- What is music licensing?
- Why do I need a music license?
- When is a winery liable?
- Are there exemptions?
- What should I do when contacted by a music licensing organization?
Archives for May 2015
May 19th, 2015
Washington, D.C. – Rep. Mike Conaway (R-TX), Chairman of the House Agriculture Committee, has introduced bipartisan legislation to repeal Country of Origin Labeling (COOL) for certain cuts of meat to avoid retaliatory tariffs on a variety of U.S. exports to Canada and Mexico. The bill, H.R. 2393, would repeal the country of origin labeling requirements for beef, chicken, and pork. The bipartisan legislation currently has 60 original co-sponsors.
The full House Agriculture Committee will be holding a hearing on H.R. 2393 tomorrow, and a markup is expected to follow. Currently there are no amendments proposed, but that could change in the committee markup. Once reported from committee the bill will head to the House floor, which could happen as soon as early June.
This morning WineAmerica attended a press conference at the Capitol for H.R. 2393. The press conference was held by the two lead sponsors of the COOL repeal legislation, Chairman Conaway (R-TX) and Congressman Jim Costa (D-CA). They were joined by members of both parties who expressed their support of the legislation. Industry representatives spoke in support of the legislation and praised Conaway’s and Costa’s efforts. Bobby Koch, President of the Wine institute was in attendance, saying that the market for American wine had increased 78 percent into Canada over the last five years, where total wine sales had increased only 16 percent. He stressed that all of this is in jeopardy of being lost if the retaliatory tariffs on wine are implemented. Congressman Costa also stated the importance of wine, stressing that California alone would face a $1 billion retaliation hit this fall if the existing COOL rules are not repealed.
The Senate Agriculture Committee will also be working on a solution to the WTO ruling. Chairman Pat Roberts (R-KS) has stated he is open to any solution, including repeal for meat, to prevent retaliatory tariffs. Ranking Member Debbie Stabenow (D-MI) has come out against repeal. It is unclear when the Senate might take action.
Canada and Mexico have been clear that nothing short of a full repeal of the COOL rules will satisfy their respective governments. Without a full repeal, the World Trade Organization has authorized Canada and Mexico to take punitive action against the United States in the form of retaliatory tariffs.
WineAmerica supports efforts by Congress to address the COOL regulations, including the repeal legislation introduced Representatives Conaway and Costa. WineAmerica’s government affairs team will be advocating for quick action on H.R. 2393. Retaliatory tariffs could be implemented as soon as August, Congress must work quickly to address the issue.
Questions and inquires should be directed to Michael Kaiser, Director of Public Affairs at email@example.com.
For Immediate Release
May 18th, 2015
Washington, D.C. – Today the World Trade Organization Dispute Settlement Body issued their final ruling against the United States country of origin labeling (COOL) requirements for muscle cuts of meat. What does that mean for the wine industry? If the United States does not repeal its COOL rule, Canada and Mexico will retaliate with substantive tariffs on a variety of American products which could include wine.
Country of Origin Labeling, or “COOL,” is a law requiring retailers to indicate the country of origin on a cut of meat. In 2009 Canada challenged the American implementation of this law at the World Trade Organization (WTO). The WTO ruled in Canada’s favor and has continued to do so in all subsequent appeals. With today’s final ruling, Canada and Mexico will be able to levy tariffs against American products. Wine is on the preliminary “hit list” made public by Canadians.
Tariffs against American wine will be a huge hit to our industry. Canada is the largest foreign market for American wine. Last year U.S wine exports to Canada reached $487 million, a 7% increase from 2013. Retail sales for American wine in Canada now eclipse $1 billion. In 2013 the U.S. was the second largest exporter of wine to Canada, with a 16% market share among wine imports sold in Canada.
The preliminary Canadian plan would place a tariff on wine based on the value of the product entering the country. For example, a wine with a $10 import value would be hit with a $10 tariff, doubling the cost of the wine sent into the country. Apart from the immediate financial loss, the American wine industry could face long term effects. Raising the price of a bottle of a US wine will hinder competition with other wine regions, notably South Africa and Australia. The United States could lose shelf space that would take years to regain.
Tariffs will largely affect California wineries, but smaller, family owned wineries in Oregon, Washington, New York and Michigan will also be impacted. In 2014, Washington wineries exported a total of $7.5 million in total wine sales into Canada. Oregon sent almost 22,000 cases of their wine across the border in 2014.
Canada has sixty days to submit a dollar amount to the WTO for retaliation. Once the WTO approves the amount they begin to implement tariffs on targeted commodities. While we hope wine will be omitted, WineAmerica’s government affairs team is actively lobbying Congress to support a legislative fix, including but not limited to a repeal of the COOL regulations, before any tariffs on U.S. wine exports can be implemented, which could be as soon as the end of the summer.
WineAmerica is the national voice the American wine industry. Based in Washington, D.C., WineAmerica represents wineries in 43 states and leads a coalition of state and regional wine and grape associations. As an industry leader, WineAmerica encourages the dynamic growth and development of American wineries and winegrowing through the advancement and advocacy of sound public policy.
For more information about COOL visit www.coolreform.com. View list of American commodities potentially targeted by Canada. Learn more about WineAmerica and wine industry advocacy at www.wineamerica.org.
Questions and inquires should be directed to Michael Kaiser, Director of Public Affairs at firstname.lastname@example.org