Editorial - Repeal 'Country of Origin Labeling' Law

The World Trade Organization on May 18 denounced a U.S. law requiring labels on meat products to specify where the animal was raised and slaughtered. The law, the WTO said, discriminates against Canadian and Mexican suppliers.

The ruling on America's country-of-origin labeling, or COOL, law, first enacted in 2002, set off alarm in some quarters. Foes of U.S. free-trade pacts smelled doom, arguing both the food supply and consumer choice were at risk. Yet the decision also prompted an immediate push for repeal from Congress, an effort led in part by Rep. Tom Rooney, R-Fla.

Rooney, in a statement that likely summed up the sentiment of the House Agriculture Committee, which passed a COOL repeal with overwhelming bipartisan support Wednesday, said the mandate violated U.S. trade agreements — and if not ditched, it could ignite a "trade war" as Canada and Mexico would slap higher tariffs on U.S. products. "This bill is critical to avoiding a trade war that could devastate U.S. farmers and ranchers, hamper economic growth and damage agriculture and manufacturing industries across the country," Rooney said.

Some critics of the House measure argued that we should be concerned that an international body, unaccountable to U.S. lawmakers or taxpayers, can readily force a change in our policies.

Last month, the U.S. Department of Agriculture's chief economist reported that since COOL regulations were updated in 2009, compliance has cost U.S. producers, packers and retailers — of meats as well as fruits, vegetables and nuts — $2.6 billion, half of which was related to beef sales.

The industry, of course, does not want a mandate that drives up its costs and regulatory burden. But that's not why COOL should be repealed. As outlined in the USDA chief economist's report from last month, public health was not a factor for implementing COOL — advertising was and it didn't work.

"COOL is a retail labeling program and as such does not provide a basis for addressing food safety," the agency noted. "Existing research has not revealed that consumer demand for country of origin information is sufficient to lead to measurable increases in demand for labeled beef and pork in the marketplace. However, including COOL requirements causes the industry to incur costs." The report added, "Any increases in costs translate into losses for both consumers and producers relative to the situation without such requirements."  link