1. BOVINE SPONGIFORM ENCEPHALOPATHY (BSE) or “Mad Cow Disease”: Cause and effect on the beef market. Name: Odette K Busambwa

2. Introduction The BSE is a disease of an adult cattle affecting the central nervous central. The affected cattle progressive behavior changes, abnormal posture, incoordination, reduced milk production and weigh lost (Mad Cow Disease, information page). The BSE is a disease of an adult cattle affecting the central nervous central. The affected cattle progressive behavior changes, abnormal posture, incoordination, reduced milk production and weigh lost (Mad Cow Disease, information page). The BSE was for the first time diagnosed in the United states in December 23, 2003 (USDA-APHIS,2003).The disease was first diagnosed in Great Britain in the 1986. The BSE was for the first time diagnosed in the United states in December 23, 2003 (USDA-APHIS,2003).The disease was first diagnosed in Great Britain in the 1986.

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4. Introduction After the outbreak in British cattle, the epidemic peaked in the 1993 at 1000 cases per week. BSE has been diagnosed in cattle in several European nations, Japan, Israel and Canada (NU institution of agriculture and natural resource, 2004). The cattle diagnosed with BSE in the United States was imported from Canada as an adult (USDA-APHIS,2003). After the outbreak in British cattle, the epidemic peaked in the 1993 at 1000 cases per week. BSE has been diagnosed in cattle in several European nations, Japan, Israel and Canada (NU institution of agriculture and natural resource, 2004). The cattle diagnosed with BSE in the United States was imported from Canada as an adult (USDA-APHIS,2003).

5. Introduction The risk to human health is miniscule. However, BSE can be transmitted to humans through the consumption of infected tissues and transmission from animal to animal is unlikely to occur (NU institute of Agriculture and natural resource, 2004). The risk to human health is miniscule. However, BSE can be transmitted to humans through the consumption of infected tissues and transmission from animal to animal is unlikely to occur (NU institute of Agriculture and natural resource, 2004). Occurrence of BSE has caused great fluctuation in production and consumption of beef. The disease had significant effect on trade and price of cattle and beef (Kenneth et al, 2001). Occurrence of BSE has caused great fluctuation in production and consumption of beef. The disease had significant effect on trade and price of cattle and beef (Kenneth et al, 2001).

6. Cause BSE is one of a family of similar diseases known as transmissible spongiform encephalopaties (TSE) (USDA- APHIS,2003). BSE is one of a family of similar diseases known as transmissible spongiform encephalopaties (TSE) (USDA- APHIS,2003). The cause of the disease is not known for sure, but a leading theory is that the disease is transmitted by ingestion of an infectious prion protein (Jin et al,2004). The cause of the disease is not known for sure, but a leading theory is that the disease is transmitted by ingestion of an infectious prion protein (Jin et al,2004).

7. CAUSE The affected cattle were connected to a common source of feed contaminated with the infectious prion protein of contaminated feed products (NU Institute of Agriculture and Natural resource,2004). The affected cattle were connected to a common source of feed contaminated with the infectious prion protein of contaminated feed products (NU Institute of Agriculture and Natural resource,2004). In 1996 a possible link was proposed between BSE and a disease of human which was a variant form of CJD (Crentzfeldt-Jacob disease), a fatal form of TSE in man, recently observed in Britain. In 1996 a possible link was proposed between BSE and a disease of human which was a variant form of CJD (Crentzfeldt-Jacob disease), a fatal form of TSE in man, recently observed in Britain.

8. Cause This link which was likely to happen, between vCJD and consumption of BSE- contaminated the beef industry was very devastating to beef industry (NU institute of Agriculture and natural resource,2004). This link which was likely to happen, between vCJD and consumption of BSE- contaminated the beef industry was very devastating to beef industry (NU institute of Agriculture and natural resource,2004).

9. Effect on the beef market The BSE has an effect on agriculture effect in various countries around the world( GREEN,2003). The BSE has an effect on agriculture effect in various countries around the world( GREEN,2003). The economic effect of the outbreak involve (Henson & Mazzocchi,2004): The economic effect of the outbreak involve (Henson & Mazzocchi,2004): *cattle producers *cattle producers *crop producers. (devaluation of pastureland and hayland). *crop producers. (devaluation of pastureland and hayland). *Agribusiness. *Agribusiness. Agribusiness includes: Agribusiness includes: +Institution (banks, farm...). +Institution (banks, farm...). +consumer demand for beef. +consumer demand for beef. +consumer perception of the relative safeness of beef. +consumer perception of the relative safeness of beef. +beef export (lost exports on the US beef prices). +beef export (lost exports on the US beef prices). +Live cattle future prices, cash beef prices. +Live cattle future prices, cash beef prices.

10. Effect on the beef market Reduction of cattle feeders marketing for cattle and reduction of slaughter cattle due to the high prices. Reduction of cattle feeders marketing for cattle and reduction of slaughter cattle due to the high prices. In international market, it may take years for exports relations to return to early levels and needs (US, Japan and South Korea) (Kenneth et al,2001). In international market, it may take years for exports relations to return to early levels and needs (US, Japan and South Korea) (Kenneth et al,2001).

