Integrated chain management for food safety in the dairy industry: The role of the CGCSA:FSI GMCBP
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1 Integrated chain management for food safety in the dairy industry: The role of the CGCSA:FSI GMCBP J Burger 23 July 2014
2 DSA Overview The Dairy Standard Agency (DSA) is a non profit company established by the organized dairy industry Its members are from SAMPRO, MPO, SASDT and SANCU The projects of the DSA are funded: o Milk South Africa from levy income (statutory) in terms of regulations issued by the Minister of Agriculture, Forestry and Fisheries under the Marketing of Agricultural Products Act, o Non-statutory (user pay) projects o Organizations contributing to the DSA Dairy Quality Club.
3 DSA Primary goal to promote the improvement of compliance in respect of safety, product composition and metrology standards Mandate: Monitoring of milk and other dairy products Communication with industry and other stakeholders Support service to the dairy industry and other stakeholders
4 MILK SA STRATEGIC FUNCTIONS INFORMATION RESEARCH & DEVELOPMENT MILK SA TRANSFORMATION: PRIMARY SECTOR TRANSFORMATION: SECONDARY SECTOR CONSUMER EDUCATION IMPROVE DAIRY QUALITY INTERNATIONAL TRADE DISPENSATION
5 DSA in context of the structure of Milk SA SA MILK PROCESSORS ORGANISATION (SAMPRO) MILK PRODUCERS ORGANISATION (MPO) MILK SOUTH AFRICA DAIRY STANDARD AGENCY (DSA) NATIONAL CONSUMERS UNION (SANCU) SOUTH AFRICAN SOCIETY OF DAIRY TECHNOLOGY (SASDT)
6 Food safety management and the dairy industry advanced food safety management has a direct influence on how the dairy industry today operate it s businesses and manage risk milk producers and processors/manufacturers that adopt and utilize food safety management effectively are positioned to capitalize on improving business conditions being competitive does not come without challenges, exposing the industry to new areas of risk and vulnerability
7 The SA dairy industry is no different from other food industries, facing many significant risks from public criticism of corporate responsibility issues in the supply chain. A supply chain that includes issues such as animal welfare, biosecurity, biotechnology, environment, fair trade, food safety, and labour and human rights.
8 Food safety risks and the dairy value chain In terms of risk and for a sustainable dairy industry effective food safety and risk management upstream and downstream the value chain is key. Food safety and risk management to be effective must provide for well-established and implemented control measures (pro active and reactive) as an integral part of management along the food chain. Control measures that apply to all outcome specifications at the different steps in the food chain must ensure that potential gaps in the continuum are effectively dealt with.
9 Control measures in the dairy value chain Environment Crop production and harvesting Feed manufacturing Animal husbandry/milk production Processing/Manufacturing Transport & Distribution Retail Consumer
10 SA Dairy Supply Chain 2000 commercial dairy farmers = 2.7 billion litres milk = approx. 330 dairy processors incl. pd s = 6 large retail companies
11 The South African Primary Industry The number of milk producers has decreased from 3899 in Jan 2007 to 2083 in September 2013 Since 2007 a decrease of 47% Biggest decrease occurred in Mpumalanga (67%)
12 Number of milk producers per province (source: Lacto Data)
13 Size distribution of dairy herds (source: Lacto Data)
14 Source: Lacto Data
15 The South African Secondary Industry (Source Lacto Data)
16 Source: Lacto Data Nov 2013
17 Source: Lacto Data
18 Market share Top 37 milk processors and other dairy product manufacturers are responsible for more that 85 % of dairy products in the retail market
19 Dairy industry: food safety and quality For certain sections of the dairy value chain: food safety management/prp s is an emerging issue food safety is not always fully understood (retail bulk milk sector) food safety measures are not always risk based with a tendency to be rather reactive than proactive
20 Regulatory environment and the dairy industry o Health Sector: National, Provincial, Local. o Agriculture Sector: National, Provincial and assignees (PPECB) o Trade and Industry: Metrology, NRCS Regulatory Division. o Trade and Industry: Consumer Commission and the Consumer Protection Act. o Industry self regulation: Dairy Standard Agency and retail sector. o Voluntary standards: eg SANS 10049/ISO 2200.
21 Regulatory environment and the dairy industry The philosophy of new food legislation and voluntary standards places strong focus on prevention of contamination in the food supply. Risk-based approach on food facilities and products based on legislation and industry standards are paramount. Feed manufacturers, milk producers and manufacturers of dairy products are expected to establish, implement, and monitor comprehensive prevention-based food safety systems, as well as maintain plans for corrective actions when necessary.
22 SA Dairy Supply Chain 2000 commercial dairy farmers = 2.7 billion litres milk = approx. 330 dairy processors incl. pd s = 6 large retail companies
23 Retailers and Wholesalers
24 Retailers and GMCBP A capacity building programme for small, medium, large and/or less developed suppliers that will assist in developing effective food safety management systems through a systematic continuous improvement process, enabling suppliers to achieve certification, if applicable
25 What drives the dairy industry to compliance o Is it pressure from the retail industry to conform to higher level of standards? o Is it fear of litigation CPA? o Is it corporate governance and ethics? There must be something more
26 Creating a culture of compliance Creating a culture in industry of striving towards standards that go beyond by what is required by national law to: satisfy the needs of the consumer ensure legal compliance gain maximum benefit from available technology and risk based food safety management systems support the principles of integrated chain management make national and international commerce easier to conduct To assist in this regard the use of voluntary code of conduct serves as a valuable tool.
27 Code Conduct vs Code of Practice Code of conduct has more the sense of moral correctness within society. o Statement of intent o Long term objective. o Guiding principles Code of practice is used in the commercial/ business sense to describe procedural matters.
28 Food safety and integrated chain management in the dairy industry Food safety should be a shared effort among all role players of the food chain with specific reference to the milk producer, the manufacturer, the distributor and the retailer. Knowledge of the inter relationship and impact of one segment of the dairy chain on another segment is important to ensure potential gaps in the continuum are dealt with through effective communication and interaction between the stakeholders. It makes perfect sense that food safety and risk management control measures implemented along the food chain are interconnected.
29 Food safety and integrated chain management Crop production Feed manufacturing Milk production Dairy processing/ manufacturing Retail Consumer
30 Principles that drive ICM for food safety in the dairy value chain 1. Effective communication 2. Food safety skills 3. Reliable suppliers 4. Targeted hazard control 5. Shared responsibilities 6. Acceptance criteria 7. Performance of the control measures 8. Co-operation of organizations 9. Role of competent authorities
31 Risk Risk Risk Risk Risk
32 MILK PRODUCTION PROCESSING/MANUFACTURING ICM and GMCBP DSA COP/FSI:GMCBP benchmarked criteria DAFF Export Certification DSA COP/FSI:GMCBP benchmarked criteria PROCESSING/ MANUFACTURING
33 DSA guideline documentation in support of GMCBP Code of Practice: An industry tool towards due diligence and performance measurement
34 DSA guideline documentation in support of GMCBP Code of Practice: An industry tool towards due diligence and performance measurement
35 DSA guideline documentation in support of In process of review GMCBP Guideline documentation is food sector specific Secondary industry COP to cross reference to basic and intermediate GMCBP checklists and guidelines GMCBP training to be done in conjunction with primary and secondary COP guideline material
36 Improvement of dairy quality and safety is a collective effort that requires effective collaboration between the regulators and all other stakeholders Thank you
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