The United States has lost its appeal against a World Trade Organization ruling ordering it to bring its meat labeling laws into line with global trade rules, according to a government official familiar with the dispute.
In 2011, Canada and Mexico won a WTO ruling that said the U.S. country-of-origin labeling (COOL) rules illegally discriminated against imported meat.
The United States lost a subsequent appeal and was instructed to comply with international rules. But last October the WTO said it had not done so, paving the way for Canada and Mexico to demand the right to impose trade sanctions.
The United States then appealed that decision in November, but the government official, speaking on condition of anonymity, said the WTO had ruled in favor of Canada and Mexico.
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House ag chairman to float bill repealing COOL
House Agriculture Committee Chairman K. Michael Conaway (R-TX) issued the following statement upon the WTO’s announcement.
“Once again, the WTO has found COOL to be non-compliant – a decision we fully expected. As retaliation by Canada and Mexico becomes a reality, it is more important now than ever to act quickly to avoid a protracted trade war with our two largest trade partners. I have asked my colleagues on the Agriculture Committee to weigh in on resolving this issue once and for all during a business meeting this Wednesday in a targeted effort to remove ongoing uncertainty and to provide stability.”
Meatingplace.com reports Conaway plans to submit a bill seeking to repeal meat- and poultry-related elements in U.S. country-of-origin labeling (COOL) law, which requires U.S., Canadian and Mexican livestock to be segregated from birth and identified on meat labeling. Conaway’s office confirmed to Meatingplace that the bill would be filed by the end of the day today.
Other Industry Response:
“We have long said that COOL is not just burdensome and costly to cattle producers, it is generally ignored by consumers and violates our international trade obligations,” said Ellis. “Now that the WTO has ruled for a fourth time that this rule discriminates against Canadian and Mexican livestock, the next step is retaliation by Canada and Mexico. Retaliation will irreparably harm our economy and our relationships with our top trading partners and send a signal to the world that the U.S. doesn't play by the rules. It is long past time that Congress repeal this broken regulation.”
However, House Agriculture Committee Ranking Member Collin Peterson today made the following statement after the World Trade Organization ruled against country of origin labeling.
“I am disappointed in today’s ruling and will oppose efforts to fully repeal COOL. There are still several steps in the WTO process that must be met before any retaliation could go into effect so we should take the time to thoughtfully consider how to move forward.”
Source: Reuters, National Cattlemen's Beef Association, and House Agriculture Committee
