INDIA, May 31, 2002 -- Indian cotton production is expected to increase marginally this year. Despite comfortable local supplies, MY 2002/03 imports are forecast at 2 million bales (170 kg) due to the likelihood of depressed world prices, and an anticipated recovery in export demand for textiles.

BULGARIA, May 31, 2002 -- For the first time in 10 years, MY01/02 sunflower seed production was not enough to meet domestic demand. Uneven local crops have opened the door to imports of high quality (moderate priced) oilseeds, meals and oils. Imports of U.S. soy oil could increase due to development of local food processing industry. There is a potential for soybeans if crushing operations are improved. Bulgaria remains – in the near term– a chronic protein meal deficit market.

POLAND, May 31, 2002 -- On May 2, 2002, the Polish Veterinary Inspectorate detected Poland's first BSE case. It is estimated that the outbreak of BSE will decrease domestic beef consumption in 2002 by six percent and exports of beef by 30 percent. There is slightly increased demand for the very small amount of high-end U.S. beef steaks entering Poland.

JAPAN, May 31, 2002 -- On May 17, the Food Agency (FA) of the Ministry of Agriculture, Forestry and Fisheries (MAFF) conducted its second simultaneous buy and sell (SBS) tender for feed wheat and barley during Japanese fiscal year 2002. The FA contracted 13,970 metric tons of wheat and 160,000 metric tons of barley.

MEXICO, May 31, 2002 -- On June 25, 2002, Mexico's Secretariat of Economy will conduct an auction for import permits (cupos) for the Mexican private sector to import 5,722 MT of U.S. edible pork fat and oils under the NAFTA tariff rate quotas.

MEXICO, May 31, 2002 -- On June 21, 2002, the Secretariat of Economy will auction import permits (cupos) to import duck, goose, and guinea meat from the United States. The permits will be for the second semester of 2002 imports.

EGYPT, June 3, 2002 -- In MY 2002/2003, area and production are expected to increase by about 1.6% and 1.7% respectively. Exports for 2002/03 are expected to increase by about 15% compared to the previous season with private sector companies accounting for about 70% of total exports. Opportunities for US cotton exports to Egypt continue to be limited due to the availability of cheaper short staple cotton from neighboring countries.

EUROPEAN UNION, June 3, 2002 -- This weekly report contains data on rice prices in the U.S., Thailand and the EU. It also lists current import duties and export subsidies in the EU. All information will be published as such in the weekly USDA publication "Rice Market News".

TURKEY, June 3, 2002 -- MY2002 tomato paste production is projected at 220,000MT, about thirty percent higher than last year. Processors appear to be taking advantage of higher local prices due to a decrease in local stocks as well as expectations for a slight increase in exports. The EU is not permitting Turkey to utilize its 38,400MT duty-free quota for tomato paste exports due to an ongoing dispute about access for EU products under the EU-Turkey Customs Union agreement .

CZECH REPUBLIC, June 3, 2002 -- The European Union is providing significant support to the Czech agriculture and food processing sectors through the SAPARD program. The goal is to help the Czech Republic reach EU standards more quickly, thereby easing the accession process. This report contains a short summary of the Czech SAPARD program and sources for more detailed information.

CANADA, June 3, 2002 -- Canada has launched a C$7.3 million minor-use pesticide initiative aimed at increasing access to minor crop pesticides for its agricultural producers thereby increasing their competitiveness. Minor-use pesticide products are those used in such small quantities that manufacturers find the sales potential is insufficient to seek registration in Canada. Presumably, U.S. minor crop pest product sales to Canada will increase as a result of the initiative.

NEW ZEALAND, June 3, 2002 -- After record returns for New Zealand export venison in October 2001, many customers in the German market, restaurants and supermarket chains, have stopped purchasing venison as price levels became uncompetitive relative to substitute meats. The NZ venison industry now suffers from low returns as the season started off weak caused by lower demand and high levels of unsold stocks. NZ plans to significantly increase venison production over the next few years, which it hopes to channel into increasing exports. The industry plans to achieve this with co-ordinated industry action and a long-term strategy focused on market/product development, and quality assurance.

