For Immediate Release                                                                                                                   Oct. 25, 2003  
For Information: Burt Rutherford

 COOL WILL BE COSTLY, GOODLATTE TELLS CATTLE FEEDERS

            Saying "It is pretty well substantiated now that COOL will be a huge competitive disadvantage" to U.S. cattlemen, House Ag Committee Chairman Bob Goodlatte told around 650 cattle feeders and city and county officials that country-of-origin labeling for beef could cost the industry as much as $3.9 billion the first year alone.

            Goodlatte was the keynote speaker at the 2003 Annual Convention of the Texas Cattle Feeders Association (TCFA) in Amarillo .  During his remarks, which drew repeated applause, Goodlatte told cattle feeders that COOL provides a ready-made marketing program for foreign beef, whereas the U.S. producer will be entangled in knots of government regulations that will require all kinds of documentation to comply with the law. 

            The House of Representatives, himself included, support a measure in the appropriations bill offered by Rep. Henry Bonilla (R-Texas) to delay COOL implementation for a year so more hearings can be held.  He said the House is waiting for the Senate to finalize work on its appropriations bill, then will fight for the Bonilla provision in conference committee. 

            "My personal preference would be that we go to a voluntary program with government support," he said.  "Promoting consumption of U.S. beef and other products is a great thing to do, but it should be done in a voluntary way with help from the government, done in such a way that does not add cost to your cost of doing business but rather, adds to your profits of doing business." 

            Shifting to international issues, Goodlatte told cattle feeders that the U.S. must fight much harder to enforce free trade agreements.  "Free trade is great," he said.  "Fair trade is essential."

            Furthermore, he added, the U.S. has the leverage to do it.  "Last year, we had a $470 billion trade deficit.  That gives us tremendous leverage with these countries."   And it's not just China that has a large trade surplus with the United States .  "The European Union has an $80 billion trade surplus.  Mexico has a much smaller but still significant trade surplus.  So does Japan." 

Goodlatte said the U.S. needs to remind them constantly "that if they're going to enjoy the ability to sell products to the United States , which we are very willing to buy and which help our economy and consumers, they're going to have to do the same thing in areas where we are competitive."  And agriculture is where we lead the way.  "We are the world's largest exporter of food, notwithstanding the barriers I just described.  Just imagine what you could do if you were treated fairly in the process."

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