Dairy COOL Act introduced to Senate
Heather Thorstensen
Date Modified: 11/04/2009 2:53 PM
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Agri News staff writer
WASHINGTON -- Bob Lefebvre, Minnesota Milk Producers Association's executive director, said his organization is closely watching a bill U.S. Senator Al Franken helped introduce to the Senate Oct. 14 that would expand country of origin labeling to dairy products.
He's confident Franken (D-Minn.) wants to help dairy producers. He agrees consumers should know where their milk comes from, as long as the legislation doesn't inhibit exports. The challenge will be potential ramifications if other countries perceive the legislation negatively.
"I'm sure that Senator Franken is aware of that potential, too. It's just one thing we always have to be aware of," Lefebvre said.
Franken's Dairy COOL Act, S. 1783, was co-sponsored by Sen. Russ Feingold (D-Wis.), Sen. Sherrod Brown (D-Ohio) and Sen. Amy Klobuchar (D-Minn.).
Currently, the COOL law requires some retailers, such as full-line grocery stores, to label the source of muscle cuts and ground meat of beef, veal, pork, lamb, goat, and chicken; fish and shell-fish; produce; certain nuts and ginseng.
The Dairy COOL Act would add labeling on milk, cheese, yogurt, ice cream and butter.
"This legislation will help American dairy farmers stand out in a crowded marketplace. They need every tool at their disposal to weather the current dairy crisis. And this isn't just about helping our farmers. When Minnesota families fill their shopping carts, they have the right to know what country their milk and cheese came from," said Franken.
The National Cattlemen's Beef Association is concerned COOL is hurting trading relationships. Candadian government officials announced Oct. 7 they are launching a World Trade Organization dispute settlement over the law. They said it negatively affects their cattle and hog producers' ability to compete fairly in the U.S. market.
According to Franken spokeswoman Jess McIntosh, the Dairy COOL Act shouldn't affect trade because it complies with all World Trade Organization rules.
"Under the Dairy COOL Act, imports are treated no less favorably than domestic products...Plus, most U.S. trading partners impose their own country of origin labeling requirements for imported meats, produce and other foods," McIntosh said.
She added the Act is not expected to affect dairy producers' cost of doing business.
"The Dairy COOL Act does not cost the farmer anything at all," she said. "The only increase in cost is the extra ink used in labeling and a bit of record keeping. According to the International Agricultural Trade and Policy Center, the per-pound cost of country of origin labeling is between 3/100ths and 8/100ths of a cent per pound. The report also found that producers also stand to benefit from food labeling, since an increased willingness to pay on the part of consumers often translates into higher prices and increased returns to producers."
Minnesota Farm Bureau and Minnesota Farmers Union is backing the bill. President Doug Peterson said the USDA only inspects about 2 percent of imported food.
"This is about nutritional choices, and MFU strongly believes that our farmers produce the safest and healthiest products in the world," he said.
Lee Maassen, a board member of the Iowa State Dairy Association, vice president of the Western Iowa Dairy Alliance and a dairy farmer, thinks the bill could help farmers financially.
"If we allocate, or brand, those products seperately, I think it would be good," he said.
Others, such as the International Dairy Foods Association -- which represents the country's dairy's manufacturing and marketing industries plus their suppliers -- have spoken out against the bill.
"Imposing additional labeling mandates on dairy products, which are not imposed on other processed foods, will reduce demand for dairy products and encourage food manufacturers to substitute vegetable-based or other protein ingredients instead of dairy ingredients," said Jerry Slominski, IDFA vice president of legislative affairs and economic policy.