Wednesday, September 11, 2013

Court won’t stall M-COOL


The U.S. District Court in Washington has turned down a bid by Canadians, Mexicans and a significant percentage of the U.S. meat industry to stall the Obama administration’s new regulations for mandatory Country of Origin Labeling (M-COOL).

Both the Canadian Cattlemen’s Association and the Canadian Pork Council issued news releases to say they are disappointed in the court decision and that they are likely to file an appeal.

The World Trade Organization has ruled that the existing M-COOL regulations are an unfair trade barrier. The Canadian Cattlemen’s Association figures it costs Canadian beef producers more than $600 million a year and the Canadian Pork Council claims it costs Canadian hog producers about $1 billion a year.

The World Trade Organization gave the Obama administration until late May to bring its regulations into compliance. The administration filed its proposed response May 23 and Canadians, Mexicans and U.S. meat packers say it’s even worse.

That’s why they joined to ask the court to delay implementation of the new regulations and why they will be filing an appeal.

Meanwhile Canada is asking the World Trade Organization to set up a committee to decide whether the U.S. proposals are acceptable.

The U.S. used its right this week to block the formation of that committee for two weeks. When Mexico and Canada ask again in two weeks, the U.S. will have no right to block the renewed request.

But if a committee is set up, it will likely take until late 2014 to issue a ruling that will force U.S. compliance.

The coalition that is taking the issue to court in Washington includes the American Association of Meat Processors, American Meat Institute (AMI), Canadian Pork Council, National Cattlemen’s Beef Association, National Pork Producers Council, North American Meat Association, Southwest Meat Association, and Mexico’s National Confederation of Livestock Organizations.

The Americans certainly are adept at turning allies into enemies.