CEO DATELINE - Meat labeling law divides business, agriculture groups
CEO DATELINE - Meat labeling law divides business, agriculture groups
- May 27, 2015 |
-
Walt Williams
Associations rally both for and against bill that would end the program
| Want more news?
Consider joining CEO Update. Membership gives full access to the latest intelligence on association management, career advancement, compensation trends and networking events, as well as hundreds of listings for senior-level association jobs.
|
Most Americans probably don't pause to consider where their steaks and hamburgers come from, but that issue has split many groups representing agriculture and business interests.
Last week the World Trade Organization ruled that the U.S. Country of Origin Labeling program for meat products violates the North American Free Trade Agreement. The WTO action was the latest in a series of international trade rulings against the law, which requires retailers to label the origin of certain meat products http://bit.ly/1ciSxWw
The ruling came as a welcome death blow to the law for many groups that champion free trade. The U.S. Chamber of Commerce had urged Congress to repeal the law before Canada and Mexico retaliated against the U.S.
"Retaliatory tariffs against U.S. agricultural products and manufactured goods could cost tens of thousands of American jobs, not least because Canada and Mexico are by far our largest export markets," said U.S. Chamber Senior Vice President for International Policy John Murphy. "The immediate danger is that sourcing managers planning future purchases could shift to vendors in other jurisdictions in response to the threat of higher tariff costs. Once this happens, it could take years for companies to recover lost market share."
The North American Meat Institute also is seeking an end to the law, arguing that research has shown that labeling does not result in more consumers buying U.S.-raised meat.
"The U.S. made a promise to live up to its WTO obligations," NAMI CEO Barry Carpenter said. "We have not kept that promise and WTO panels have told us so four times. It's time we listen."
However, the law has a strong supporter in the U.S. Cattlemen's Association, whose members are U.S. ranchers who would benefit the most from more Americans buying U.S. meats.
"Opponents of COOL are encouraging Congress to limit consumer information and are exploiting a ruling by the WTO before the international trade process has been completed," USCA board President Danni Beer said. "Congress does not need to insert itself until statutory action is necessary."
The House Agriculture Committee passed legislation last week that would end the program, but the full House has yet to take a vote on the bill.
MORE CEO DATELINE