ECUADOR, June 3, 2002 -- Ecuador's coffee production is expected to decrease to 850,000 60 kg bags for the upcoming marketing year 2002/2003 from the already depressed production of 948,000 60 kg bags GBE (green beans equivalent) in the previous year. In order to meet domestic demand for the coffee industry, the government of Ecuador took an unprecedented step of allowing the importation of some beans from Vietnam, Indonesia and Brazil.

BRAZIL, June 3, 2002 -- MY 2001/02 Brazilian cotton production is estimated at 769,400 metric tons (mt), lint cotton. Production for MY 2002/03 forecast stable at 769,500 mt. Exports for MY 2001/02 are estimated at 150,000 mt whereas cotton imports are estimated at 60,000 mt. The Brazilian Cotton Growers' Association (ABRAPA) formally requested that the Brazilian Government impose a 115 percent compensatory tariff and a US$1.28/kilogram fee (antidumping tariff) on U.S. cotton imports.

NEW ZEALAND, June 4, 2002 -- General: Farm exports up 17 percent through March. Government appoints Biotech Taskforce. Horticulture: Record grape harvest but quality may be down. Livestock: Pork industry may receive investment from Singapore. Dairy: Fonterra to consolidate its Australian home market and re-open wholemilk powder plant. Forestry: NZ$ 2 million boost for wood processing center.

MALAYSIA, June 4, 2002 -- No summary available.

SPAIN, June 4, 2002 -- Oilseed and olive oil production in MY 02/03 are projected at about 1 million tons each. Oilmeal consumption is projected up due to a rebound in soybean meal use to a 4.7 million ton record. Soybean and soybean meal imports are projected up to 3.4 and 2.5 million tons, respectively. The local soybean crushing industry is currently working at full capacity.

INDIA, June 4, 2002 -- The southwest monsoon has arrived on the southern tip of India; Indian Meteorological Service forecasts 15th consecutive year of "normal" rainfall.

GREECE, June 4, 2002 -- No summary available.

CHILE, June 4, 2002 -- We have increased our estimates of Chile's tomato paste production and exports for MY2001 due to additional information from industry sources.

CANADA, June 4, 2002 -- The Canadian Wheat Board (CWB) announced more marketing choices for farmers for their 2002/03 crop. A new Fixed Price Contract (FPC) for durum will be offered on a trial basis and the Early Payment Option (EPO) will be extended to all classes of wheat, except durum. While these options represent additional tools for prairie farmers, they do not provide the same degree of flexibility that eastern wheat growers have via the Direct Marketing program offered by the Ontario Wheat Producer's Marketing Board (OWPMB) that allows producers to market 300,000 metric tons outside of the OWPMB.

CANADA, June 4, 2002 -- Natural Resources Canada Minister Herb Dhaliwal announced an investment of almost C$75 million to support several initiatives to help ensure that Canada's forest industry remains prosperous and competitive. These programs are intended to secure the industry's position in the global market. The funding will target new and existing export markets for wood products, and provide for increased research and development (R&D) that will support innovation in the forest-products sector. The funding is allocated as follows: (1)$29.7 million for the Canada Wood Export Program (CWEP); (2) $30 million to support research and development activities; and (3) $15 million for the Value-Added Research Initiative for Wood Products.

CANADA, June 4, 2002 -- International Trade Minister Pettigrew announced that the Government of Canada will contribute C$20 million to help Canada's softwood lumber industry raise awareness in the United States of the impact of U.S. softwood lumber duties on U.S. interests, and to step up Canada's advocacy efforts in the United States. C$17 million will be provided for Canadian lumber associations to undertake a softwood industry-led campaign to raise awareness of the negative impact that softwood lumber duties will have in the United States, and to encourage productive negotiations and a resolution of this dispute. An additional C$3 million will enhance the ability of the Canadian embassy and consulates in the United States to advance Canadian positions on key trade issues.

