Labeling, Challenge for International Trade
Legislators in Mexico have been discussing changes in food labeling rules, like including warnings about the content of the product on the front of the package. However, these changes could affect trade and competition in the Mexican market.
"Compliance with the labeling should be horizontal with all business partners, otherwise there could be a lack of competition in the Mexican market, which would affect the sales of the foreign company, as happened to Mexico," commented Domestic and International Trade Attorney Carlos Véjar. "Labeling rules are traditionally considered as very sensitive for trade, because if a specification is changed, whoever exports to another market has to change his production line, he has to make a specific label for that territory, so every time there is a change the economic impact is high."
"If the change in labeling had a significant impact on business expenses, it would probably be transferred to the consumer," said Mr. Véjar.