[Federal Register: August 7, 2001 (Volume 66, Number 152)]
[Proposed Rules]
[Page 41160-41162]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr07au01-20]
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DEPARTMENT OF AGRICULTURE
Food Safety and Inspection Service
9 CFR Parts 317 and 327
[Docket No. 00-036A]
RIN 0583-AC85
Product Labeling: Defining United States Cattle and United States
Fresh Beef Products
AGENCY: Food Safety and Inspection Service, USDA.
ACTION: Advance notice of proposed rulemaking.
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SUMMARY: The Food Safety and Inspection Service (FSIS) is requesting
comments on the need for regulations to clarify the definition of
``United States cattle'' and ``United States fresh beef products'' for
labeling purposes. FSIS also is requesting comments on whether such
beef products should bear labeling claims that are different from the
claims that are permitted under the Agency's current policy on beef
products that are made from animals that are documented to have been
born, raised, slaughtered and prepared in the United States or that
have been produced in the United States. The Conference Report
accompanying the Agriculture Appropriations Act for 2000 directed the
Secretary to promulgate regulations defining which cattle and fresh
beef products are ``Products of the U.S.A.'' The Report stated that
clarifying regulations would facilitate the development of voluntary,
value-added promotion programs that benefit U.S. producers, business,
industry, consumers, and commerce.
DATES: Comments must be received on or before October 9, 2001.
ADDRESSES: Submit one original and two copies of written comments to
FSIS Docket Clerk, Docket #00-036A, Department of Agriculture, Food
Safety and Inspection Service, Room 102 Cotton Annex Building, 300 12th
Street, SW., Washington, DC 20250-3700.
FOR FURTHER INFORMATION CONTACT: Robert C. Post, Ph.D., Director,
Labeling and Consumer Protection Staff, Office of Policy, Program
Development, and Evaluation, FSIS, at (202) 205-0279 or by FAX at (202)
205-3625.
SUPPLEMENTARY INFORMATION:
Background
The Conference Committee report that accompanied the Agriculture
Appropriations Act of 2000 \1\ directed the Secretary of Agriculture,
in consultation with the affected industries, to promulgate regulations
to define which cattle and fresh beef products are Products of the
U.S.A.'' The report also directed the Secretary to determine the
terminology that would best reflect in labeling that such beef products
are, in fact, U.S. products. The report stated that the conferees
believe that there is an ``absence of clarity concerning the definition
of S cattle and US fresh beef products. This limitation hinders the
ability of producers to promote their products as ``Product of the
U.S.A.''
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\1\ Agriculture, Rural Development, Food and Drug
Administration, and Related Agencies Appropriations Act, 2000
(Public Law 106-78; October 23, 1999).
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The Food Safety and Inspection Service (FSIS) of the Department of
Agriculture (USDA) is responsible for ensuring that meat and meat food
products are safe, wholesome, and accurately labeled. The Agency
administers a regulatory program for meat and meat products under the
Federal Meat Inspection Act (FMIA) (21 U.S.C. 601 et seq.). FSIS'
regulations and program requirements also ensure that foreign countries
exporting meat and meat food products to the United States impose
inspection requirements that are equivalent to U. S. requirements, and
that those countries fully implement their requirements.
Under the mandate of FMIA, FSIS issues regulations to ensure that
labeling bearing statements about product origins, e.g., ``USA Beef,''
are truthful, accurate, and not misleading. Under FSIS regulations and
policies, producers and processors wishing to make such label
statements must submit documentation that verifies that the statements
are truthful and accurate. The Agriculture Marketing Service (AMS) has
the authority to establish voluntary programs under the Agricultural
Marketing Act (7 U.S.C. 1621-1627) to verify or certify the origin of
animals that is reflected in labeling statements. Producers wishing to
make such statements are not required to have their production
practices verified/certified by an AMS program.
