COOL regulations face uncertain future south of border

Package labels on fresh cuts of meat that identify where animals were born, raised and slaughtered face an uncertain future after successful trade challenges from Canada and Mexico.

Agriculture secretary Tom Vilsack said the United States is running out of options for the meat labels, which are required under a 2008 law...

The World Trade Organization (WTO) has agreed more than once with Canada and Mexico that the labels on steaks, ribs and other cuts of fresh meat give the U.S. livestock industry an unfair advantage.

In its most recent ruling Oct. 20, the WTO said the labeling requirement forced meatpackers to segregate and keep detailed records on imported livestock, giving them an incentive to favour U.S. livestock...

A spokesperson for U.S. Trade representative Michael Froman said the government has not decided whether it will appeal the latest WTO decision...

It’s unclear what lawmakers will do. But the new Republican Congress is expected to be friendly to the meat industry, which has called for repeal of the COOL law, saying it is burdensome. Meatpackers have sued the government to block it, so far unsuccessfully...

After the ruling was issued, more than 100 meat, agriculture and food industry groups concerned about sanctions down the road called on Congress to immediately repeal parts of the rule.

“Given the negative impact on the U.S. manufacturing and agriculture economies, we respectfully submit that it would be intolerable for the United States to maintain, even briefly, a rule that has been deemed non-compliant by the WTO,” the industry groups wrote.

Canada is also calling for congressional action.

“The onus is now on the United States to put forward a solution acceptable to all parties that removes the unfair segregation and discrimination against Canadian cattle and hogs,” Canadian Agriculture Minister Gerry Ritz said in a statement to The Associated Press. He said Canada “will take whatever steps may be necessary, including retaliation, to achieve a fair resolution.”

This has been excerpted from 21 November 2014 article by The Associated Press.