The Canadian Cattlemen’s Association (CCA) is celebrating the recent World Trade Organization (WTO) decision ruling in favour of Canada and Mexico’s complaint against the United States Country of Origin Labelling (COOL).
A CCA release states this supports its position that COOL discriminates against and reduces the competitiveness of live cattle and hogs imported into the U.S. from Canada.
The release also indicates that since coming into effect in 2008, the labelling has increased costs for companies in the U.S. to import Canadian livestock, and that the CCA is “extremely pleased” to see the WTO confirm COOL has had this effect.
In the South Cariboo, mixed reactions are being expressed on the related potential benefits, or lack thereof, for local livestock producers.
South Cariboo Regional Cattlemen’s Association president Tal Pincott says it’s a “very positive” result, but he doesn’t think grassroots producers will see that benefit initially for any short-term gain.
“My opinion is producers in the South Cariboo aren’t going to start noticing a great big difference in how much we are getting for our cattle, but in the future, it’s going to just make us more competitive and will keep costs down.”
Five years down the road, local ranchers aren’t likely to attribute a direct cost savings from this action, he adds, but they won’t see their cattle being “docked” because they are Canadian-raised.
“It’s going to secure our market for the future.”
However, local rancher Gus Horn has some concerns about a WTO ruling that leaves a lack of transparency to the consumer, no matter where they happen to live.
“It’s every consumer’s right to know where their food comes from, so I can’t see where the CCA is coming from to remove that information.”
At this point, Horn adds he is unsure of any potential for long-term benefits to local producers.
“It may lead to where there’s a trickle effect to the cow/calf producer in Canada, one would have to see.”
Pincott, who is also a British Columbia Cattlemen’s Association director and a Forest Grove area rancher, explains that while he agrees that is going to be the “flip side of the coin” on the issue, this is his own personal opinion not speaking for either association.
“We are trying to label Canadian beef so we know where it is, but [the issue is] a double-edged sword. You could talk to 100 ranchers and 50 would be one way, and 50 another.”
He adds cattlemen are also supposed to be trying to work with American buyers and “don’t want to lose them” due to competitiveness issues.
Pincott adds he does believe the advantages of the ruling outweigh the drawbacks.
In the release, the CCA points out the challenge remains for obtaining a change in U.S. legislation, and the neighbouring country may disregard the WTO judgment.
If that happens, it states the CCA will work with the Canadian government through the process to appeal that and, if necessary, explore options to retaliate.
