WASHINGTON – The U.S. Department of Agriculture (USDA) today released a proposed rule with new regulatory requirements to better align the voluntary “Product of USA” label claim with consumer understanding of what the claim means. The proposed rule allows the voluntary “Product of USA” or “Made in the USA” label claim to be used on meat, poultry and egg products only when they are derived from animals born, raised, slaughtered and processed in the United States.
“American consumers expect that when they buy a meat product at the grocery store, the claims they see on the label mean what they say,” said Agriculture Secretary Tom Vilsack. “These proposed changes are intended to provide consumers with accurate information to make informed purchasing decisions. Our action today affirms USDA’s commitment to ensuring accurate and truthful product labeling.”
USDA notes that the proposed rulemaking is supported by petitions, thousands of comments from stakeholders, and data. In July 2021, USDA initiated a comprehensive review to understand what the “Product of USA” claim means to consumers and inform planned rulemaking to define the requirements for making such a claim.
As part of its review, USDA commissioned a nationwide consumer survey. The survey revealed that the current “Product of USA” labeling claim is misleading to a majority of consumers surveyed, with a significant portion believing the claim means that the product was made from animals born, raised, slaughtered and processed in the United States.
USDA’s comprehensive review shows there is a clear need to revise the current “Product of USA” label claim so that it more accurately conveys U.S. origin information.
Under the proposed rule, the “Product of USA” label claim would continue to be voluntary. It would also remain eligible for generic label approval, meaning it would not need to be pre-approved by USDA’s Food Safety and Inspection Service (FSIS) before it could be used on regulated product, but would require supporting documentation to be on file for agency inspection personnel to verify.
The rulemaking also proposes to allow other voluntary U.S. origin claims we see on meat, poultry and egg products sold in the marketplace. These claims would need to include a description on the package of all preparation and processing steps that occurred in the United States upon which the claim is made.
USDA encourages stakeholders, both domestic and international, to comment on the proposed rule.
The U.S. Cattlemen’s Associations (USCA) says that under current regulations, imported beef product can be brought into the US., undergo a “significant transformation,” – which can be as insignificant as trimming or rewrapping – and then claim the “Product of the U.S.A.” label. USCA says this is a wholly unacceptable practice that intentionally misleads consumers.
“In our 2019 petition for rulemaking to FSIS, USCA called out the practice of applying ‘Product of the USA’ and ‘Made in the USA’ labeling claims on beef products that the food safety agency itself admitted could have come from other countries,” said USCA President Justin Tupper from St. Onge, SD.
“USCA is thrilled that the proposed rule finally closes this loophole by accurately defining what these voluntary origin claims mean. If it says ‘Made in the USA,’ then it should be from cattle that have only known USA soil. Consumers have the right to know where their food comes from, full stop.”
“USCA would like to thank the Biden Administration for incorporating this goal in their Action Plan for a Fairer, More Competitive, and More Resilient Meat and Poultry Supply Chain issued in 2022,” Tupper added. “But, we also need to recognize the relentless work by our champions in Congress, including my home-state Senator Mike Rounds, who sponsored the U.S.A. Beef Act that would have prohibited beef from bearing the phrase “Product of U.S.A.” unless it was exclusively derived from U.S. cattle. We could not have elevated this issue without the many voices speaking up in support of the change.”
Rounds calls the ruling a “restoration of integrity” to the ‘Product of USA’ label. “For years, we’ve called on the USDA to take action to stop foreign beef from receiving the ‘Product of USA’ label. Our work is finally paying off.
“Today’s announcement is a victory for American consumers and producers. Once this proposed rule is finalized, American consumers will no longer be misled by a ‘Product of USA’ label that is allowed to be applied to foreign products. American cattle ranchers will no longer be disadvantaged in the marketplace against lower quality foreign beef that falsely bears the ‘Product of USA’ label. The USDA’s ruling is a major step in the right direction, and I applaud Secretary of Agriculture Tom Vilsack for taking the necessary actions to fix this label
He added, “While we acknowledge the magnitude of this ruling, there is still more work to be done. We need to address meat packer concentration and Mandatory Country of Origin Labeling for beef in order to restore transparency and fairness to the cattle market. The work is just beginning, and I remain committed to fighting for American ranchers and consumers.”
More Industry Comment:
“I appreciate Senator Rounds’ work on this ruling,” said Doug Sombke, President of South Dakota Farmers Union. “This ruling levels the playing field for U.S. producers because consumers will know where their beef comes from. The truth is consumers trust U.S. meat because of the safety and humane treatment standards our cattle producers follow. And because this label will be protected by the USDA, consumers can trust the labeling and U.S. cattle producers’ will once again have a competitive advantage over foreign beef.”
“The South Dakota Stockgrowers Association (SDSGA) is very grateful for South Dakota Senator Michael Rounds efforts to re-establish Country of Origin Labeling (COOL) in order that our producer members can once more take pride in showcasing their superior quality products and consumers can be reassured of purchasing wholesome nutrition for their families,” said Vaughn Meyer, President of South Dakota Stockgrowers Association. “SDSGA members are appreciative of and supportive of the Senator’s leadership to obstruct the current fraudulent mislabeling of foreign imported meats with our prized USA label. Thank you, Senator Rounds, for addressing this deceptive practice by importers resulting in losses of millions of dollars to South Dakota beef producers.”
“The South Dakota Cattlemen’s Association (SDCA) welcomes USDA FSIS’s amending the Product of the USA label to only be allowed on meat that is born, raised and slaughtered in the USA,” said Eric Jennings, President of South Dakota Cattlemen’s Association. “The prior rule allowed the voluntary label to be used on beef that was re-packaged in the USA, no matter where it had originated from. We have long held the position that this was a violation of the consumer’s trust and that the Product of the USA label needed to have the truth and integrity behind it that consumers expect from our nation’s beef producers. SDCA applauds this change to protect the positive relationship our nation’s beef producers have with its consumers.”
“With American cattle herds at a 60-year low, it is regrettable for consumers and cattle producers that it has taken eight years to stop the mislabeling of foreign beef,” said Brett Kenzy, President of R-CALF USA. “Public sentiment has rallied to force the USDA to stop the lie, now America needs Congress to compel the truth by enacting The American Beef Labeling Act.”
