A second cow, this one born in the US, has been found to have mad cow disease (BSE) in the US:

June 24 (Bloomberg) — The U.S. confirmed its second case of mad-cow disease after a U.K. lab found traces of the illness in an animal that was cleared by earlier government tests. The finding may delay attempts to revive $2.5 billion of U.S. beef exports and force a review of screening methods.

The lab in Weybridge, England, found evidence of the brain- wasting livestock disease in a tissue sample taken in November from an animal that never entered the food supply, the U.S. Department of Agriculture said today in an e-mailed statement. The sample was sent to the U.K. after a series of tests using three different procedures provided contradictory results.

As a Canadian who lives in ranching country, surrounded by livestock producers who have been economically devastated since the first case of mad cow disease was discovered in May, 2003, (in-depth coverage here), followed by the discovery of the first mad cow infected animal in the US that was of Canadian origin, I suggest you brace yourselves. This could have a huge impact on your economy as well.

“This animal was blocked from entering the food supply because of the firewalls we have in place,” Johanns said in the statement. “Americans have every reason to continue to be confident in the safety of our beef.”

The test results come as the Japanese government considers whether to ease a ban on U.S. beef imposed in December 2003, when the first U.S. case of mad-cow disease was found. Japan, once the biggest importer of U.S. beef, bought $1.7 billion of the meat in 2003. South Korea, which bought $700 million that year, also halted imports along with dozens of other nations.

The statement asserting the fact that the animal did not enter the food supply will do little to calm the fears of beef buyers. Trust me. When you live in Alberta – a place ripe with “I heart Alberta Beef” bumperstickers and beef sales to consumers drop dramatically, emotions trump facts.

Unfortunately, for my farming neighbours, this second US finding along with a current US court case may delay the reopening of the US border to live Canadian cattle as well.

Economists are forcasting the possible international reaction:

Taiwan, the sixth-largest buyer of U.S. beef, agreed to resume purchases in March and said it would temporarily halt imports if a second case of mad-cow disease was found, USDA spokesman Ed Loyd said June 20. Taiwan bought $76 million in U.S. beef in 2003. Mexico, the second-largest buyer of U.S. beef, is expected to remain open, Loyd said. Mexico bought $900 million in beef and beef products in 2003.

But, the USDA is facing increased scrutiny following the conflicting test results in the US that had to be resolved by a UK testing lab. There will now be increased pressure on the USDA to be accountable for its procedures and, from what I’ve seen reported about the agency’s behaviour since this all began, that criticism may be well-deserved. If a poll were done on the credibility of the USDA on this issue, I would predict that many Americans would be quite skeptical of its performance.

So, prepare for a jolt on many fronts. What happened in the UK is not that distant a memory, with herds being burned and numerous human deaths as well. It’s not a time to panic, but this news will cause a shift in eating and buying habits and may well be the end of many ranchers livelihoods. Having lived through that reality here, I can tell you it is a very sad state of affairs.