Steering committee makes progress on traceability standards at first meeting
Steering committee makes progress on traceability standards at first meeting
WASHINGTON -- Three produce associations moved one step closer to adopting industrywide traceability standards, an effort that the groups acknowledge won't come cheap to a company's bottom line but is urgently needed.
The Produce Marketing Association and the Canadian Produce Marketing Association started the work on forging best practices for tracing produce years ago, and the United Fresh Produce Association joined last year and helped form a steering committee in October with more than 30 companies representing all segments of the supply chain. The committee held its first meeting Jan. 9 in Atlanta.
"It's clear from the committee's discussions that now is the time to move aggressively to adopt a consistent, industrywide approach to traceability," Food Lion LLC Chief Operating Officer Cathy Green, who chaired the steering committee of the Produce Traceability Initiative, said in a statement. "The industry can no longer afford to do business the way we have in the past.
"Everyone will need to make some investments -- big and small companies, buyers and sellers -- and while we recognize there are significant challenges of traceability, there is broad support from the industry and a deep commitment to act," she added in the statement.
At the first meeting in Atlanta, the group agreed to four principles: to adopt GSI produce traceability standards; to develop a timeline for adopting the standards; to set a goal of implementing the standards at the case level; and to explore ways for companies to demonstrate commitment to the new standards.
"I think the most important thing was the commitment to move forward with GS1 standards," said Tom Stenzel, president of the United Fresh Produce Association.
The new steering committee agreed to follow the GS1 standard developed by the international standards organization GS1 (formerly known as EAN-UCC) and used for more than 25 years on packaged foods.
"A lot of companies have good traceability programs but they're different," so this will move to harmonize them, said Mr. Stenzel.
Adopting GS1 alone is huge for the industry, because it will set a consistent, global benchmark and avoid the costs of complying with various standards, said CPMA's Jane Proctor, director of industry technology and standardization.
Gary Fleming, vice president of industry technology and standards for PMA, said that he hopes the steering committee sets a timetable for adopting the new standards at the next meeting. "Without the added teeth, nothing would happen," he said. "And if we don't do it soon, the government will do it for us."
Mr. Fleming said that U.S. regulators are monitoring the process closely to make sure the produce industry gets it right.
Clearly there is a sense that a supply chain-wide traceability system will cost money, so the steering committee asked the more than 30 companies to look at their own operations and report back on what it would cost and how long it would take to implement a tracking system, said Mr. Stenzel.
"We want to make sure we're aggressive but realistic at the same time," said Mr. Fleming, who said that he hoped the next meeting would involve candid discussions from the steering group members that will lead to a timeline for adopting industrywide traceability standards.
Every company will need to make investments in a system that will provide faster information in a recall and fine-tune a company's ability to pinpoint a food-safety program.
The industry now realizes it is only as strong as its weakest link, said Mr. Fleming, who said that he predicts the steering committee will wrap up work on a traceability standard in six months.
Ms. Proctor said that after much discussion, the group agreed to set the goal of reaching for traceability at the case level and then move to item-level coding in the future.
"We wanted to focus on what everyone can achieve now," she said. "This is the best we can do across the board."
It's too early to say how much the system will cost, said Ms. Proctor, because it will depend on the size of the operation and whether a company adopts a sophisticated RFID-based system or a more basic paper-based program. It could have a significant impact, but the cost will be greater for companies without a traceability solution, she said. In the end, the cost will depend on a company's internal deliberations.
Another principle agreed to at the meeting was the need for companies to demonstrate their commitment to a new produce traceability standard. "Implementation is sure to begin gaining momentum across the industry when both buying and selling companies start signaling their support for the business process changes that will be necessary," said Ms. Green of Food Lion. "When buyers state their commitment for traceability standards, and suppliers begin to make similar commitments, then things will really change."
Another important effort by the group was the pledge to post the committee's minutes on their web sites and explore ways for others to comment on the process.
