FMI Praises House Agriculture Committee for Passing Voluntary Solution To Costly, Convoluted Mandatory Country of Origin Labeling

WASHINGTON, DC — July 22, 2004 — “The House Agriculture Committee today reported a bipartisan bill to inform consumers about the country of origin of hundreds for meat and produce items sooner, cheaper and more efficiently than the mandatory labeling law,” said Tim Hammonds, president and CEO of the Food Marketing Institute (FMI), after the markup of the Food Promotion Act of 2004, which was co-authored by Committee Chairman Bob Goodlatte (R-VA) and ranking member Charles Stenholm (D-TX).

“This vote,” Hammonds said, “advances a voluntary labeling solution to one of the costliest and most convoluted labeling laws ever enacted. Mandatory labeling will cost consumers billions of dollars, according to the U.S. Department of Agriculture. It could disrupt trade with nations such as Canada and Mexico that view such labeling as protectionist trade barriers.

“By contrast, voluntary labeling:

• “Builds on existing state, regional and U.S. brand labeling programs that clearly benefit consumers, producers and retailers.

• “Provides the flexibility to use a variety of labeling solutions, such as the stickers, packages and twist-ties already on over 75 percent of all produce items.

• “Allows labeling to be performed in the supply chain where it is most cost effective to do so.

• “Can be implemented sooner than the September 2006 deadline for mandatory labeling of meat and produce.”

"Country of origin and U.S. brand labeling are emerging trends independent of any legislation,” Hammonds said. “Retailers frequently feature ethnic foods and the fruits, vegetables and meat of local producers. A voluntary labeling law will speed up this natural course without fueling food inflation.”