Dairy Industry – taking responsibility for food safety Helen Dornom

Dairy Australia

Food safety is not negotiable

Australia’s Dairy Industry • Australia’s third largest rural industry

• $13 billion farm, manufacturing and export industry

producing over 9 billion litres annually

• approx 6400 dairy farmers

• Directly employs 43,000 people, indirectly 100,000

• $4 billion farm gate value, rural based industry, where 1 in 8 Australians live

• Exports around 40 % of its production to over 100 countries earning $2.76 billion

• Fourthd largest international dairy trader - with 7% of world dairy trade (NZ 37%, EU 31%, USA 11%)

• Top 5 markets – China, Japan, Singapore, Malaysia and Indonesia

• Major export products – cheese, milk powders, butter, milk (UHT)

•Contaminants

•Pathogens

•Residues

•Toxins

•Animal Health

•Animal Welfare

•Environment

•Management of

access to natural

resources

•Contaminants

•Environment

•Media issues

•Consumption barriers

•Market barriers

•Competing Products

Potential Food Safety Issues

6

Pathogen Prevention Technologies

Temperature control

processing

storage

traceability

Cleaning in process

Post pasteurisation hazard management

Post pasteurisation raw material and ingredient

management

Verification testing

Factory Food Safety Programs

Physical Contaminants

Chemical Contaminants

Microbiological Contaminants

Dairy Milking Premises

Hygienic Milking

Water Supply & Quality

Cleaning & Sanitising

Traceability & Records

Personnel Competency

Farm Food Safety Programs

8

Auditing

Regulatory

Company

Customer

Monitoring and surveillance

Company testing

National survey (AMRA)

Export Certification

Verification

Roles of Government Authorities in Australia

• Certify Exports of dairy products and provide official assurances

Department of Agriculture

• Develop National Food Safety Policy and Standards

Food Standards Australia New Zealand

(FSANZ)

• Implement National Food Safety Policy and Standards

State Regulatory Authorities

FEDERAL

GOVERNMENT

STATE

GOVERNMENTS

Food safety starts here

But systems are different

Replacements

Live Export

Fodder

Mixed Farm

Cull Cows Calves

Reared for beef Vealers

Abattoirs

Milk

Farm Enterprise

Meat Other Animals

Media

Education / Academics Scientists

Health Professionals

Activist / interest groups

Health Organisations

Policy Makers

Community

Government & regulators

Food Industry

Industry Service

providers

Agricultural Interest groups

Customers

Financial Institutions

DAIRY PRODUCT ENVIRONMENT

• Many components: – NRM – Animal health and welfare – Food safety – Employer skills and employee

attraction – Politicians and investor

communication – Product promotion and

Nutrition – Investor confidence by existing

owners and new capital

The dairy industry brand

Can we afford not to keep up with changes in

risks/technologies?

Whole Chain Approach

Profitability

Inputs Farm Manufacturing Retail

Export

Consumers

Whole Chain Approach

Profitability

Export

Consumers

Challenges for food safety

Sustainability

- doing more with less

- food waste

Animal Health

Animal Welfare

Innovation and regulation

Technical barriers to trade

An established framework

SDPI’S

PRIVATE VETS

VOCATIONAL TRAINERS

National Standards

Dairy Industry On-farm QA system

SELF ASSESSMENT

Sources of risk

Verification International

Standards

Contamination Spoilage Pathogens

Odours Water pollution Carbon Noise

Husbandry Production diseases Land transport

Exotic diseases Endemic diseases Weeds & pests

Skills & knowledge Zoonotic diseases

BIOSECURITY

OH&S

ANIMAL WELFARE

FOOD SAFETY

ENVIRONMENT

DAIRY COMPANIES

LOCAL GOV’T

EPA’S

SDFA’S

… how to select a manufacturer ?

Added values for strategic suppliers

3 basic criteria for all the suppliers Product safety

Ethics

Chain quality

Product quality

Product availability

Increasing scrutiny on major food companies

• Oxfam reviewed “Big 10” food and beverage companies – “Behind the Brands report” (Feb 2013)

• 7 billion food consumers in the world, 1.5 billion food producers

< 500 companies control 70% of food choice

• The “Big 10” ranked against: agricultural policies; public commitments; supply chain oversight

• collectively generate > $1.1billion a day, employing millions of people)

- Nestle (56%) - Danone (29%)

- Unilever (49%) - Mondelez International (29%)

- Coca-Cola(41%) - General Mills (23%)

- Pepsico (31%) -Kelloggs (23%)

- Mars (30%) - Associated British Foods (19%)

Food Waste • Australia – 3 - 4 Mt of food worth $5 to $8B

wasted annually; average household throws away between $600 to $1,000 worth of food per annum (Food Wise)

• UK - 33% of food bought by householders thrown away – most (worth around $15B) could be eaten (Waste Resources Action Programme (WRAP))

Need to continually adapt to understand

and manage food safety risks