BRITISH lamb could be on sale in America early next year.

Farming Minister George Eustice said proposals by the US Department of Agriculture (USDA) could generate an extra £35 million for the British economy.

Speaking at the National Sheep Association (NSA) show in Malvern on Wednesday, he said the USDA had published proposals to consult on relaxing the current import restrictions on British lamb.

America introduced its ban on red meat imports in the 1990s amid fears over BSE infecting the human food chain.

The breakthrough to relax the restrictions follows a 1,000-page dossier which was submitted to the USDA earlier this year detailing the safety and quality of British beef and lamb ahead of trade talks with US Secretary of Agriculture Tom Vilsack in Washington in April.

Mr Eustice said: "The US decision to press ahead with proposals to lift export restrictions on British lamb is great news for our farmers, who are one step closer to gaining access to the lucrative American market, worth an estimated £35 million a year.

"Our world-leading food and drink industry is a key part of our nation's economic success and, in addition to forging good trade deals with our European neighbours, we want to secure more export opportunities in the States as well as with our close friends in the Commonwealth and other countries around the world."

Defra is now co-ordinating UK farming industry comment for the 60-day consultation and liaising with US trade associations to gain backing for proposals.

Phil Stocker, NSA chief executive, said: "Increasing the number of export destinations for British sheep meat is vital for our industry, ensuring there is demand for our quality product in as many markets as possible.

"It is very encouraging that the USA is interested in opening its doors.

"Lamb sales in the USA have dropped over the years, as a result of a falling domestic production base, and NSA would like to see British lamb exported and promoted to boost consumption. It could be a real opportunity for our sector."

Charles Sercombe, NFU livestock board chairman, said: "Reopening the US beef and lamb market to UK imports would be a positive move and an important confidence-building measure for the British livestock sector. The US is potentially a huge and affluent market that has strong links to the UK as we share history and language."

Helen Davies, organiser of the NSA Sheep Event, said: "It will be a huge boost if we get the trade deal sorted. We need all the market we can get. It is important that we get better competition. We are very proud of our product and we would be very happy to send it over the water."