexican poultry market

Dutch agriculture feed companies have launched AgriMEXICO, a consortium created to focus on the Mexican poultry market. Strategically, the purpose of the group is acquiring opportunities to develop the Mexican market for long-term solutions and opportunities to share knowledge, technology, equipment and materials. There is also potential for opportunities to create public-private partnerships, as AgriMEXICO has the support of state governments and colleges in Mexico and the Netherlands.
This program has three important components:

1. Dutch brand: Demonstrate the possibilities and advantages for the use of highly qualified Dutch products and services in Mexico 
2. Lasting innovation: Development of durable production systems in collaboration with local partners, with regard to the environment, the economy, social responsibility - all tailored to Mexican standards
3. Entrance to the market: Acquire opportunities and investments in collaboration for agricultural production and food in order to access the Mexican market and offer solutions, products and durable systems

Pilgrim’s looks to expand its chicken business in Mexico

Pilgrim's is considering options to expand its broiler operations in Mexico, Pilgrim's CEO Bill Lovette said. When Pilgrim's solid business model in Mexico is combined with a growing consumer base in Mexico, expansion there makes good sense, he said.
"Mexico represents a great opportunity for growth and profitability for chicken," Lovette said during an October 31 conference call. "That's primarily due to a growing economy and more and more consumers moving into the middle class and thereby increasing their consumption of protein, and specifically chicken. We don't think that's going to change anytime soon."
Lovette said that the bulk of Pilgrim's Mexican business in concentrated in the central part of the country, and that is not necessarily the same region where they would like their expansion efforts to be.
"One of the things we are looking to do is to add geographic diversification. We're looking for opportunities in geographic areas where we don't have a large presence," he said. "We're evaluating other geographies, and moving our business to those geographies."
Lovette did not elaborate further on what parts of Mexico they are considering. He also did not specify how much of an investment the company would be willing to make on expansion plans, other than saying it depends on the opportunities.

Mexico, Italy hit with new outbreaks of avian influenza

A new outbreak of highly pathogenic H7N3 avian influenza hit Mexico on August 12, the World Organisation for Animal Health reported. The Mexican outbreak follows another outbreak of highly pathogenic avian influenza reported August 11 in Italy.
An estimated 360,000 birds have been affected at a layer farm in San Juan de los Lagos, Jalisco, Mexico, but no dead or slaughtered birds have been reported. As of August 12, measures such as low-risk poultry vaccination and nationwide surveillance were being deployed.
Meanwhile, a form of highly pathogenic avian influenza was reported at a commercial hen farm in Emilia-Romagna, Italy. The grower quickly notified health officials of the suspicious clinical signs that allowed the disease to be detected in a timely manner. There are 4,000 dead birds and 128,000 more that are susceptible.
A 3 kilometer protection area has been established around the farm, as well as a surveillance area of 10 kilometers. Tracking and depopulation procedures are being carried out, and other diagnostic tests are being done.

