Mar 21, 2016 07:22 PM EDT

GMO Labeling Law Upsets Food Companies, Mandatory Labels Effective In Vermont

The first law in the United States that require all food items to have mandatory labels will go into effect on Jul. 1, 2016 in Vermont.

It all started with General Mills making an announcement last week. The company has promised to label all its manufactured products that contain genetically modified ingredients, in order to comply with the Vermont law, as told by Q13Fox. The state law has upset food companies. While some promise to follow Vermont's law, like Nestle, others are considering pulling their products from the state. Still, states are continuously battling the law even though Vermont has cemented it and will take into effect within the year.

The Grocery Manufacturers Association has called out for the law to be blocked. The association has released a statement saying, "Food companies are being forced to make decisions on how to comply and having to spend millions of dollars. One small state's law is setting labeling standards for consumers across the country." The GMA is referring to the cost setback they will incur to accommodate this new ruling.

Aside from the GMA, the U.S. food industry as a whole has been making an effort to push back theaw requiring all food items with genetically modified organisms to be labeled. WSJ has it that the federal law has put up fines of up to $1,000 a day per product, if food companies will not follow the mandate.

Vermont Gov. Peter Shumlin has urged other food companies to follow General Mills and "...extend this right to their customers nationwide as well."

The GMO labeling law was introduced for consumers to have the right to choose between food items that have GMO ingredients versus conventional food products. According to the GMO Compass, if GMO has been used in production, it must be clearly stated on the labels.

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