FSIS Labeling Policy
Geographic Labeling
FSIS regulations (9 CFR 317.8) permit fresh beef products to be
labeled with terms such as ``U.S. (Species),'' ``U.S.A. Beef,'' and
``Fresh American Beef.'' Such terms are viewed by the Agency as
geographic claims associated with animal raising and production. FSIS
interprets these terms to mean that the cattle to which the terms are
applied were born, raised, slaughtered, and prepared in the United
States or in specific geographic locations in the United States.
Producers and processors voluntarily may label products with such
geographic claims and other production claims as long as those claims
are substantiated. To substantiate labeling claims, producers must
provide testimonials and affidavits that include the producer's
operational protocol that supports the labeling claim that the food
product was derived from animals that were born, raised, slaughtered,
and prepared in the United States.
Labeling to Meet Export Requirements
For many years, ``Product of the U.S.A.'' has been applied to
product that is exported to other countries to meet those countries'
country-of-origin labeling requirements (9 CFR 327.14; FSIS Policy Memo
080 (April 16, 1985)). Products that meet all FSIS requirements for
domestic products also may be distributed in U.S. commerce with such
labeling. No further documentation is required. ``Product of the
U.S.A.'' has been applied to products that, at a minimum, have been
prepared in the United States. It has never been construed by FSIS to
mean that the product is derived only from animals that were born,
raised, slaughtered, and prepared in the United States. The only
requirement for products bearing this labeling statement is that the
product has been prepared (i.e., slaughtered, canned, salted, rendered,
boned, etc.). No further distinction is required. In addition, there is
nothing to preclude the use of
[[Page 41161]]
this label statement in the domestic market, which occurs, to some
degree.
This term has been used on livestock products that were derived
from cattle that originated in other countries and that were
slaughtered and prepared in the United States. Also, the cattle could
have been imported, raised in U.S. feed lots, and then slaughtered and
prepared in the United States. The beef products from these cattle can
be labeled as ``Product of the U.S.A.'' for domestic and export
purposes.
Labeling of Imported Beef Products
Under Section 20 of the FMIA (21 U.S.C. 620), imported beef
products are to be treated as ``domestic'' product upon entry into the
United States. However, all products imported into the United States
are required to bear the name of their country of origin on the
container in which they are shipped, as well as the number assigned by
the foreign meat inspection system to the establishment in which they
were prepared. If imported beef or beef products are intended to be
sold intact to a processor, wholesaler, food service institution,
grocer, or household consumer, the original packaging with the country-
of-origin labeling and establishment number must remain with the
product.
When an imported product has been further prepared, the labeling
requirements for the resultant product are the same as for domestic
product. The addition of a country-of-origin labeling statement is not
required by FSIS, although the Agency would approve a label for a
product with the original country-of-origin statement if the label
meets all of FSIS' labeling requirements.
USDA's Agricultural Marketing Service Programs
FSIS is responsible for ensuring that meat product labels are
truthful, accurate, and not misleading, and for maintaining control of
product identity throughout slaughter and preparation operations. AMS'
Meat Grading and Certification Branch conducts voluntary programs that
verify/certify that livestock were born, raised, slaughtered, and
prepared in the United States and, therefore, qualify to bear FSIS
approved labeling statements that reflect this fact. No additional
labeling is necessary.
One of these programs is AMS' Domestic Origin Verification Program.
The primary purpose of this program is to ensure that all raw materials
used to produce meat and meat products purchased by USDA for federally
funded food assistance programs (e.g., the National School Lunch
Program operated by USDA's Food and Nutrition Service) are derived from
U. S. produced animals, i.e., animals not imported for direct
slaughter. Cattle born in another country (Mexico) but fed in the
United States are eligible. The Domestic Origin Verification Program
requires that slaughterers and processors identify themselves as
``domestic only'' or ``segregation plan'' facilities. ``Domestic only''
suppliers receive a yearly audit of their procurement records to ensure
that they comply with the U. S. produced provision. ``Segregation
plan'' suppliers, after establishing identification and record quality
control systems, receive quarterly audits that include interviews with
plant management and FSIS officials to ensure compliance with U. S.
produced provisions. Approximately 80 contractors and suppliers
annually supply raw materials to the federally funded food assistance
programs. AMS performs approximately 250 audits each year at an average
cost of $450 per plant.
