World Trade Impacts of Foot-and-Mouth Disease in Taiwan
On March 21, 1997, Taiwan imposed an indefinite ban on pork exports following an outbreak of foot-and-mouth disease (FMD).1 Taiwan's major markets, including Japan, Korea, and Singapore, followed suit by banning imports of all pork and pork products originating in Taiwan. Pork is Taiwan's main agricultural commodity. both in value of production and in export earnings, and Taiwanese pork exports account for over 15 percent of the world total. Taiwan is also Japan 's predominant supplier of exported pork. Thus, Taiwan's export ban will have a significant impact on trade patterns and world pork prices. Using the Food and Agricultural Policy Research lnstitute (FAPRl) modeling system, researchers examined the interaction among pork, other meats, feed grains. and protein meal feeds (see CARD Briefing Paper 97-BP 16 for more detailed analysis).