The World Trade Organization has decided it will establish a dispute settlement panel to rule on the legality of the U.S. Country-of-Origin Labeling law (COOL). The WTO decision comes after Canada and Mexico filed challenges, saying the U.S. law is hurting their meat exports to the United States. The two countries say the rules are stifling their livestock industries because U.S. meatpackers are choosing to refrain from buying their animals rather than go through the trouble of sorting them and labeling product in accordance with the rules.
"COOL is having a negative impact on Canadian farmers and livestock producers," said Stockwell Day, Canada's minister of international trade. "We continue to stand up for the rights of Canadian producers during the dispute settlement process and make the case that the U.S. should lift these onerous requirements."
The WTO dispute panel will determine whether COOL rules comply with U.S. WTO trade obligations. A report is not expected until next summer or early fall.
In other WTO action, a panel will investigate the decade-long European Union ban on imports of U.S. poultry. The panel will look at EU restrictions on poultry processed with the anti-bacterial chemicals chlorine dioxide, acidified sodium chloride, trisodium phosphate and peroxyacids.
The WTO can authorize sanctions against nations that don't follow its rulings but cannot force countries to comply. A ruling is expected within nine months. The 27-country European bloc ban has been in place since 1997.
Source: California Farmer
Country of Origin Labeling is a labeling law that requires retailers, such as full-line grocery stores, supermarkets, and club warehouse stores, notify their customers with information regarding the source of certain foods. Food products, (covered commodities) contained in the law include muscle cut and ground meats: beef, veal, pork, lamb, goat, and chicken; wild and farm-raised fish and shellfish; fresh and frozen fruits and vegetables; peanuts, pecans, and macadamia nuts; and ginseng. Regulations for fish and shellfish covered commodities (7 CFR Part 60) became effective in 2005. The final rule for all covered commodities (7 CFR Part 60 and Part 65) went into effect on March 16, 2009.
More info: COOL
