@Risk

Focused on supplier risk issues for business leaders

New Study Estimates Annual Health-Related Costs from Foodborne Illness in U.S. is $152 Billion

March 09, 2010 | No Comments →

A new study by a former U.S. Food and Drug Administration (FDA) economist estimates that the total annual health-related costs of foodborne illness across the nation is $152 billion annually – four times that of earlier estimates calculated by the U.S. Department of Agriculture.

This total is based on an FDA cost-estimate approach: health-related costs are the sum of medical costs (physician services, pharmaceuticals, and hospital costs) and losses to quality of life (lost life expectancy, pain and suffering, and functional disability). It includes the costs of medical bills, lost wages and lost productivity. (Note: These are health-related costs only. An aggregate economic impact total that included losses to food manufacturers and distributors involved in recalls would be significantly higher.)
(more…)

CDC Investigates New Multistate Outbreak of Salmonella Infections

February 04, 2010 | Comments (2)

The food industry is contending with yet another recall of contaminated food.

This time, the Centers for Disease Control and Prevention (CDC) is collaborating with public health officials in many states, the U.S. Department of Agriculture’s Food Safety and Inspection Service (FSIS), the U.S. Food and Drug Administration (FDA), and the State of Rhode Island to investigate a multistate outbreak of a particular strain of Salmonella.

Since July 1, 2009, 207 individuals from 42 states and District of Columbia have been sickened with this Salmonella strain, and preliminary analysis of this study has suggested salami as a possible source of illness. As a result, Daniele International Inc., an establishment with operations in Pascoag and Mapleville, R.I., recalled approximately 1,240,000 pounds of ready-to-eat (RTE) varieties of Italian sausage products. Specifically, the FDA is actively investigating the supply chain of the black pepper used in the manufacturing of the recalled meat products.

The CDC has identified three interesting and unique features of this outbreak: (more…)

Nestle Now Using Heat-treated Flour to Mitigate Cookie Dough Contamination Risks

January 21, 2010 | No Comments →

Last week, Nestle announced that it will begin using heat-treated flour in the manufacture of its Nestle Toll House refrigerated cookie dough.

This move came two days after routine testing found two samples of Nestle Toll House refrigerated cookie dough manufactured at the company’s Danville, Virginia facility were contaminated with E. coli O157:H7. The finished product involved never left the factory or entered the supply chain. None was shipped, and no product is being recalled.

However, this new incident certainly serves as yet another wake-up call that more needs to be done to make this product –and by extension, the entire food supply –safe. (more…)

Deloitte: Three Steps to Mitigate Risks in Food Supply Chain

January 15, 2010 | No Comments →

grocery store

Increased globalization introduces new risks throughout every company’s supply chain –but the challenges are particularly formidable for food manufacturers and distributors.

As remarkable as it sounds, statistics from the U.S. government show that food illnesses now sicken one in four Americans and kill 5,000 each year.

Of course, the food industry suffers from these outbreaks, too, losing not only precious consumer confidence, but billions of dollars in sales and legal costs, as well.
New food safety standards, certifications, and industry guidelines are evolving, as are long overdue updates to food safety legislation.

But, what can companies do today to ensure the safety of their business and their consumers?

A new report from Deloitte deep dives into this issue and suggests companies follow a holistic approach to manage food safety risks. According to the report, this type of comprehensive approach involves three fundamental steps: (more…)

Most Americans Give Food Supply Safety a Grade of B or C

January 11, 2010 | No Comments →

When asked to grade the safety of the nation’s food supply, most Americans in a recent CBS News poll gave the country a C (34 percent) or a B (33 percent). A mere 7 percent said they would grade the safety of the food supply with an A, while 18 percent responded with a D, and 6 percent with an F.

Even though the U.S. has one of the safest food supplies in the world, it’s clear that high-profile outbreaks of food-borne illness over the past decade have eroded public confidence –and for good reason. Outdated legislation and inconsistent regulation, coupled with supply chains grow that continue to expand in complexity and global reach, have created serious concerns about food supply safety.

More and more, grocery store shelves are stocked with food imported from other countries, but the vast majority of these products have not been inspected by the FDA.  As CBS News reports: (more…)