The proposed country-of-origin labeling (COOL) rule by USDA’s Agricultural Marketing Service (AMS) requires that the origin designation include information about where each of the production steps (born, raised and slaughtered) occurred.  The proposal would eliminate the allowance for commingling of muscle cuts.

P. Scott Shearer, Vice President

March 11, 2013

2 Min Read
Proposed COOL Rule to Increase Labeling Requirements

The proposed country-of-origin labeling (COOL) rule by USDA’s Agricultural Marketing Service (AMS) requires that the origin designation include information about where each of the production steps (born, raised and slaughtered) occurred.  The proposal would eliminate the allowance for commingling of muscle cuts.

Currently, if an animal is born, raised, and slaughtered in the United States, it is labeled “Product of the U.S.”  The new rule would require the label to read “Born, Raised and Slaughtered in the U.S.”  Secretary of Agriculture Tom Vilsack said, “USDA expects that these changes will improve the overall operation of the program and also bring the current mandatory COOL requirements into compliance with U.S. international trade obligations.”

Reaction to the proposed rule from various groups was swift. The Canadian government said, “The proposed changes will increase the discrimination against exports of cattle and hogs from Canada and increase damages to the Canadian industry.  Our government will consider all options, including retaliatory measures, should the United States not achieve compliance by May 23, 2013 as mandated by the WTO.”

 

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The American Meat Institute (AMI) said, “Only the government could take a costly, cumbersome rule like mandatory country-of-origin labeling and make it worse even as it claims to fix it.”

The National Farmers Union, a proponent of COOL, said, “The proposed rule changes released by OMB are an excellent response to decisions by the World Trade Organization that called for changes to our COOL implementation.  By requiring further clarity in labels and stronger recordkeeping, the set of rules released today are a win-win for farmers, ranchers and consumers.”

In June 2012, the Appellate Body of the World Trade Organization (WTO) affirmed an earlier WTO panel decision finding that the United States’ COOL requirements for certain meat commodities discriminated against Canadian and Mexican livestock imports and thus were inconsistent with the WTO Agreement on Technical Barriers to Trade.  The United States has until May 23 to come into compliance with the WTO.  The proposed rule will be published today and is open for 30 days for public comments.

 

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About the Author(s)

P. Scott Shearer

Vice President, Bockorny Group, Inc.

Scott Shearer is vice president of the Bockorny Group Inc., a leading bipartisan government affairs consulting firm in Washington, D.C. With more than 30 years experience in government and corporate relations in state and national arenas, he is recognized as a leader in agricultural trade issues, having served as co-chairman of the Agricultural Coalition for U.S.-China Trade and co-chairman of the Agricultural Coalition for Trade Promotion Authority. Scott was instrumental in the passage of China Permanent Normal Trade Relations and TPA. He is past chairman of the USDA-USTR Agricultural Technical Advisory Committee for Trade in Animals and Animal Products and was a member of the USAID Food Security Advisory Committee. Prior to joining the Bockorny Group, Scott served as director of national relations for Farmland Industries Inc., as well as USDA’s Deputy Assistant Secretary for Congressional Affairs (1993-96), serving as liaison for the Secretary of Agriculture and the USDA to Congress.

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