Tainan is well-known for its specialty beef soup, which attracts foodies from all over Taiwan. But many consumers and industry professionals are concerned that dropping tariffs on New Zealand milk will cause the price of this much-loved dish to go up.
Tainan’s beef soup is distinctive for the freshness of its main ingredient; the so-called “warm beef” which comes from cattle slaughtered the very same day of serving, making it especially soft and flavorful without the fattiness of wagyu. But, with the ANZTEC trade agreement taking full effect this year, shopkeepers and customers alike are worried the cost of beef will rise.
The ANZTEC, or Agreement Between New Zealand and the Separate Customs Territory of Taiwan, Penghu, Kinmen and Matsu on Economic Cooperation, eliminates tariffs on New Zealand milk starting in 2025. The Agriculture Ministry expects to reduce domestic production from 470,000 tons of milk per year to 430,000 tons. This means 95% of the beef used for beef soup will come from dairy cows, which may impact the supply of beef cattle.
The price of warm beef has already risen from 140 to 170 yuan per kilogram within the past two years. Industry experts hope that the government will encourage dairy farmers to cooperate with beef cattle producers to ensure a stable supply of meat without compromising quality, allowing consumers to continue enjoying beef soup at a price that won’t have them saying “Holy cow!”