Under the new U.S. food safety legistlation, foreign suppliers will be subject to the same rules and regulations as U.S. domestic producers.
Participants at I.E.Canada’s 5th Annual Food Forum had the fortune to learn about the U.S. government’s plans for a new food safety bill from Dr. David Acheson, Managing Director for Food and Import Safety, Leavitt Partners LLC. Dr. Acheson is also the former Associate Commissioner for Foods for the U.S. Food and Drug Administration (FDA) and Chief Medical Officer at the U.S. FDA Center for Food Safety and Applied Nutrition (CFSAN). He provided an eye opening view of the legislation and what it will mean to food importers.
In 2010, the U.S. government will have a new food safety bill in place. Currently, there are two bills under review in the U.S. Senate and the House of Representatives. It is expected that this bill will be passed in 2010, and that the bill will affect almost all food and food products being imported into the U.S.
Of the two bills, one has been passed by the House of Representatives and the other by a committee of the senate called the Education, Labour and Pensions Committee. The Senate committee bill is now under consideration by the entire Senate. When that is passed, the next step is for the House Bill and Senate Bill to be combined into one bill, which is anticipated to be passed and will come into law this year.
Acheson explained that the U.S. government is responding to public pressure to increase efforts to ensure food chain safety. Recent high profile outbreaks and recalls have led to decreased consumer confidence in the food supply and have highlighted the need for change. The globalization of the food chain has made the system far more complex, and current safety measures need to be updated in order to respond to this complexity.
The biggest change will be that foreign suppliers will be subject to the same rules and regulations as U.S. domestic producers. The first step will be for all food companies to register annually, or possibly biannually, with the U.S. government. In order to be registered, companies will be required to have a food safety and food security process in place, and registration will involve a validation process that will include inspections and standards.
Food importers will now be responsible for ensuring that the companies they import from are registered with the U.S. – in Canada, there are approximately 14,000 that are registered.
New traceability requirements for food will also be implemented, although the level of detail is still being debated but is expected to be significant. As an example, some discussion focused around a loaf of bread suggested that the inputs be traceable to the point of determining which farmers field the wheat for the flour originated from. The concern is that many producers, particularly those in developing countries, lack the capability of collecting and maintaining this level of information.
Acheson highlighted the fact that all participants in the food industry will be impacted by the legislation – growers, importers, manufacturers and distributors, and retail and food service outlets.
On the importer side, food importers will be required to meet the certification requirements, pay registration and importing fees, have a unique identifier for identification, and implement good importing practices, which must be applied to the importer’s broker as well. Country of origin labelling requirements are also being expanded, which will have a impact on the importer.
The key message in all this is that the food importer will be held responsible for ensuring the safety and security of the food he or she imports. They must ensure that programs are in place to avoid the accidental contamination of food, as well as ensuring that no intentional contamination occurs. Importers will be responsible for the verification of foreign supplier, ensuring that they meet all the same requirements as U.S. manufacturers.
The food industry is concerned about the annual or bi-annual registration process, which will likely require significant capital, human and financial resources. There will be an inspection fee, that all food companies (both domestic U.S. and foreign) will be required to pay, as well as the underlying costs that will be associated with ensuring that all the standards needed to garner certification are met. The added costs will be a burden, particularly to small and medium sized companies. Other issues, such as finding and/or training individuals and companies to carry out the accreditation process will be a concern, particularly when it comes to inspecting facilities outside of the U.S.
Acheson believes that the food chain will be increasingly scrutinized and that the intensity level surrounding food safety and security will increase. He predicts that we will see more recalls and warnings. He also believes the cost of being in the food business will increase, as federal budgets will not keep pace with the requirements of the new bill.
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