The United States has reportedly decided not to file an appeal from a World Trade Organization (WTO) ruling that its ban on Chinese poultry imports, imposed in 2004 upon fears of an avian flu outbreak, was illegal. According to a news source, this ends the trade dispute. While the legislative ban expired within five years, under current U.S. law, the U.S. Department of Agriculture cannot allow poultry imports unless the foreign country’s food safety procedures are deemed equivalent to those used in the United States. A 2009 appropriations bill included this provision despite lobbying by U.S. trade organizations against it. See FoodNavigator-USA.com, October 27, 2010. Meanwhile, WTO has apparently decided to open to the public the second hearing on a complaint filed by Canada and Mexico, challenging the U.S. promulgation of country-of-origin labeling for cattle and hog imports. The parties reportedly requested an open hearing, which will take place December…
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Mexican health officials have reportedly unveiled stringent guidelines that would prohibit the sale of processed or fried foods on school grounds. According to media sources, the regulations would ban soft drinks and other sugar-sweetened beverages along with more traditional fare such as meat tortas, tamarind candy and atole, unless they were reformulated to meet nutritional guidelines. The school vendors and cooperatives that often function in lieu of cafeterias would be limited to serving low-calorie food and beverages such as bottled water, low-fat milk and 100 percent fruit juices. Meanwhile, Secretary of Public Education Alonso Lujambio has also pledged to incentivize healthier fare at the food stalls outside schools at closing time. If approved by the Federal Regulatory Improvement Commission, the rules will take effect for 220,000 public and private schools in August 2010. See The Guardian, Secretaría de Salud Press Release and The Associated Press, May 27, 2010.
As anticipated, Canada reportedly renewed its request that the World Trade Organization (WTO) establish a panel to resolve a dispute over U.S. country-of-origin labeling (COOL) requirements. The request was accepted, and the panel is expected to issue its report sometime in the second half of 2010, according to a news source. The WTO can authorize those countries winning such disputes to adopt commercial sanctions against countries violating its rules. Canada and Mexico have both challenged COOL, which requires U.S. meat processors to handle and label imported products separately, claiming violations of international trade agreements. Canadian meat producers reportedly contend that the rules have caused many U.S. processors to simply exclude Canadian products, and U.S. Department of Agriculture figures purportedly show that U.S. imports of Canadian livestock were 34 percent lower in the first half of 2009 compared to the same period in 2008. Canada’s agriculture minister was quoted as saying, “We…
Shortly after Canada filed its challenge to U.S. country-of-origin labeling (COOL) requirements, Mexico apparently followed suit, asking the World Trade Organization (WTO) to establish a panel to undertake a dispute settlement process. Mexico’s agricultural authority reportedly contends that the rules may unfairly discriminate against the country’s meat industry by requiring U.S. meat processors to segregate imported meats. This has allegedly led some U.S. processors to stop buying meat from Mexico or Canada. The panel request is reportedly scheduled to be considered during an October 23, 2009, meeting of WTO’s Dispute Settlement Body. See Product Liability Law 360, October 12, 2009.
Canada’s government has reportedly asked the World Trade Organization (WTO) to establish a dispute settlement panel to hear its claims that U.S. country-of-origin labeling requirements for meat have unfairly reduced demand for Canadian products. U.S. Agriculture Secretary Tom Vilsack and Trade Representative Ron Kirk responded to the request by stating, “We regret that formal consultations have not been successful in resolving Canada’s concerns over country of origin labeling (COOL) required by the 2008 Farm Bill for certain agricultural products. We believe that our implementation of COOL provides information to consumers in a manner consistent with our World Trade Organization commitments.” Apparently, Canada was able to gain some concessions on the matter from the Bush administration, but regulations adopted after President Barack Obama (D) took office did not provide the flexibility Canadian producers were evidently seeking. Canada’s minister of international trade was quoted as saying, “The U.S. COOL requirements are so…
A North American Free Trade Agreement (NAFTA) tribunal has reportedly awarded $58 million in damages to Corn Products International’s Mexican affiliate after finding that Mexico imposed discriminatory taxes on beverages sweetened with high-fructose corn syrup (HFCS). The tribunal determined in January 2008 that Mexico had breached its NAFTA obligations to favor its domestic sugar industry by requiring a 20 percent tax on HFCS-sweetened beverages. According to a news source, the tax was also imposed in retaliation for U.S. curbs on surplus Mexican sugar imports in the 1990s, an anti-dumping practice declared illegal by the World Trade Organization. See FoodNavigator-USA.com, August 29, 2009.
Concerned that the United States does not plan to make any changes to its country-of-origin labeling (COOL) rules for meats, fresh produce and nuts, Canada has apparently decided to move forward with a complaint it originally filed in December 2008 with the World Trade Organization (WTO). According to Canada’s trade minister, “Recent instructions from the U.S. Secretary of Agriculture encouraging the U.S. industry to use very strict labeling practices have removed flexibility previously envisioned in the legislation and this affects the ability of our cattle and hog exporters to compete fairly in the U.S. market.” U.S. imports of Canadian cattle reportedly dropped 32 percent in the first two months of 2009 compared with the same period in 2008, and hog imports have fallen 40 percent. The reductions are apparently blamed, in part, on COOL requirements that U.S. plants segregate and separately label imported products. Canadian producers also claim that the…
