Scandal spurs supply reform

When news broke earlier this year that horse meat had been found in frozen beef burgers manufactured by a small number of Irish companies there was much talk of the damage that would be done to the food industry here.

Within days it emerged that the pioneering DNA testing which had been ordered by the Food Safety Authority of Ireland (FSAI) had been pivotal in exposing a scandal which spread out across Europe. The Republic emerged from the crisis with considerably more credit than initially seemed possible.

Since the dark days of January more than 23 EU countries have been embroiled in a scandal which extended as far as Hong Kong and food including beef burgers, beef meals, pies, meat balls, kebabs and chicken nuggets, produced by brands big and small, were removed from sale all over the world. One recall alone in the Netherlands involved 50,000 tonnes of meat or over 500 million burgers.

And the FSAI started it all. For years now it has been carrying out DNA testing on foods including fish and fowl and last November it was the bee’s turn. It carried out its meat product survey against a background of increasing prices of raw materials used in food and feed manufacture, and the global sourcing of ingredients. “This can lead to a temptation to cut corners. The longer the supply chain the higher the risk that something can go wrong,” according to Prof Alan Reilly, Chief Executive of the FSAI.

Many of those consumers are still in shock at just how wrong. There are no comprehensive figures available in the Republic yet but in Britain frozen beef burger sales are down 43 per cent in the wake of the scandal while the highly respected consumer magazine Which? reported that over half of British consumers had changed their shopping habits as a result of the horse meat scandal.

As Reilly says, the length of the food supply chain across the processed food sector and the number of countries involved in getting some foods from farm to fork is the problem. Something as simple as a Chicken Kiev can contain dozens of ingredients and come from Thailand or Brazil via Holland to Ireland where it can be dusted with breadcrumbs, put in a box and marked product of Ireland.

It is against this backdrop that consumers have started seeking more information about food producers and traceability with many customers gravitating towards local businesses they can trust, according to a food industry report published last month.

The report, produced by Good Food Ireland and Grant Thornton, highlighted labelling deception which it said was widespread across Europe. The head of food at Grant Thornton, Ciara Jackson, says one positive which has come out of the horse meat scandal is that “the food labelling issue has been pushed to the top of EU policymaker’s agenda.”

“Primary producers are highly regulated but the value added stage is still hard to police even with all the technological advances which have been made. We do have a opportunity to get to a better place, a place which will be of benefit to all consumers but whether or not we take that opportunity is the question.

“Convoluted supply chains have done little to bolster confidence in traceability controls by manufacturers and suppliers,” she added and said that one of the positive outcomes will be routine DNA testing which “will be beneficial to consumers”.

Like many food experts, Jackson believes it will be another milestone in the ending of an era of cheap food. Climate change is driving prices of many crops to record levels while people’s demands and expectations across the world are also pushing prices higher.

Industry sources say changed regulation will highlight food authenticity as much as food safety. Earlier this month the Minister for Agriculture signaled as much when he announced the fast tracking of an equine database. Under the new system details of equine animals registered since January 1st 1980 will be held on the Animal Identification and Movement (AIM) system which contains data on cattle, sheep and pigs.

The main principle of the EU food labelling directive 2000/13 states that labelling must not: “Be such as could mislead the purchaser to a material degree, particularly as to the characteristics of the foodstuff and, in particular as to its nature, identity, properties, composition, quantity, durability, origin or provenance, method of manufacture or production.”

It is to be updated next year with new rules which will aid consumers understanding of where their food comes from. “The new rules will make it easier for people to identify the source of their purchases,” says Jackson. “But we don’t want it to be like the financial services sector where there is so much information contained in the small print that it becomes almost impossible to understand.”

Despite the controversies and the scandals, Jackson believes Ireland is in a good place when it comes to quality, traceability and reputation. “The food sector here has a great reputation internationally. All we need to do is capitalise on that.”