UPDATE 1-France to resume cattle exports halted due to lumpy skin disease

France's farm ministry said on Thursday that cattle exports halted earlier this month due to outbreaks of lumpy skin disease will resume from November 1, in an early lifting of the ban welcomed by the beef industry.

Lumpy skin disease is a virus spread by insects that affects cattle and buffalo, causing blisters and reducing milk production. It does not pose a risk to humans but often leads to trade restrictions and severe economic losses. France imposed the ban on cattle exports in mid-October as it tried to contain the highly-contagious virus sweeping through farms in the country for the first time. The ban was valid until November 4.

Since October 18 no new outbreaks of lumpy skin disease have been declared outside restricted areas, the ministry said in a statement. The beef industry has blamed the ban for causing major disruption to the market.

There had been 94 outbreaks of lumpy skin disease in France by October 27, and about 2,600 animals had to be culled, the ministry said. French beef producers union FNB welcomed the move to lift the ban.

"This early reopening of exports is a victory for cattle farmers," FNB Chairman Patrick Benezit said in a statement, calling for a return of pre-lockdown prices.