Friday, November 20, 2009

WTO Agrees to Rule on Legality of U.S. Food-Labeling Policies

(Bloomberg – Jennifer M. Freedman)

World Trade Organization judges agreed to decide whether U.S. country-of-origin labeling provisions violate global trade rules and unfairly harm agricultural trade, as Canada and Mexico allege. The U.S. requires food processors to identify the countries where cattle, hogs and some fresh produce originate. Canada and Mexico say the provisions impose unfair and unnecessary costs on their exports, reducing their competitiveness. […]

The Country of Origin Labeling Legislation, or COOL, has caused many U.S. pork-processing companies to stop buying animals born in Canada and has cost the country’s pork industry millions of dollars, according to the Canadian Pork Council, a federation of nine provincial pork industry associations. COOL has cost Canadian cattle producers more than C$250 million in lower beef prices and higher expenses, the Canadian Cattlemen’s Association says. Read more here.