A project of the
Organization for Competitive Markets
 
Date: May 20, 2003
FOR IMMEDIATE RELEASE
 
Contact: Steve Cady: 402.792.0041

COCM says Canada Mad Cow Case Affirms
Need for Labeling to Preserve Consumer Confidence

Lincoln, NE ~ Canadian animal health officials confirmed during a press conference today that a cow in Alberta has been positively identified as infected with Bovine Spongiform Encepalopathy (BSE) or mad cow disease.  Rumors earlier in the day, along with official confirmation in the early afternoon, created a limit down crash in the cattle market and cattle futures.  The Organization For Competitive Markets (OCM) said that this incident heightens the importance of preserving consumer confidence in the food system by labeling as to country of origin.
 
"Currently there is no way for consumers to differentiate between domestically grown and processed product from foreign product,” said Steve Cady, OCM executive director.  “But the country of origin labeling (COOL) law will remedy this situation so that our food economy is more insulated from global food scares.  Consumers need to identify product produced in countries which have an outbreak of disease or contamination so that they can still buy beef, pork or produce that is produced in unaffected countries.”
 
A recent study lead by the University of Florida’s International Agricultural Trade Policy and Analysis Center found that the many crucial benefits of country of origin labeling included reducing risk in the food supply, preserving consumer confidence, and helping to insulate the U.S. food supply from global food scares. (The full report is at http://www.iatpc.fred.ifas.ufl.edu/docs/policy_brief/PBTC_03-5.pdf.)
 
“I fail to see how the food industry can argue that American consumers should not be provided with this information,” said Fred Stokes, OCM president.  “If all foods from all countries are thrown in a blender and presented to consumers without telling them where it is from, an outbreak in any foreign country can have devastating impacts on our economy.”
 
Immediately following the Canadian press conference, U.S. Secretary of Agriculture Ann Veneman released a statement saying, "USDA is placing Canada under its BSE restriction guidelines and will not accept any ruminants or ruminant products from Canada pending further investigation."  However, USDA Undersecretary J.B. Penn said that USDA will likely reopen the Canadian import beef trade “fairly soon” if no other cattle test positive for mad cow disease.
 
“Given the opposition of USDA to labeling based upon concerns of cost and trade, we think that that U.S. government is not taking the threat of animal disease and contamination outbreaks seriously with regard to preserving confidence in the U.S. food supply,” continued Fred Stokes.  “We can no longer elevate the interests of the packers and their Amen-choir above those of producers and consumers.  This is an issue that will not go away.  We must implement a simple, cheap and effective labeling program in which we identify imported product as to country of origin and presume that all unmarked product is from the United States.  The food industry can hide this from the consumer no more.”

CCMP is not a membership organization. Funding comes from livestock auction markets and independent feeders on a per-head basis at the point of sale. All contributions are tax deductible under OCM’s non-profit status. For more information, contact Steve Cady at 402.792.0041 or visit the web site at www.competitivemarkets.com. 

The Organization For Competitive Markets is a multidisciplinary, nonprofit group of farmers, ranchers, academics, attorneys, and policy makers dedicated to reclaiming the agricultural marketplace for independent farmers, ranchers and rural communities.