AMS also has a voluntary certification program. In 1998, AMS
proposed program guidelines to certify that livestock, meat, and meat
products are eligible to be labeled as ``U.S. Beef'' because they are
derived from animals that were born, raised, slaughtered, and prepared
in the United States. To certify U. S. origin, AMS would audit
production and preparation records. As with other AMS certification
programs, there would be a fee for this service, and the program is
voluntary. However, the program was never implemented, and the
guidelines were never finalized.
Industry Petition to AMS
In September 2000, the American Farm Bureau Federation, the
National Cattlemen's Beef Association, the American Meat Institute, the
National Meat Association, and the Food Marketing Institute petitioned
AMS to create a voluntary process certification program and undertake
rulemaking to create a process verification ``Beef: Made in the USA''
program. The organizations recommended that to qualify for the program,
beef products must originate from cattle that are raised, fed a minimum
of 100 days, and processed in the United States. AMS is responding to
the petition in a separate action.
Request for Comments
FSIS is requesting comments from consumers, meat producers and
processors, retail operators, food service managers, and other
interested persons on how best to provide for the labeling of meat
products derived from cattle that are U.S. products. The following
questions are provided to facilitate public comment on this ANPR.
(1) Should cattle finished in the United States, but born and
raised for a time in another country, be considered a product of the
United States for USDA labeling purposes? What effects on the domestic
and international markets would be imposed by defining which U.S.
cattle and fresh beef products are products of the United States?
(2) What labeling terminology would be most accurate and
appropriate in conveying the idea that the product is a product of the
U.S.A.? Would terms such as ``U.S. Cattle'' and ``U.S. Fresh Beef
Products'' or ``USA Beef'' and ``Fresh American Beef'' be more
appropriate? Are there other terms that commenters would suggest that
would appropriately convey that the cattle and beef products originate
in the United States?
(3) What other kinds of verification programs does FSIS need to
employ to ensure that the labeling terms are truthful, accurate and not
misleading? What are the estimated costs (recordkeeping, inventory
management, labeling, etc.) that are associated with such programs?
(4) How can industry and FSIS aid consumers in gaining a greater
understanding of the suggested terms used to identify a product of the
USA? What types of information would be useful to gauge consumer
response to a particular term used to market U.S. products? What
factors would be influential in a consumer's decision to purchase beef
labeled as a product of the USA?
Information or data on related and relevant issues is welcome, and
FSIS urges that such data and information be submitted as comments on
this advance notice of proposed rulemaking.
Additional Public Notification
FSIS has considered the potential civil rights impact of this
advance notice of proposed rulemaking on minorities, women, and persons
with disabilities. Public involvement in all segments of rulemaking and
policy development is important. Consequently, in an effort to better
ensure that minorities, women, and persons with disabilities are aware
of this rulemaking and request for further comments, and are informed
about the mechanism for providing comments, FSIS will announce it and
provide copies of this Federal Register publication in the FSIS
Constituent Update.
FSIS provides a weekly FSIS Constituent Update, which is
communicated via fax to more than 300
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persons and organizations. In addition, the update is available on line
through the FSIS web page at http://frwebgate.access.gpo.gov/cgi-bin/leaving.cgi?from=leavingFR.html&log=linklog&to=http://www.fsis.usda.gov. The update is
used to provide information regarding FSIS policies, procedures,
regulations, Federal Register notices, FSIS meetings, recalls, and any
other types of information that could affect or would be of interest to
our constituents/shareholders. The constituent fax list consists of
industry, trade, and farm groups, consumer interest groups, allied
health professionals, scientific professionals, and others who have
requested to be included. Through these various channels, FSIS is able
to provide information to a much broader, more diverse audience. For
more information and to be added to the constituent fax list, fax your
request to the Congressional and Public Affairs Office at (202) 720-
5704.
Done in Washington, DC, on: August 2, 2001.
Thomas J. Billy,
Administrator.
[FR Doc. 01-19749 Filed 8-6-01; 8:45 am]
BILLING CODE 3410-DM-P