GMO Labeling Bill Promises Higher Food Costs
Tomorrow, May 8, Vermont Governor Peter Shumlin will sign into law a Genetically Modified Organism (GMO) labeling bill to go into effect in July 2016. Packaged food manufacturers, such as Kraft Foods Group Inc., ConAgra Foods Inc. and Hillshire Brands Co., object to the labeling law because such laws could potentially differ between states. Those differences will add to the costs of food production, whether in additional labeling costs or from sourcing new, GMO-free ingredients. Additionally, the perception created by the labeling might drive consumer behavior. Organic food sales have jumped year over year as that label has gained widespread use, generating $32 billion in revenue last year.