Poultry producer Bachoco reports strong quarterly results

Bachoco has reported a net sales increase of 12.1 percent for the first quarter of 2013, despite difficulties brought on by avian influenza in Mexico. The second quarter for Bachoco ended on June 30. 
"Seasonally, the second quarter is usually the strongest quarter of the year, and it seems this quarter will follow that trend," said Rodolfo Ramos Arvizu, CEO of Bachoco.
After a complicated start to 2013, Bachoco was able to surpass difficulties and achieve positive results. 
Bachoco's chicken sales volume decreased this quarter, as a consequence of the outbreak of avian influenza in Mexico that affected the company's breeding farms in the state of Guanajuato. As of July 2013, production is recovering while avian influenza in Mexico is being brought under control. On the other hand, Arvizu said, the supply of main products was stable and prices were at solid levels.
The company's second quarter net sales totaled Ps. 10.5 billion, 12.1 percent higher than the Ps. 9 billion reported in the second quarter of 2012. This resulted from increases in sales across main business lines, largely due to seasonality, as the second quarter tends to be the strongest quarter of the year, together with a stable supply and good price levels.
Sales of Bachoco's U.S. operations accounted for 19.3 percent of total sales during the second quarter of 2013.
Total sales in the first half increased 9.6 percent, when compared with the same period in 2012. The improvement comes on the back of a strong second quarter 2013 performance.
Cost of sales totaled Ps. 8 billion, 1.1 percent lower than the Ps. 8.1 billion reported in the same period of 2012. The decrease in cost of sales was mainly due to the decline in chicken volume, as a result of inventory loss caused by the influenza outbreak.
At the same time, the company recognized a one-time additional charge of Ps. 87.8 million in the production cost, resulting from the loss of inventories.
As a result, the company's gross profit in the second quarter of 2013 totaled Ps. 2.5 billion, resulting in a gross margin of 23.8 percent, compared to a gross profit of Ps. 1.3 billion, and a gross margin of 13.6 percent reached in the second quarter of 2012. Meanwhile, gross margin was 19.4 percent in the first half of 2013, compared to 15.3 percent in the same period of 2012.
In the second quarter, total operating expenses reached Ps. 826.5 million, compared to Ps. 857.3 million reported in the same quarter of 2012. This shows an important improvement, as total expenses in the most recent quarter represented 7.8 percent of net sales, compared to 9.1 percent recorded in the second quarter of 2012, mainly due to a strict control over all operating expenses.

Mexican poultry imports reach new heights in 2013

In 2013, just over 1.25 million table egg layers have been lost due to avian influenza.

The total economic impact of the H7N3 highly pathogenic avian influenza outbreak in Mexico in 2012 was approximately $750 million, said Sergio Chavez, executive president, Unión Nacional de Avicultores, speaking at the USA Poultry & Egg Export Council meeting in Williamsburg, Va. The industry lost or euthanized approximately 24 million birds; most of these birds were table egg layers or replacement pullets.
In 2013, just over 1.25 million table egg layers have been lost, which Chavez said represents less than 2 percent of the country’s total egg layer flock (see Table 1). The loss of over 800,000 broiler breeders, about 8 percent of the country’s total broiler breeder flock, has resulted in a shortage of fertile hatching eggs and will result in a decline in chicken meat production. An increased number of broiler hatching eggs has been imported from the United States to replace some of the shortfall, but it hasn’t been enough to prevent a shortage of chicken meat.
Chicken meat imports




The amount of chicken meat that has been imported into Mexico has increased substantially as a result of the influenza outbreak.

Producer live chicken prices have increased from approximately $20 per kilogram early in 2012 to a peak of approximately $30 per kilogram in May of this year. In response to the high prices for chickens, on May 15, 2013, the Mexican government waived tariffs on up to 300,000 tons of chicken imports from countries that don’t have free trade agreements with Mexico. Processors in Argentina and Brazil have asked to be inspected and certified for export to Mexico. At this time, none of them have been certified.
The amount of chicken meat, excluding mechanically separated chicken, that has been imported into Mexico has increased substantially as a result of the influenza outbreak (see Table 2). In the first five months of 2013, more chicken has been imported than is typically imported in an entire year. Table egg imports into Mexico, while lower in total volume than chicken meat imports, have increased by a much greater percentage. The producer price for table eggs in Mexico was approximately $11 per kilogram in June of 2012, just before the avian influenza outbreak was recognized, according to Chavez. The producer price for eggs peaked at $26 per kilogram in May of 2013.
In addition to depopulation, vaccination has been used as a means of controlling the influenza outbreak. Chavez reported that through May 2013, 440 million doses of the vaccine developed for this outbreak had been distributed. He said that the vaccine is primarily being used on table egg layers, pullets and broiler breeders.

Pilgrim’s weathers Mexican avian influenza scare

Recent outbreaks of H7N3 avian influenza in Mexico have not greatly hurt Pilgrim's Mexican operations, company CEO Bill Lovette said, but the Mexican poultry industry as a whole will take longer to recover.
In February, Pilgrim's identified an increased mortality rate of the breeder flock at the company's complex in Guanajuato in Central Mexico. It worked with regulatory officials to perform blood tests on its chickens and stepped up biosecurity efforts. However, Lovette said the company has done well to deal with the situation.
"As far as Pilgrim's Mexico, our volume has not been significantly impacted as we've been able to supplement with hatching eggs from the U.S. the loss of the one farm we had back in February," he said during a conference call with shareholders on May 3. "While a slightly higher mortality rate has taken some volume out of our production, it's not been significant. We've been able to weather the storm."
During the conference call, Lovette reported an improvement in both earnings and net income for the quarter.
When asked about how he thought the overall industry in Mexico is doing in response to the outbreak, he said it will recover, but it will take a little more time. "We believe that a significant number of breeders were lost to the virus by other companies," said Lovette. "It's going to take a miminum of six to nine months to recover that breeder supply, and possibly even longer as we go forward." 