CANADA, June 4, 2002 -- "What's New, Eh?" * Ag Census Shows Fewer, but Larger Farms * Wheat Is Still King, but Other Crops Increasing * Higher Livestock Receipts Boost Canadian Net Farm Income * Farm Bailout Package Being Considered * New Minor-use Pesticide Initiative to Help Farmers * CWB Expands Payment Options for Wheat and Durum * Alberta Moves to Bypass CWB * Canadian Forestry Sector Receives C$75 Million Investment *

GERMANY, June 5, 2002 -- German Tobacco consumption is estimated at about 178,000 tons in 2001 of which about 23 pct were of U.S. origin. Cigarette production reached a new record of 213 billion cigarettes. The increase of three pct was mainly for export markets in other EU countries. However, also domestic tobacco consumption still continues to grow despite increased taxes and increased sales prices.

KOREA, REPUBLIC OF, June 5, 2002 -- No summary available.

MALAYSIA, June 5, 2002 -- The food service sector has been growing for the past five years despite the economic down turn and is forecast to continue to grow. Trade sources estimate the total food service market size to be around US$3.8 billion, with the restaurant sector dominating 80% of the market, hotel and resorts 15% and institutional catering sector having 5% share of the market.

MALAYSIA, June 5, 2002 -- Malaysia's CPO production declined by 3.3 percent to 863 TMT in April, 2002. Sluggish output contributed to a 10 percent drop in carry-over stocks at the end of April. The average local CPO price rose from US$306/MT in April to US$332/MT in May.

FRANCE, June 5, 2002 -- In 2001, French production of fresh tomatoes amounted to approximately 866,000 MT. In 2002, production is expected to decline to 860,000 MT, due mainly to reduced production of tomatoes for the fresh market. In France, much of fresh tomato production is processed and transformed into tomato paste.

ITALY, June 5, 2002 -- Total Italian tomato output for 2001 was 6.49 million tons, slightly below the previous year's levels. The decline was mainly due to unfavorable weather conditions that negatively affected Southern Italian crops, which are 60% of total Italian tomato production. According to industry data, the breakdown of Italian tomato products for 2001/02 is estimated as follows. Tomato paste: 330,000 tons, Canned tomatoes: 1,780,000 tons, Tomato sauce: 57,000 tons. Italian exports of all tomato products continue to increase thanks to a high quality level and competitive prices.

ITALY, June 5, 2002 -- Total oilseed area and production are expected to drop in 2002, as a result of the final implementation of Agenda 2000. Domestic oilseed crushing keeps declining, as a result of ownership changes and reduced crushing margins, due to cheap imports of soybean meal. Soymeal feed consumption is expected to further increase in current 2001/02, favored by the MBM ban. Biodiesel fuel production rose significantly in 2001/02 and is expected to rise further in the next 2 years.

INDIA, June 5, 2002 -- Supported by a low carry over, increasing consumption, and an anticipated marginal decline in production, imports are forecast to recover to 4.9 million tons in MY 2002 from an estimated 4.4 million tons in MY 2001.

THAILAND, June 5, 2002 -- The report reviews the situation of raw cotton and textile industries in Thailand for 2002 and forecast for 2003.

GREECE, June 5, 2002 -- The 2001 cotton crop is finally estimated at 1,340,000 MT of seed cotton, up slightly from 2000, corresponding to 455,600 MT of lint, a 42,000 bale increase over the previous year. Despite efforts to limit acreage of cotton crop, yields have increased sharply due to in favorable weather and the use of higher quality seed. The Ministry of Agriculture reports that in 2002, cotton acreage planted is reduced by about 6% compared to that in 2001. Lint exports from Greece are expected to be 200,000 MT for MY 2001/2002, destined mainly to the EU and Turkey. Despite concerns over biotech content and strict GOG regulations, imports of U.S. seed reached 4,600 MT since January 1st, 2002 .

