Dive Brief:
- The World Trade Organization has ruled in favor of Canada and Mexico in their dispute with the United States over country-of-origin labels on meat. It's the second such loss by the U.S. over the so-called COOL regulations.
- At issue are U.S. rules that require packaged meat disclose where an animal was born, raised, and slaughtered. The WTO ruled two years ago that such labels discriminated against Canadian and Mexican importers.
- Canada is poised to retaliate if the U.S. does not comply. That nation has prepared a long list of U.S. foods it says will be hit with import tariffs if the dispute is not resolved. Mexico has suggested it will retaliate as well.
Dive Insight:
So, the only question here really is if the USDA will admit its error and back down. The regulatory body stands alone here: The beef industry, the pork industry, Canada, Mexico, the WTO, and much of the North American food industry have all called for a fix.