Vaccination against avian influenza continues in Mexico

The National Health, Food Safety and Quality Service of Mexico, Senasica, reported that in Guanajuato, 66 farms and 33 backyard farms where poultry farming is practiced were inspected, with a population of 7,048,933 birds. As of February 28, 6,466 samples have been analyzed and 23 production units and a backyard flocks have been identified as positive in the municipalities of Dolores Hidalgo, Santa Cruz de Juventino Rosas, San Miguel de Allende, San Luis de la Paz, Leon, San Felipe and Celaya. In Jalisco, the 16 affected farms remain unchanged.
Regarding sacrifice, 2,025,449 broilers have been culled in Jalisco and 1,241,265 hens have been culled in Guanajuato. Furthermore, in the quarantine area of over 19,000 km², covering the states of Guanajuato and the boundaries of Jalisco and Aguascalientes, health surveillance and counter-epidemic measures continue. There are 13 checkpoints in the sanitary cordon to prevent mobilization without official control of live birds, their products and byproducts, and poultry manure.
Senasica authorized vaccinating birds in nine federal entities for the prevention of the AH7N3 avian influenza virus. The priority is to vaccinate birds with long lifespans, such as parent stock, breeders, as well as laying hens.
"In the states of San Luis Potosi, Mexico, Hidalgo, Tlaxcala, Michoacán and Morelos, breeding birds will initially be vaccinated; in Coahuila parent stock and breeders, while in Puebla and Querétaro, breeders and commercial layers will be immunized," according to Senasica officials. The intention is to apply about 210 million monthly vaccinations.
The National Veterinary Biological Production Agency of Mexico, Pronabive, is currently manufacturing all doses of vaccine to immunize birds. 

Mexico officials: Did Bachoco cause avian flu outbreak purposefully?

The Mexican House of Representatives asked the Secretariat of Agriculture February 21 to investigate whether the avian influenza outbreak in Guanajuato, Mexico, on Bachoco farms was caused by the company to obtain illegal profits through speculation in poultry and egg prices. The House also asked the Ministry of Economy to ban the sale of Bachoco's products that are allegedly contaminated.
"The outbreak of the A/H7N3 virus, which affects [Bachoco's] farms, occured within a year that bird flu spread in Jalisco farms, leading to an increase of up to 100 percent in the price of eggs in 2012," according to the House.
The House claims there has been a 1,200 percent increase in profits and speculation with the product, and that according to information from the Mexican Stock Exchange, "[the company] earned huge profits in the chicken and egg crisis."
During the annual meeting of the Poultry Specialists Association of Central Mexico, AECACEM, poultry industry professionals said the request for Bachoco to suspend activities shows a total ignorance of the market, as a poultry company's activities cannot be suspended overnight. They also noted the issue is being politicized instead of focusing on animal health.

Mexican poultry producer releases fourth quarter and 2012 results

Industrias Bachoco, a Mexican poultry producer, announced its unaudited results for the fourth quarter and full year 2012 ended December 31, 2012. All figures have been prepared in accordance with International Financial Reporting Standard.
Net sales increased 25 percent and 41 percent in the fourth quarter and in 2012 respectively, mainly as a result of the integration of the Company's new operation in the United States.
Earnings per share totaled MEX$3.6 million in 2012.