SPAIN, June 5, 2002 -- This report just includes the PS&D table for cotton. The entire report will be sent no later than June 20.

PHILIPPINES, June 5, 2002 -- Tariffs for kidney beans including white pea beans have been reduced from three percent to one percent by the issuance of Executive Order No. 83 (EO 83) dated March 15, 2002. The reduced duties took effect May 1, 2002.

PHILIPPINES, June 5, 2002 -- Planting seed imports will decline through MY02/03 as Philippine agriculture braces for the El Nino dry spell and planting activities abate. Beyond MY02/03, however, seed imports will surge enhanced by the pending passage of a plant variety protection law as well as the recent approval of GMO commercialization guidelines.

MEXICO, June 5, 2002 -- Acution of Permits for Duck, Goose & Guinea Meat*World Bank Suggestions To Sell Mexican Sugar Mills*Deforestation is the Greatest Environmental Problem in Mexico

RUSSIAN FEDERATION, June 6, 2002 -- As domestic production of cotton is very limited, the Russian textile industry depends almost completely on imports. Cotton demand and imports in MY 2002 are expected to be stable year-to-year, as is fabric output. Russian traders may be searching for alternative sources of cotton, as traditional trade with Uzbekistan may decline; this could create opportunities for US cotton.

JAMAICA & DEP, June 3, 2002 -- Flooding in Jamaica results in over JM$500 million damage to agriculture.

EGYPT, June 7, 2002 -- Egyptian General Veterinary Services, Ministry of Agriculture agrees to new language on APHIS Export Certificates for animal products from the US.

JAPAN, June 7, 2002 -- Total imports of raw cotton into Japan in MY 2001/02 are estimated to be 230,000 metric tons and about 7 percent below the previous year due to increased imports of finished products from China. Imports from the United States, estimated at 90,000 metric tons in MY01/02, are about 12,000 metric tons higher than the previous year due to some shift from Australian cotton presumably because of the high micronaire found in Australian cotton. Total raw cotton imports into Japan are expected to decrease further in MY 2002/03 although imports from the U.S. are forecasted to increase due to its competitive price.

AUSTRALIA, June 6, 2002 -- Post puts the 2001/02 cotton crop at 638,000 MT, 20 percent lower than the previous year. Post forecasts production for 2002/03 at 606,000 MT, a fall of around 5 percent and in line with the anticipated fall in planted area. Post forecasts exports to fall by 16 percent in 2002/03 in response to lower production and stock levels.

INDONESIA, June 6, 2002 -- Due to sluggishness during the first half of the year, marketing year 2001/02 (August - July) imports are forecast to decline about 10 percent to 2.3 million bales. Nonetheless, overseas demand for textiles has recently revived, and imports are forecast to rebound to 2.4 million bales in 2002/03. Abundant U.S. supplies and competitive prices have led to a boost in U.S. market share during 2001/02. The local textile and garment industry still must struggle with rising production costs, a strengthening Rupiah, and stiff competition from China.

PORTUGAL, June 6, 2002 -- A slowdown in Portuguese total textiles manufacturing is expected to depress national 2001/02 and 2002/03 raw cotton imports down to forecasted 110,000 Mt and 100,000 Mt. The turmoil currently affecting the local textiles industry is also negatively affecting raw cotton imports from the U.S., which presently consist in small quantities of PIMA cotton. A recovery in sales is anticipated for the medium-term, after the current industry re-structure is complete. 1 USD = 1.08 EUROs.

NETHERLANDS, June 6, 2002 -- As a consequence of the meat and bone meal (MBM) ban, Dutch soybean imports are expected to reach a record level in MY 2001/2002. During this marketing year, imports and crushing of rapeseed and sunflower seed dropped due to small margins and lower availability, respectively.

BULGARIA, June 7, 2002 -- No summary available.

