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woolworths recalls salmonella almonds
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food contamination – are you prepared?
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product contamination can have a devastating impact on a company’s reputation, operations and financial performance. according to michael lincoln, national underwriting manger for crisis management, liberty international underwriters, consumers need to know that the products they purchase are safe and reliable. when a company fails to provide that certainty, it can quickly become a crisis. “the cost of a product recall is widespread and can be incurred by the manufacturer right through to the wholesaler, distributor or retailer,” said mr lincoln. a costly crisis when an australian fruit juice manufacturer discovered a potentially deadly outbreak of salmonella at one of its manufacturing plants, it was nothing less than a crisis. around 500 cases of salmonella poisoning had been reported to authorities after people had consumed the juice, and the large scale of the poisoning invoked a major crisis response. the medium-sized company, with a turnover of around $9 million, was concerned about the effect on customers, as well as its business. it worked closely with the health authorities to recall its products from supermarkets and smaller retail outlets, and was prevented from trading for six weeks until the source of the outbreak could be found. of course, this had a negative impact on its brand, which lost market share immediately and for some time following. eventually, the salmonella was traced back through the supply chain to the supplier of the fruit. nonetheless, the impact was felt primarily by the juice company, which suffered considerable losses, as follows: recall costs and consultants/ advisers costs:a$449,801.38
advertising expenses: a$40,000.00
loss of profits: a$608,136.00 imagine the difficulties this could cause for your company if it did not have insurance. what type of cover do you need? the australian juice manufacturer case study demonstrates the unpredictable nature of contamination, often beyond the control of any one company in the supply chain. when handled correctly, though, the impact of such an incident can be limited and the damage minimised. the good news is there is protection available. liu ‘s contaminated product insurance policy can provide companies in the supply chain with coverage for a broad range of insured events, including accidental contamination, government recall, alleged contamination , intentionally impaired ingredient, malicious product tampering and product extortion. when a crisis hits, the costs start adding up, including recall costs consultant and advisor costs, business interruption, rehabilitation expenses, extortion costs and replacement costs. mr lincoln points out that preparing for the possibility of such an incident is vital. “preparing for a crisis is just as important as the response itself and companies should be looking at risk management options to minimise losses if, and when, a crisis occurs,” he said. “liu takes a risk mitigation approach to crisis management. specialist consultants can help companies identify risks and prepare a crisis response plan. if a crisis does hit, the consultants we have arranged provide immediate advice and support”. a company in crisis is under a microscope and needs to act swiftly and confidently to reassure consumers that everything is under control. liu’s crisis management solutions assist each client to be fully prepared, helping to protect its reputation and get back on its feet as soon as possible. -->
Source :ausfoodnews.com.au
Date :
6
April
2010
Category :
Food And Health
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speed is essential for pinpointing the source of food contamination and saving lives, according to a new study examining the 2008 salmonella outbreak caused by mexican peppers, but first linked to us tomatoes. epidemiologists from the centers for disease control and prevention (cdc), writing in the new england journal of medicine , said that better traceability, better understanding of how foods become contaminated on farms, and continued exploration of alternative hypotheses during an outbreak are necessary to reduce the impact of such occurrences in the future.
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senator patrick leahy (d-vt) has written to the department of justice to demand an update on its investigation of former peanut corporation of america president stewart parnell. the peanut corporation of america (pca) was the company linked to a nationwide salmonella outbreak in 2008 and 2009 in which more than 700 people became ill and nine died. the outbreak also led to a massive recall of peanut products – one of the largest food product recalls in us history – and food and drug administration (fda) investigators claimed that the company knowingly shipped tainted products.
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campylobacter has been detected on the external packaging of 40 per cent of fresh chickens on sale in shops across one major uk city, a study has found. the report from birmingham city council urged meat processors to use stronger packaging , called on supermarkets to employ better display techniques and suggested a public awareness campaign in a bid to cut the risk of cross-contamination of the foodbourne bacteria from external packing.
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finsbury food group has become embroiled in a spat with insurers over who will cover the cost of recalling products caught up in the egg dioxin scare. duffy: insurance spat the baker, which posted a 6% rise in sales in the six months to jan 1, recently received a batch of liquid egg containing a small percentage of eggs from a farm in germany that were potentially affected by the dioxin contaminated feed incident.
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in the wake of a spate of high-profile foodborne illness outbreaks, the food safety modernization act passed the house on tuesday and is heading to the president, who has said he will pass the bill into law. passing with a vote of 215-144, the bill faced a large number of obstacles along the way, including a filibuster attempt, a technical glitch, and strong debate over certain amendments, despite enjoying widespread bipartisan support from industry, consumer, and health organizations.
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long-stalled food safety legislation could reach the senate’s agenda this week, while a coalition of 125 organizations continues to push for an amendment to exempt small businesses. majority leader harry reid (d-nev) intends to bring the food safety modernization act forward for a senate vote on wednesday, the hill reports. the bill has been stalled since it passed unanimously through committee last november.
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a federal judge has rejected challenges to a law requiring mandatory pasteurization of almonds to reduce risk of salmonella contamination. the law, which was designed with input from the almond board of california and industry, was first introduced in 2007 largely in response to two salmonella outbreaks linked to unpasteurized almonds – one in canada in 2001, and a second in oregon in 2004.
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Coca.Cola
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PEPSI
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Mcdonald
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Nestle
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Mars
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Baskin & Robins
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Nutrika
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Mumika
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Chika
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advances in 
