The World Trade Organization has ruled against some aspects of the United States Country of Origin Labeling regulations according to sources in a Reuters News story.
The interim ruling, expected to be publically announced later this year, is a victory for Canada and Mexico, who sued the United States at the WTO in 2009, saying COOL damages meat trade. However the details of the ruling are not yet know so the extent of the victory is not clear.
Reuters says the confidential interim report was circulated to the U.S., Canada and Mexico on May 20.
Canada has argued that COOL imposes unfair and unnecessary costs on integrated North American supply chains, reducing competitiveness in both Canada and the U.S. and creating confusion and uncertainty for livestock industries on both sides of the border.
In early reaction, the U.S. National Cattlemen’s Beef Association said it accepts the WTO ruling. NCBA was never in favour of COOL, saying it reduces the value of feeder cattle no matter where they come from.
But Ranchers-Cattlemen Action Legal Fund – United Stockgrowers of America, or RCALF USA, condemned the ruling, saying it limits American consumers’ ability to select U.S. beef from growing volumes of imported beef.