UNITED ARAB EMIRATES, June 6, 2002 -- The HRI sector of the U.A.E. is very large and important to food importers and local producers. It consumes close to $900 million worth of food products. U.S. food products are popular in the 5 star hotel class, particularly meats, poultry, juices and snack foods. The expanding U.A.E. hotel sector offers U.S. high quality food products ample opportunity to increase their share in this growing sector.

TRINIDAD AND TOBAGO, June 7, 2002 -- Whether it is the growing number of yachts drooping anchor just off-shore or the exponential increase in oil & natural gas rigs setting up several miles from the coastline, Trinidad & Tobago's marine activity offers unique opportunities for U. S. food and beverage products. U.S. suppliers willing to seek out these atypical opportunities are sure to find lucrative rewards.

GREECE, June 6, 2002 -- No summary available.

MEXICO, June 6, 2002 -- On July 1, 2002, Mexico's Secretariat of Economy will conduct an auction for permits (cupos) for the Mexican private sector to import 2,204,000 Kgs. of dairy preparations duty-free from MFN trading partners. This is the second auction of this year.

GERMANY, June 7, 2002 -- German rapeseed production is expected to rise from 4.16 million MT in 2001 to 4.48 million MT in 2002, due to an increase in acreage. Out of this, 958,000 MT of rapeseed are destined for industrial use, mainly biodiesel. Sunflower production is forecast to drop from 54,000 MT in 2001 to 50,000 MT in 2002, due to a reduction in acreage.

MEXICO, June 6, 2002 -- SAGARPA has revised downward its sorghum production estimate for the spring/summer 2002 harvest to 1.850 MMT. This would seem to augur well for U.S. sorghum exports, as they are not subject to import requirements, unlike U.S. corn.

PERU, June 4, 2002 -- No summary available.

TAIWAN, June 6, 2002 -- On January 1, 2002 Taiwan entered the WTO and dismantled its long-standing tobacco monopoly to comply with WTO rules. The disappearance of the tobacco monopoly will provide opportunities and challenges for U.S. tobacco and tobacco product exports. In 2001, the U.S. share of the tobacco leaf import market was 55 percent, and the share of the imported cigarette market was 10 percent. Taiwan's cigarette consumption level is approximately 45 billion pieces. Market share of local brands was 50 percent, down 6 percent from 1999.

NEW ZEALAND, June 7, 2002 -- The New Zealand Parliament has passed two amendment bills to the Hazardous Substances and New Organisms Act (1996), which prohibits the Environmental Risk Management Authority (ERMA) from considering or approving the release of Genetically Modified Organisms (GMOs) into the environment, except for medicines, until October 29, 2003. New controls for GMO field trials were also approved. ERMA also recently approved a GM cattle trial with tightened controls.

JAPAN, June 7, 2002 -- A summary of current news reports in America's largest food and agricultural export market as translated from Japan's mass media and food press. This issue includes: AEON to cut 20% of its current work force by 2005; Daiei opens new specialty supermarket called "Sukoyaka Sodachi" (Healthy Living); total sales of Japan's top 100 food service companies increased 4.1% in 2001; the Japan Nursing Food Association is launched on April 26 to support development of food products for the elderly; and a fourth case of mad cow disease (BSE) was confirmed in Japan on May 11.

CHINA, PEOPLES REPUBLIC OF, June 5, 2002 -- Wine Mart, a new wine and spirits distribution center, recently opened in Guangzhou and has the potential to serve as a marketing platform for U.S. wine and spirits exporters.

BELGIUM-LUXEMBOURG, June 7, 2002 -- Sunflower crushing in Belgium stopped in 2001. Rapeseed oil price increases will lead to higher rapeseed crushing in 2002. As expected, total meal consumption rose to a record level of 1.54 million tons in 2001 but is expected to decrease gradually with continuing pig herd reductions. As a result of the MBM ban in Eastern European countries, soybean meal exports to that region are increasing rapidly.

