News Room

FMI Argues USDA COOL Rule Increases Burdens on Food Retailers and Consumers

March 12, 2013
Proposed Rule Confuses Retail Meat Case
ARLINGTON VA - March 12, 2013 – Food Marketing Institute (FMI) Regulatory Counsel Erik Lieberman made the following statement today on the U.S. Department of Agriculture (USDA) proposed rule that further expands the record-keeping burden and scope of labeling required under the Country of Origin Labeling (COOL) program:

“Food retailers are already 97 percent compliant under COOL, and have demonstrated their commitment to following the law for years. The USDA’s revised, proposed rule on COOL adds additional paperwork burdens to a needlessly onerous regulation that is already costing retailers hundreds of millions of dollars each year, resulting in higher food prices. 

“The USDA’s proposal would impose significant, additional costs, yet it does not bring us into compliance with the World Trade Organization’s ruling, and in fact, it erects new trade barriers that will set the stage for retaliatory tariffs. If tariffs are imposed by our most important trading partners, we will inevitably witness job losses and price increases. 

“Rather than providing regulatory relief to lower consumer costs and reduce the barriers COOL poses to trade, the proposed rule makes it even more difficult for retailers to comply and consumers to understand. Indeed, USDA’s proposal creates a series of new and confusing labels.

 “Supermarkets have been supplying the country-of-origin information to consumers for years.  This proposed rule necessitates the need for legislative changes to bring the law into compliance with our trade commitments in a way that works for consumers and the entire supply chain.  

“FMI stands ready to work with Congress to reform COOL to create a system which provides consumers with information they want on the origin of products while not imposing unnecessary paperwork burdens on food retailers."

Food Marketing Institute proudly advocates on behalf of the food retail industry. FMI’s U.S. members operate nearly 40,000 retail food stores and 25,000 pharmacies, representing a combined annual sales volume of almost $770 billion. Through programs in public affairs, food safety, research, education and industry relations, FMI offers resources and provides valuable benefits to more than 1,225 food retail and wholesale member companies in the United States and around the world. FMI membership covers the spectrum of diverse venues where food is sold, including single owner grocery stores, large multi-store supermarket chains and mixed retail stores. For more information, visit www.fmi.org and for information regarding the FMI foundation, visit www.fmifoundation.org

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