FOOD LOBBIES BUSY AS CONGRESS WINDS DOWN

JENNIFER OWENS

WASHINGTON (FNS) -- Even though most eyes are on this town's favorite scandal, Congress is pushing ahead on the final four-week stretch of its session, and food industry groups are working to make these last days count.

Although Congress still has numerous appropriation bills to muddle through -- many under the threat of a presidential veto -- food industry groups say much still could happen on key issues such as country-of-origin labeling and health care reform. And each group wants to make sure its side is heard.

The National Grocers Association opposes two country-of-origin mandates, included in the Senate agriculture appropriations bill, which would require produce and meat to be marked as imported or domestic, according to Christine Corcoran, director of government relations. The mandates, which are not included in the House bill, will be debated in a conference session on the overall appropriations bill, which is expected to come up for a vote later this month.

An amendment sponsored by Sen. Timothy Johnson, D-S.D., amendment, would require that every individual package of beef and have U.S. or import labels at the point of retail sale. Products that combine sources of beef or lamb would have to be labeled "blended products" or would have to declare the percentage of imported and domestic products each contained. Currently, any important meat that is further processed in the U.S. is considered a domestic product.

The second amendment, sponsored by Sen. Bob Graham, R-Fla., would require similar country-of-origin labeling -- in the form of a label, stamp, mark, placard or other clear sign -- on produce at retail stores.

Corcoran noted the NGA is organizing grassroots meetings with representatives in their home districts to voice its opposition to country-of-origin labeling.

Corcoran said her group is still following tobacco, even though a plan by Sen. John McCain, R-Ariz., to add charge a $1.10-a-pack fee to cigarette makers died earlier this year on the Senate floor. She added that she doesn't expect the Senate to reconsider the issue this session.

At the Food Marketing Institute, John Motley, senior vice president of government and public affairs, said fighting country-of-origin labeling is his group's top concern during these final congressional weeks. Motley said the FMI especially disliked the way country-of-origin labeling was included in the agriculture appropriations bill without a public hearing.

That bill now is in conference, and Motley said, "We feel cautiously optimistic that we can convince them if something is going to be done, there should be a hearing."

In the meantime, he said, remaining issues are House and Senate changes to the Women, Infants and Children program that the FMI -- and the NGA -- fears might result in retailers paying to install and test experimental equipment to enable in-store benefits payments. The FMI also wants the federal government to consider improvements to the food stamp program that would allow participants to use their stamps in nearly every state through electronic benefit transfers.

"What we're hoping," said Motley, "is that the federal government will want to pay for it."

At the Grocery Manufacturers of America, Mary Sophus, senior vice president for government issues, said her group's top issue this fall is garnering support for national uniformity in food safety and warning labels. A bipartisan bill introduced recently would amend the Federal Food, Drug and Cosmetic Act to set national standards, labeling and notification requirements -- all of which concerns food producers and retailers when business crosses state lines.

"Time is running out and we know that," Sophus said. "But we've got a good foundation of bipartisan support....The more that we can build on that this fall, the further the legislation will be next year."

In the session's remaining four weeks, Sophus said the GMA would concentrate on supporting presidential fast-track negotiating authority, which has been included in an omnibus Senate trade bill that has yet to face a floor vote. The House is expected to vote on the issue later this month.

"The reason that this is important to the food industry is that it's vitally important that food manufacturers have access to world markets," Sophus said. And, she added, fast track's importance should only grow next year when the World Trade Organization takes up agriculture issues.

Sophus said, "If the president doesn't have fast-track negotiating authority going into the agriculture round, then other countries that weren't particularly interested in negotiating will be less inclined to negotiate in good faith."

The GMA also plans to join the National Grocers Association in opposing the Senate's two country-of-origin mandates, Sophus said. "We believe those are ill-advised labeling provisions," she said. "They have nothing to do with safety and they place some significant burdens on the producers."

And the GMA will be involved in Congress' ongoing push for food safety reforms. Sophus said her organization supports proposals to fund the administration's food safety efforts and noted the GMA would be among the groups testifying at a Senate food safety hearing this month. Nevertheless, said Sophus, "I think it will sometime before we see any particular [new food safety] measure."

At Food Distributors International, David French, director of government relations, said his organization also plans to fight the Senate's country-of-origin labeling proposals. The FDI argues that the labels will undermine retailer efforts "to meet year-round consumer demand for affordable and high-quality produce."

French said consumer groups are not asking for country-of-origin labels; "producer groups are, and that sounds like a trade barrier to me."

Health care reform is also an issue for the FDI, which like many groups is still waiting to see what Congress will produce. At issue right now is how legislators can route more services to patients without driving up costs for employers. French said the key concern for employers now is liability, or increasing the ease with which employees can sue their health care providers.