Study Confirms Mandatory Country-of-Origin Labeling Will Impose Additional Burden

Implementation of the mandatory country of origin labeling law will be burdensome for U.S. cattlemen according to a report released today by the U.S. General Accounting Office (GAO). While disputing initial costs estimated by the USDA, the GAO concluded “Any procedures AMS (USDA’s Agricultural Marketing Service) puts in place to implement country-of-origin labeling will inevitably impose an additional burden on the U.S. meat, fish and shellfish industries.”

“This review by GAO confirms that country-of-origin labeling won’t be free,” says National Cattlemen’s Beef Association (NCBA) Director of Legislative Affairs Bryan Dierlam. “Cattle producers and industry groups agree that there is a better way to inform consumers about the origin of their beef than this costly burdensome law. That’s why NCBA has long advocated a different approach to labeling—one that promotes U.S. beef, not burdens U.S. producers.” 

Proponents for the mandatory program argue that existing origin-identity programs such as the school meals program, Subsistence Prime Vendor Program, National Organic Program, Process Verified Program, and breed claim and grading programs may be used as models for country-of-origin labeling.  GAO disagrees, however, saying “For meat, fish, and shellfish, we do not believe the existing programs will be particularly useful. This is largely due to the law’s unique definitions of a U.S. product.”

NCBA concurs and reiterates that much of the language contained in the mandatory labeling law is problematic. “Years of meetings, Congressional hearings, the House Farm Bill mark-up, USDA reports, two GAO reports, 12 USDA listening sessions, the USDA Draft Voluntary Guidelines, and now, another GAO report all saying mandatory labeling will come with a cost.

Is anyone listening?,” Dierlam asks.

“The problem begins with the law,” explains Dierlam.  “As GAO says ‘the new law will present challenges to USDA and industry.’”