Food Recalls & Consumer Perception in Canada

Dr. Keith MussarKeith Mussar & Associates

Canadian Association of Importers and Exporters

7th World SME ExpoDecember 12-14, 2007

Hong Kong

Food Recalls in Canada

Recall: A company’s removal from the market of an unsafe food, a potentially unsafe food or a food that violates the regulations enforced by the Canadian Food Inspection Agency

Food Recalls in Canada

Recall: The final food safety intervention that can protect Canadian consumers from the risk of food borne illness

Food Recalls in Canada

Canadian Food Traceability Data Standardwww.can-trace.org/portals/0/docs/CFTDS%20version%202.0%20FINAL.pdf

Essential: Manufacturing Date Code: E215Q192603Best Before Date: 2006 AL 23

ManufacturerIngredientSuppliers

RetailersRestaurantsDistributors

Consumers

ManufacturingDate Code

ManufacturingDate Code

ManufacturingDate Code

SupplierIngredient

Date Code orProduct Code

Food Recalls in Canada Industry’s Responsibility in a

Recall

Best Practice: “Advanced Preparation”

Recall plan Recall management team Primary contact – “recall coordinator” Internal company, supply chain & distribution

contacts Practiced recall plan-mock recall exercise minimum

yearly “Manufacturing Date Code” or “Best Before Date”

on product labels

Food Recalls in Canada Industry’s Responsibility in a

Recall

Notify Canadian Food Inspection Agency-CFIA of health concern

Voluntary recall of the product Provides required product information to CFIA Provides distribution list to

CFIA Notify customers about the recall Notify public along with CFIA Collect and isolate recovered product

Verifies amount of product recovered Recovery done by retailers, restaurant, third party companies

Follow up Disposal of recalled product [could involve CFIA] Corrects issue responsible for hazard leading to recall

Food Recalls in Canada

Product brand name Product common name Size of product package Manufacturing date code Universal Product Code-

UPC Distribution list [who

product shipped to & amount]

Amount produced & when

Copy of product label Product specifications,

analytical test results Information about

injuries or illnesses Company contact

information

Information Provided to Canadian Food Inspection Agency

Food Recalls in Canada Industry’s Responsibility in a

Recall

Voluntary Recalls>99.5 % of recalls done voluntarily Protect consumers-”right thing to do” Protect consumer confidence

Protect brand equity Protect market share

Maintain or enhance investor confidence Business insurance requirement-SME

Food Recalls in Canada Government’s Oversight in a

Recall

Health risk assessment Decision to recall Classification of recall-health risk, consumer notification Implementation of the recall

Reviews firm’s recall plan and recall notice Requests distribution lists

Verification of the recall Verifies customers were notified, product removed and

controlled Follow up

Monitors company’s actions on recovery, control and disposition of product

Monitors company’s corrective actions

Food Recalls in Canada Government Enforcement

Government Enforced Recalls Health risk is high Minister of Agriculture orders the company who is

manufacturing, selling, marketing or distributing the product to recall

Can be used when firm is unwilling or unable to recall the product

Consequences of contravention of a recall order are fines and/or imprisonment

Food Recalls in Canada Government Enforcement

Government Enforced Recalls 7 mandatory recalls 1997 - 2007 [<0.5% of recalls]

1999 Tatamagouche donair sausagehttp://www.inspection.gc.ca/english/corpaffr/recarapp/1999/19991124be.shtml

2001 Kanjac containing Jelly Cupshttp://www.inspection.gc.ca/english/corpaffr/recarapp/2001/20011121e.shtml

2002 Janes brand Battered Mozzarella Stickshttp://www.inspection.gc.ca/english/corpaffr/recarapp/2002/20020302ce.shtml

2003 Kid3.com capsuleshttp://www.inspection.gc.ca/english/corpaffr/recarapp/2003/20030604be.shtml

2003 Aylmer Meat Inc.http://www.inspection.gc.ca/english/corpaffr/recarapp/2003/20030824e.shtml

2003 Tandori Masalahttp://www.inspection.gc.ca/english/corpaffr/recarapp/2003/20031031e.shtml

2004 Labonte brand honeyhttp://www.inspection.gc.ca/english/corpaffr/recarapp/2004/20040403be.shtml

Number of Recalls: Imported vs. Domestic Products

0

50

100

150

200

250

300

350

400

450

2002-03 2003-04 2004-05 2005-06 2006-07

Year

Nu

mb

er o

f R

ecal

ls

Total Recalls

Imported Products

Domestic Products

Food Recalls in Canada National Recall Statistics

Food Recalls in Canada National Recall Statistics

April 1, 2006-March 31, 2007

Allergen 89 (36%)Microbial 64 (26%)Chemical 45 (18%)Extraneous Matter 26 (11%)Other 22 ( 9%)Total 246 100%

Numbers represent total recalls regardless of class

1%

1%

2%

3%

21%

21%

23%

29%

30%

37%

66%

16%

31%

39%

43%

47%

65%

64%

57%

62%

54%

33%

42%

46%

39%

35%

22%

6%

10%

8%

3%

3%

38%

12%

6%

8%

4%

1%

2%

2%

1%

1%

4%

11%

14%

11%

7%

7%

2%

4%

5%

5%

1%

0% 20% 40% 60% 80% 100%

ChinaIndiaBrazilKorea

MexicoItalyU.S.

JapanEngland / U.K.

GermanyCanada

Very positively Positively Negatively Very negatively Don't know / No answer

Chinese ProductsCanadian Consumer

Perception

When you think about products from each of the following countries, please indicate if you feel very positively about them, positively, negatively, or very negatively?

1%

1%

1%

2%

4%

19%

32%

33%

36%

43%

58%

11%

27%

34%

39%

41%

65%

60%

51%

55%

48%

40%

45%

48%

48%

34%

37%

6%

6%

10%

3%

3%

1%

40%

11%

8%

4%

6%

1%

1%

2%

4%

13%

9%

22%

12%

9%

2%

5%

5%

6%

1%

0% 20% 40% 60% 80% 100%

ChinaIndia

MexicoBrazilKoreaItalyU.S.

JapanEngland / U.K.

GermanyCanada

Very safe Safe enough Not safe enough Very unsafe Don't know / No answer

Chinese ProductsCanadian Consumer

Perception

When you think about the safety of products that you buy that are made in the following countries, please indicate if you consider them very safe, safe enough, not safe enough, or very unsafe?

Product Safety

11%

36%

53%

0% 10% 20% 30% 40% 50% 60%

I doubt I will ever start looking forways to avoid products from China

I don't yet look at labels and avoidproducts from China but I might at

some point

I find myself looking at labels andavoiding products from China

Chinese ProductsCanadian Consumer

Perception

Which of the following best describes you…

Food Safety in CanadaUseful References

Best Practices: “Importer Food Safety Workbook”

 http://iecanada.com/publications

Best Practices: “Good Importing Practices for Food”http://www.inspection.gc.ca/english/fssa/imp/goodbonne.shtml

Government recommended recall procedures Manufacturer

http://www.inspection.gc.ca/english/fssa/recarapp/rap/mgguide.shtml Retailer

http://www.inspection.gc.ca/english/fssa/recarapp/rap/rgguide.shtml Distributor

http://www.inspection.gc.ca/english/fssa/recarapp/rap/dgguide.shtml Importer

http://www.inspection.gc.ca/english/fssa/recarapp/rap/igguide.shtml

Food Recalls & Consumer Perception in Canada Food

Dr. Keith MussarKeith Mussar & Associates

Canadian Association of Importers & Exporters

E-mail: kmussar@hotmail.comE-mail: kmussar@iecanada.com