"We want it to be transparent and give access to the entire industry," said Ms. Proctor.
"The last thing we want to do is create a perception that this is an exclusive club," she said.
The Produce Marketing Association and the Canadian Produce Marketing Association started the work on forging best practices for tracing produce years ago, and the United Fresh Produce Association joined last year and helped form a steering committee in October with more than 30 companies representing all segments of the supply chain. The committee held its first meeting Jan. 9 in Atlanta.
"It's clear from the committee's discussions that now is the time to move aggressively to adopt a consistent, industrywide approach to traceability," Food Lion LLC Chief Operating Officer Cathy Green, who chaired the steering committee of the Produce Traceability Initiative, said in a statement. "The industry can no longer afford to do business the way we have in the past.
"Everyone will need to make some investments -- big and small companies, buyers and sellers -- and while we recognize there are significant challenges of traceability, there is broad support from the industry and a deep commitment to act," she added in the statement.
At the first meeting in Atlanta, the group agreed to four principles: to adopt GSI produce traceability standards; to develop a timeline for adopting the standards; to set a goal of implementing the standards at the case level; and to explore ways for companies to demonstrate commitment to the new standards.
"I think the most important thing was the commitment to move forward with GS1 standards," said Tom Stenzel, president of the United Fresh Produce Association.
The new steering committee agreed to follow the GS1 standard developed by the international standards organization GS1 (formerly known as EAN-UCC) and used for more than 25 years on packaged foods.
"A lot of companies have good traceability programs but they're different," so this will move to harmonize them, said Mr. Stenzel.
Adopting GS1 alone is huge for the industry, because it will set a consistent, global benchmark and avoid the costs of complying with various standards, said CPMA's Jane Proctor, director of industry technology and standardization.
Gary Fleming, vice president of industry technology and standards for PMA, said that he hopes the steering committee sets a timetable for adopting the new standards at the next meeting. "Without the added teeth, nothing would happen," he said. "And if we don't do it soon, the government will do it for us."
Mr. Fleming said that U.S. regulators are monitoring the process closely to make sure the produce industry gets it right.
Clearly there is a sense that a supply chain-wide traceability system will cost money, so the steering committee asked the more than 30 companies to look at their own operations and report back on what it would cost and how long it would take to implement a tracking system, said Mr. Stenzel.
"We want to make sure we're aggressive but realistic at the same time," said Mr. Fleming, who said that he hoped the next meeting would involve candid discussions from the steering group members that will lead to a timeline for adopting industrywide traceability standards.
Every company will need to make investments in a system that will provide faster information in a recall and fine-tune a company's ability to pinpoint a food-safety program.
The industry now realizes it is only as strong as its weakest link, said Mr. Fleming, who said that he predicts the steering committee will wrap up work on a traceability standard in six months.
Ms. Proctor said that after much discussion, the group agreed to set the goal of reaching for traceability at the case level and then move to item-level coding in the future.
"We wanted to focus on what everyone can achieve now," she said. "This is the best we can do across the board."
It's too early to say how much the system will cost, said Ms. Proctor, because it will depend on the size of the operation and whether a company adopts a sophisticated RFID-based system or a more basic paper-based program. It could have a significant impact, but the cost will be greater for companies without a traceability solution, she said. In the end, the cost will depend on a company's internal deliberations.
Another principle agreed to at the meeting was the need for companies to demonstrate their commitment to a new produce traceability standard. "Implementation is sure to begin gaining momentum across the industry when both buying and selling companies start signaling their support for the business process changes that will be necessary," said Ms. Green of Food Lion. "When buyers state their commitment for traceability standards, and suppliers begin to make similar commitments, then things will really change."
Another important effort by the group was the pledge to post the committee's minutes on their web sites and explore ways for others to comment on the process.
"We want it to be transparent and give access to the entire industry," said Ms. Proctor.
"The last thing we want to do is create a perception that this is an exclusive club," she said.
