December 1, 2008 |
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Canada Challenges COOL in WTO Complaint |
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| Contact: Jon Wooster 831/385-5316 or Jess Peterson 202/870-3867 - Email: usca@uscattlemen.org | |
| USCA (December 1, 2008) - On December 1, 2008 the Canadian government filed a trade complaint against the United States at the World Trade Organization (WTO) in Geneva over the U.S. country of origin labeling (COOL) law. Canadian Trade Minister Stockwell Day issued a written statement announcing the filing saying, "The country of origin legislation is creating undue trade restrictions to the detriment of Canadian exporters."
The complaint alleges that COOL will impose unnecessary costs on meat packers using Canadian animals and that the law could lead to more extensive and restrictive labeling requirements in other countries. COOL was implemented in the U.S. on September 30, 2008. The filing triggers a period of consultations between the two governments during which a resolution to the dispute is sought. If the two governments cannot resolve the dispute, a panel of WTO judges will be convened to consider the case and issue a ruling. Typically, a WTO case takes about 18 months or more to resolve. If the U.S. loses, it will be forced to either alter the language of the COOL law significantly or scrap the law entirely in the face of retaliatory tariffs. The following statements can be attributed to USCA President Jon Wooster. "The U.S. Cattlemen’s Association has received word that Canada has filed a trade complaint against the U.S. over COOL with the WTO. This appears to be a premature move by the Canadian government since the Final Rule for COOL implementation has not yet been published. "The U.S. Congress very carefully included a ‘mixed origin’ category in the COOL law to accommodate international trade agreements. It is puzzling that the Canadian government would seek to challenge the law before a Final Rule has been made public, particularly when the U.S. Congress worked to accommodate international trading partners. "The USCA board and membership will convene on December 5 in Las Vegas, NV for the organization’s annual meeting. This matter will be a high priority for discussion and strategic planning. "Producers can rest assured that USCA will be reviewing the case as more information becomes available and that we will be consulting with trade law experts on the matter to better understand a course of action ensuring a vigorous defense of U.S. cattle producers. |
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