Mexican health officials confirm avian influenza in seven Bachoco farms

High-security lab technicians at the National Agrifood Health, Safety and Quality Service of Mexico, Senasica, confirmed the presence of H7 avian influenza virus in seven Bachoco farms located in two municipalities, Dolores Hidalgo and San Luis de la Paz, in the state of Guanajuato, which are kept under restraint by the health authority. The Secretariat of Agriculture, Livestock, Rural Development, Fisheries and Food, Sagarpa, ordered the activation of the emergency operation and since February 14, staff was sent to take samples that were sent to the official laboratories of Senasica.
Technical personnel has already been sent to take samples for the official laboratories which confirmed the presence of the virus by real-time polymerase chain reaction. 
Preliminary data show that the population exposed to the virus stands at 582,000 birds. According to diagnoses, the number of birds susceptible for slaughtering to eradicate the outbreak will be determined. Sagarpa delivered to representatives of the company 1,911,000 vaccine doses for preventive application in breeders and layers, located in surrounding farms, and thus establishing a buffer area to mitigate the damage and isolate the source of infection.
Supervision work at checkpoints has also been strengthened to prevent the mobilization of live birds, their products and byproducts without official control. In about 48 hours, the result of the virus sequencing will be obtained to determine if it is the same that hit the states of Jalisco and Aguascalientes. As a "H7," it corresponds to the same strain, so the World Animal Health Organization, OIE, will be notified.
Of the 137 million hens in the country, 2.8 million are located in Guanajuato, or 2.35 percent of the total.
Meanwhile, poultry farmers of the Los Altos de Jalisco region indicated they will be revaccinating their flocks. It will be necessary to immunize local birds again with 60 million doses. 

Mexico hit by new avian influenza outbreak

An H7N3 avian influenza outbreak was confirmed on January 8 in the Mexican state government of Aguascalientes, located in the western part of Mexico and close to the area of a previous outbreak in Jalisco, according to Mexico's Reforma newspaper. The news agency reported that the the National Health, Food Safety and Quality Service, Senasica, "confirmed an outbreak of avian influenza in two farms, and the closing of these foci of infection, after the sacrifice of 284,755 birds."
The matter remained in total secrecy until the evening of January 8, according to the newspaper, but it was the poultry producer who notified authorities. The two affected egg-producing farms are located in the municipality of San Francisco de los Romo, upstate Aguascalientes.
The state government says the outbreak of highly pathogenic avian influenza is controlled. To do this, authorities "proceeded to the depopulation of the two layer farms where the outbreak was located, after which Senasica stated the closing of the foci of infection that caused the disease." A total of 6 million vaccines will be applied in the area, which houses seven farms, two of laying hens and five of broilers, plus another 13 that are in the perifocal area.
Senasica said the outbreak emerged this past January 3 and yesterday confirmed that it is the H7N3 A virus, with 99 percent similar genetics to the one that hit the Los Altos area de Jalisco in June 2012.
Aguascalientes contributes to less than 1 percent of Mexico's egg production, but 10 percent of its broiler production.

US poultry industry supports Mexico in Trans-Pacific Trade Partnership

The National Chicken Council and the USA Poultry & Egg Export Council have expressed their support for Mexico's inclusion in the Trans-Pacific Partnership Agreement, in response to the U.S. International Trade Commission’s request for comments and investigation on negotiating objectives with respect to the country's participation.
“Mexico’s membership is unconditionally supported by our industry and we view its inclusion as an opportunity to demonstrate improved relations by our government agencies and, thusly, both of our industries,” said National Chicken Council President Mike Brown and export council President Jim Sumner.

Mexico, which was not originally included in current negotiations, now joins Australia, Brunei Darussalam, Canada, Chile, Malaysia, New Zealand, Peru, Singapore and Vietnam. The U.S. Trade Representative has asked the International Trade Commission to provide advice concerning the probable economic effect of a U.S. free trade agreement with the countries. Brown and Sumner said Mexico’s participation does not offer anything in terms of tariff reductions since the two countries have long eliminated duties on poultry products. What it does offer, they said, “is an opportunity for the two governments to negotiate on the two issues that remain thorns in the side of liberalized trade in poultry: lack of productive movement on sanitary and phytosanitary issues and the use of bogus antidumping cases to hinder trade.”
Two negotiating objectives for Mexico’s inclusion in the Trans-Pacific Partnership were also suggested:

• The negotiation of a specific and mutually agreed work-plan and timetable for recognition of Exotic Newcastle Disease-free areas in Mexico, and for recognition of equivalency of the Mexican poultry inspection systems, with a view toward establishing an acceptable level of two-way trade as soon as possible, consistent with public and animal health protection.
• The negotiation of a “peace clause” that would prevent either country from bringing antidumping cases, or imposing antidumping duties, on the other’s poultry products.

