Oh boy—even my own people do not always understand what the whole thing is about. I will try my best.
In order to get into Japan, each shipment must meet a minimum price, which was established under the WTO Uruguay Round. Before the WTO agreement, it was fluctuating every day based on the actual prices in Japan on hogs, so it was a hog price stabilization system and they were taking the average.
But now it is transformed into an actual minimum price, so if you want to sell your loins or tenderloins to Japan, you have to meet that minimum price. Where we are at a disadvantage is that.... And when you are at that price, you pay a duty of 4.3%. If you're coming in below that price, then you pay the difference between the actual selling price and that gate price, plus the 4.3%. But count on the Japanese ingenuity. Nobody pays that difference, okay, and it creates a big issue in Japan right now.