How to avoid costly product recalls

Posted by AFN Staff Writers on 24th June 2015

FoodLegal_Square_LogoFood Standards Australia New Zealand (FSANZ) coordinates and monitors food recalls in Australia, and its figures show there are typically around five official food recalls per month. This figure does not include the many more voluntary product withdrawals that occur every month. More than one-third of all food recalls are because of non-compliant labelling issues, with undeclared allergens the main concern.

As food and beverage companies are under more pressure than ever to deliver new products, the number of extra ingredients and additives is growing. The supply chains are becoming longer and more complex and therefore traceability is becoming an issue.

Supermarkets want product innovation, and competition for aisle space means the smallest advantage can be the point of difference between a product’s success and failure.

As budget-cuts are putting pressure on compliance teams, the need for quick and confident decision-making is more important than ever. But the costs of a mistake can destroy a new product or may cause long term damage to brand reputation and sales.

Solutions available

FoodLegal principal Charles Fisher says if a product needs to be recalled, the minimum cost including payment to supermarkets for product withdrawal is well over $100,000 for the company. “This figure can easily reach $2 million if the product is a popular one sold nationwide”, Mr Fisher said. The brand damage on top of that cannot easily be calculated.

A quick look at recent food recalls shows that asking the right questions and finding innovative solutions would have saved the companies hundreds of thousands of dollars. Mistakes happen when people are under pressure and corners are cut. With the right support and effective compliance systems, many food recalls can be avoided.

FoodLegal works with its clients to ensure food recalls do not happen. With an in-depth knowledge of the Food Standards Code and other regulations, FoodLegal has the expertise to ask the right questions and find innovative solutions. FoodLegal’s compliance systems can provide the appropriate risk assessment to match each client’s needs and risk profile.

FoodLegal InHouseTM enables subscribers to make better decisions for themselves. FoodLegal InHouse can give compliance personnel of any food company the confidence to find their own solutions to complex compliance issues.

New insights into the new Food Standards Code

A recent presentation at the FoodLegal Symposium highlighted that FSANZ hopes the new Food Standards Code will simplify product compliance, but the experts have a different view and there are numerous concerns with the new Food Standards Code (effective 1 March 2016) and its impact on compliance decision making for product development and food marketing campaigns.

FoodLegal has had unprecedented demand for information and training on the new Food Standards Code. The recent FoodLegal Symposium in Melbourne sold out but there are still a few remaining seats at the Sydney and Brisbane Special Briefing events.

“New insights into the new Food Standards Code”

During July 2015, FoodLegal principal Charles Fisher is delivering all the learning conclusions drawn from all of the FoodLegal Symposium presentations, examining the compliance issues, and will deliver fresh insights into the new Food Standards Code as well as new developments.

For those who missed the recent FoodLegal Symposium in Melbourne, this two hour briefing session with Charles Fisher to be held in both Sydney and Brisbane is a “must do”.

Tickets are limited. Price: $295 (incl. GST) pre-booking is required.

Sydney: Tuesday 7th July 2015, Enter from 8.30am for a 9am start – 11.00am, Cliftons Sydney: 13/60 Margaret Street, Sydney NSW

Brisbane: Thursday 16th July 2015, Enter from 8.30am for a 9am start – 11.00am, Mt Ommaney Hotel: Cnr Dandenong Road & Centenary Highway, Mt Ommaney, Brisbane, Queensland

Register HERE

FoodLegal also delivers tailored training on the new Food Standards Code at your premises. The full day event is unique for each company and will ensure your staff make the right decisions for the future compliance of your products. Please call FoodLegal on 03 9606 0022 and we can tailor a package to your needs.