Mexico egg industry facing challenges after avian influenza outbreak

Three months after an avian influenza outbreak, Mexico's egg industry is meeting ongoing challenges and expects to be back to regular production by April–May 2013, said delegate Cesar de Anda at the International Egg Commission's conference on September 11.
Mexico has the virus under control, said de Anda, who was among the representatives from 14 countries discussing the challenges and opportunities their national egg industries are currently facing. Egg producers and the country's government worked in partnership, developing a new vaccine which has been used to good effect. De Anda also praised the Mexican egg producers for their quick and effective response, saying that local egg producers made the decision to cull birds to prevent the spread of the virus. He said that the next 12 months will be the most challenging for Mexico's egg industry.
Representatives from Europe, South Africa, Asia and North and South America attended the discussion.

Mexico begins phase two of bird flu poultry vaccination campaign

*The Mexican government has started phase two of its bird flu vaccination campaign in response to the country's H7N3 virus outbreak, which has so far resulted in the slaughter of nearly 11 million birds to prevent its spread.
Roughly 90 million doses of the vaccine will be used on poultry farms in the Los Altos region of the western state of Jalisco, where the virus was found. The first phase involved 88.3 million doses of the vaccine, according to the national food health, safety and quality service agency Senasica. Officials are also keeping 53 million doses of the vaccine and viral samples in reserve so production can be boosted if necessary.
Poultry distribution is expected to resume in August, with 5 million birds shipped monthly to the farms cleared by inspectors, said Senasica director Enrique Sanchez. Samples have been takes at 438 farms in the Los Altos region, and only 43 farms tested positive for H7N3. Additional tests conducted outside of Jalisco all came up negative, said officials.

Mexico announces antidumping decision on US poultry imports

Mexico has announced its final decision regarding the anti-dumping case on leg quarters imported to Mexico from the U.S., confirming the existence of dumping conditions and harm to the domestic poultry industry induced by the sale of chicken leg quarters into Mexico originating from the U.S. that were below production costs. The ministry has also imposed anti-dumping duties on imports of chicken leg quarters from the U.S.
Penalties will not immediately be applied, however, until the avian influenza H7N3 situation normalizes. The actual date for the application of the penalties will be announced via a notice published by the Mexican Ministry of Economy, according to officials. The companies involved in the decision have said they do not agree with the recommendation to delay applying anti-dumping duties. They said that the H7N3 was contained and did not affect chicken producers. In addition, anti-dumping duties will be applied exclusively to chicken leg quarters originating from the U.S., and more than 80 percent of the chicken sold by Mexican producers (mainly as whole chicken) will not even be subject to anti-dumping duties.

US poultry, egg industries support Mexico efforts against bird flu

The U.S. poultry and egg industries have expressed their support for Mexican poultry producers as Mexico continues to deal with its H7N3 avian influenza outbreak, and pledges their support to help the producers any way necessary.
The USA Poultry & Egg Export Council and Mexico’s Unión Nacional de Avicultores have established a working group on avian influenza to identify issues and projects on which the two industries can coordinate to help Mexico deal with this outbreak. This working group is supported by various U.S. organizations, including the American Egg Board, the National Chicken Council, the National Turkey Federation, the U.S. Poultry and Egg Association, United Egg Producers, and the USAPEEC International Poultry Development Program, as well as the International Egg Commission and the International Poultry Council.
There are also internationally recognized standards established by the World Organization for Animal Health that identify strategies and protocols for controlling and eliminating the disease. These procedures include containment, management of poultry movement, zoning and compartmentalization, humane stamping out, and vaccination when appropriate. The strategies, when fully and properly implemented, will provide an effective path for handling this crisis. With depopulation of affected flocks as the primary focus, Mexico is incorporating the World Organization for Animal Health strategies and the U.S. industry stands ready to help Mexico in its efforts.