11. Effect on the beef market Adjustment for change in products eligible for trade by the cattle sector (Kenneth et al,2001). Adjustment for change in products eligible for trade by the cattle sector (Kenneth et al,2001). These changes are far from cost free and reaching implication for many products, industries and sectors (Kenneth et al, 2001). These changes are far from cost free and reaching implication for many products, industries and sectors (Kenneth et al, 2001).

12. Conclusion The degree of influence of each factor on the beef market remains unclear. The degree of influence of each factor on the beef market remains unclear. A single,isolated case of BSE may reduce domestic consumption by 5-10%(USDA-APHAS,2003). A single,isolated case of BSE may reduce domestic consumption by 5-10%(USDA-APHAS,2003). This decline could potentially reduce the domestic price of slaughter cattle by 13.5% and the price of feeder cattle by 16% (USDA-APHIS,2003) This decline could potentially reduce the domestic price of slaughter cattle by 13.5% and the price of feeder cattle by 16% (USDA-APHIS,2003) Reduction and discontinuation of the international beef trade: case of the Japanese experience (USDA- APHIS,2003). Reduction and discontinuation of the international beef trade: case of the Japanese experience (USDA- APHIS,2003).

13. Table The following table gives some scenarios of effects of decreased beef demand on Farm-level, prices and supply quantity. The following table gives some scenarios of effects of decreased beef demand on Farm-level, prices and supply quantity.

14. Scenarios Price of slaughter cattle Quantity of slaughter cattle Price of feeder cattle Quantity of feeder cattle Producer supplies Demand decrease Exports decrease Base price $67.14 35.8 Base price$80.07 32.7 Base price $22,974.00 5%50%$61.6336.6$72.0532.7$21,562.00 75%$59.9936.9$69.9632.7$21,137.00 100%$58.3437.1$67.6632.7$20,706.00 10%50%$59.6436.9$69.4632.7$21,045.00 75%$58.0537.2$67.2632.7$20,630.00 100%$56.4637.4$65.0532.7$20,210.00 15%50%$57.9937.2$66.8932.7$20,561.00 75%$56.2637.5$64.7732.7$20,156.00 100%$54.7137.7$62.6532.7$19,745.00

15. CONCLUSION Speaking in terms of public health, in order to prevent BSE occurrence, and ensure the safety of humans and animals, efforts need to be undertaken at all levels (Mijic, P. et al,2005). Speaking in terms of public health, in order to prevent BSE occurrence, and ensure the safety of humans and animals, efforts need to be undertaken at all levels (Mijic, P. et al,2005). Responsible state institutions should implement effective measures to maintain consumers’ trust and avoid possible economic losses caused by the outbreak abroad (Mijic, P. et al,2005). Responsible state institutions should implement effective measures to maintain consumers’ trust and avoid possible economic losses caused by the outbreak abroad (Mijic, P. et al,2005).

16. CITATION Green, P. (2003, Dec.). Canadian animal. Health coalition. Green, P. (2003, Dec.). Canadian animal. Health coalition. Jin, H J., Skripnitchenko, A. (2004). The effects of the BSE outbreak in the US on the beef and cattle industry.: W.W. Koo (ed). Jin, H J., Skripnitchenko, A. (2004). The effects of the BSE outbreak in the US on the beef and cattle industry.: W.W. Koo (ed).

17. CITATION Kenneth, M., Perry, J.( 2003, Jan.). The economic consequence of BSE & Food and Mouth Disease outbreak in the US. Department of Agriculture, A26. Kenneth, M., Perry, J.( 2003, Jan.). The economic consequence of BSE & Food and Mouth Disease outbreak in the US. Department of Agriculture, A26. Mad Cow Disease. Information page. (2004, may 01).Retrieved 11 Nov. 2003,from http://ianrhome.unl.ed/inthernews/bse.shtml. Mad Cow Disease. Information page. (2004, may 01).Retrieved 11 Nov. 2003,from http://ianrhome.unl.ed/inthernews/bse.shtml.

18. citation Mijic, P., Tolusic, Z.,Rimac, D. (2005, 24-27 Aug.). Effect of bovine spongiform encephalopathy on consumption and beef meat market in Croatia. University of Josip Juraj Strossmayer in Osijek, Croatia. Mijic, P., Tolusic, Z.,Rimac, D. (2005, 24-27 Aug.). Effect of bovine spongiform encephalopathy on consumption and beef meat market in Croatia. University of Josip Juraj Strossmayer in Osijek, Croatia. NU Institute of Agriculture and Natural Resource.( 2004, May 01). Domestic demand helps beef industry through uncertain time. Retrieved 11 Nov.2006, from http://ianrnews.unl.ed/static/0405010.shtml. NU Institute of Agriculture and Natural Resource.( 2004, May 01). Domestic demand helps beef industry through uncertain time. Retrieved 11 Nov.2006, from http://ianrnews.unl.ed/static/0405010.shtml.

19. Citation USDA-APHIS. ( 2003, Dec.23). Mad cow disease. Retrieved 11 Nov. 2006, from http://ianrhome.unl.ed/inthernews/bse.sht ml. USDA-APHIS. ( 2003, Dec.23). Mad cow disease. Retrieved 11 Nov. 2006, from http://ianrhome.unl.ed/inthernews/bse.sht ml.