USDA’s final rule published today that amends the mandatory country-of-origin labeling (mCOOL) regulations for muscle cuts of meat and chicken will require a new and different statement on retail chicken packages. USDA’s Agricultural Marketing Service (AMS) explained in today’s final rule that covered muscle cuts of chicken can be labeled “born, raised, and slaughtered in the United States”  if, in fact, that statement is factual or the word “hatched” can be used in lieu of born and “harvested” can be used in lieu of “slaughtered.” AMS said the effective date of the regulation was yesterday, May 23, and is mandatory as of that date.

AMS added that “it would be impracticable and contrary to the public interest to delay the effective date of the rule beyond May 23, 2013.”  However, because achievement of 100-percent compliance may not be feasible for all affected entities to immediately comply, AMS will, during the next six months, conduct an industry education and outreach program concerning the provision and requirements of the rule.

Muscle cuts of meat and chicken that are covered commodities that “are already in the chain of commerce to clear the system” as of May 23 will be allowed to continue to meet the 2009 mCOOL regulations. Certain signage at retail that complies with the final rule will be acceptable until existing labels and packaging inventories have been “completely used.”

Previously, AMS published a final rule for all covered commodities on January 15, 2009, which took effect on March 16, 2009. In June 2012,  a World Trade Organization (WTO) case brought by Mexico and Canada found that the mCOOL requirements of muscle cut meat and chicken were inconsistent with the United States’ obligations under the WTO Agreement on Technical Barriers to Trade. In an attempt to come into compliance with the WTO rule, AMS on March 12, 2012 published a proposed rule that was made final on May 23, 2013 with few, if any, real changes.  In comments filed in April on the proposed rule, NCC told the agency that chicken was not involved in the dispute, so making any changes to the mCOOL language on chicken packages is unnecessary and a needless waste of time and resources.

A number of meat and poultry organizations expressed strong disagreement and disappointment with USDA’s action and indicated efforts will continue to find a way that will not be so financially-costly and so heavy a regulatory burden.

Both Canada and Mexico have indicated they will impose retaliatory actions that have an economic impact on U.S. agricultural exports to their countries in the amount at least equal to the costs the final rule will impose on their covered commodities exports to the United States.

Today’s Federal Register rule on mCOOL is available here.