Farmers are braced for a new ban on live cattle exports to the Continent after British-reared calves sent to the Netherlands were found to have bovine TB.

Furious Dutch farmers have imposed their own commercial ban after 12 calves imported to veal production farms in March tested positive for the disease. The country has been free of the disease since 1999 and the Dutch Agriculture Ministry is said to be appalled at the breach of biosecurity.

Unofficially, Belgian farmers are also refusing to take British calves and adult cattle. Exporters fear that a complete ban on the trade of live cattle throughout the EU could be in force by next week.

Kim Haywood, the director of the National Beef Association, said: “People are very worried about possible loss of exports because we are just approaching the main three-month season for export of calves for veal production. Following the BSE crisis, the market only started at the end of 2006 but since then we have slowly been recovering markets. It could be a catastrophe for the industry. If this issue builds momentum in Europe, the consequences could be dire. This is all down to the Government’s inability to control bovine TB.”

The National Farmers’ Union, working with British officials in Brussels, is pressing for any bans to remain voluntary. Britain is offering safeguards on future trade with the Netherlands and Belgium to ensure that exports can continue. There is concern that if veterinary experts on the EU animal health committee impose a ban on British calves and cattle, it could take months for it to be lifted.

Calves were sent to the Netherlands to be fattened for veal from a dairy farm in March. The farm, which has not been identified, was clear of bovine TB at the time. Under trade rules there is no requirement for calves aged up to 42 days to be tested to show they are free of the disease before export. During a routine test for TB at the farm in May at least one infected cow was found.

As is normal in disease outbreaks, all animals that had moved from the farm in the previous 60 days were traced and tested. Government vets learnt then that a number had been sent to the Netherlands.

The Department for Environment, Food and Rural Affairs (Defra) informed the Dutch authorities about the possibility of TB infection on May 22. The animals have since been traced and 27 Dutch farms are under restriction pending testing and results.

The Dutch Farmers’ Union is angry that it was informed about the outbreak only this week. Its members are boycotting British cattle and calves.

The incident is particularly embarrassing for the Government and Hilary Benn, the Rural Affairs Secretary, who rejected last week any cull of badgers to control the disease.

The NFU believes that the Government’s stance is in breach of rules that require countries to adopt an EU eradication plan for bovine TB. The disease is most widespread in Britain and the Irish Republic but neither has submitted a formal plan to Brussels.

A Defra spokeswoman confirmed last night that the Chief Veterinary Officer had been told of the infections by Dutch veterinary surgeons. She added that all exports had been in compliance with EU trade rules.

Beef exports have been patchy since the BSE crisis. Britain could export 500,000 calves a year for veal production. Last year only 64,000 were exported, in a market worth £4.5 million; 37,000 went to the Netherlands.

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