COTE D'IVOIRE, June 7, 2002 -- Post forecasts cotton production in 2002/2003 to increase due to area expansion, remunerative producer price, high yields and rekindled interest in production resulting from farmers owning a cotton gin. The government subsidized seed cotton producer price in 2001/2002. Fiber exports fell in 2001/2002 due to low demand and depressed world market price. Ureco-ci's (the main cotton cooperative group) cotton gin has started. Cote d'Ivoire was declared eligible for U.S. tariff reductions under the Africa Growth and Opportunity Act (AGOA).

TUNISIA, June 7, 2002 -- Due to another year of below average rainfall, Tunisian cereals production in 2002 is predicted to decline further. This should keep imports of both wheat and barley at high levels, similar or higher to MY 2001/2002. Despite the difficulties of competing with European wheat, in an almost purely price-sensitive market, U.S. marketing efforts with Tunisia end-users are continuing. The lion's share of corn imports were sourced in the US.

EUROPEAN UNION, June 7, 2002 -- This weekly report contains data on rice prices in the U.S., Thailand and the EU. It also lists current import duties and export subsidies in the EU. All information will be published as such in the weekly USDA publication "Rice Market News".

CANADA, June 7, 2002 -- All stakeholders in the industry, including farm organizations, political parties, and the Canadian Wheat Board, have been unanimous in their condemnation of the Farm Bill. The principal concern expressed in Canada is that the subsidy provisions in the Farm Bill will undermine recent successes in World Trade Organization negotiations aimed at reducing subsidies, further reducing the market price for grains and oilseed producers. Local reaction has simultaneously faulted the Government of Canada for failing to deter the U.S. Congress from passing the legislation, and failing to sufficiently subsidize Canadian producers.

MEXICO, June 7, 2002 -- On June 4, 2002, the Secretariat of Economy increased duty-free quotas for U.S. chicken carcasses (frames) under NAFTA for 4,904 MT. Imports must be completed by December 31, 2002.

PHILIPPINES, June 5, 2002 -- Tariffs for flour meal and powder have been reduced from three percent to one percent by the issuance of Executive Order No. 83 (EO 83) dated March 15, 2002. The reduced duties took effect May 1, 2002.

PHILIPPINES, June 5, 2002 -- Tariffs for preparations for infant use, not put up for retail sale made of flour, meal or starch not containing cocoa or containing less than 40% by weight of cocoa have been reduced from three percent to one percent by the issuance of Executive Order No. 83 (EO 83) dated March 15, 2002. The reduced duties took effect May 1, 2002.

PHILIPPINES, June 5, 2002 -- Tariffs for all forms of orange juice (other than frozen) have been reduced from seven percent to one percent by the issuance of Executive Order No. 83 (EO 83) dated March 15, 2002. The reduced duties took effect May 1, 2002.

CANADA, June 5, 2002 -- The Canadian Food Inspection Agency (CFIA) is implementing a control program to limit the spread of swede midge, an insect pest of Brassica plants such as broccoli and cauliflower, cabbage, and canola and which was found in nine counties in Ontario and one municipality in Québec. The CFIA is holding discussions with USDA officials to discuss the risk posed by swede midge, prevent its spread and minimize the impact on trade.

ROMANIA, June 7, 2002 -- Negotiations with Romania's veterinary Agency resulted in new Food Safety Inspection Service (FSIS) certificates for fresh and frozen poultry. The new certificates must accompany shipments that arrive in Romania on or after May 15, 2002. Conversely, the Government of Romania has also implemented export subsidies and domestic support payments.

POLAND, June 7, 2002 -- Cotton imports, 83 percent from Central Asia, continue to decline in Poland due to declining cotton product manufacturing. Nevertheless, the quality of what is produced is improving making Polish cotton products increasingly competitive as Poland prepares for EU accession which its government hopes to achieve by 2004. Prospects for U.S. cotton imports remain minimal.