Protecting the co-product supply chain

That means products, such as potatoes and other vegetables, must be reliably stored for relatively long periods, and supplied to processors as they are needed. This is the only way to avoid the problems that seasonal availability cause and ensure that the food industry can deliver co-products to customers all through the year, predictably and reliably.

Use of sprouting inhibitors is therefore very important to the food industry, enabling products such as potatoes to be stored reliably for months on end without sprouting. That’s the key to a predictable, well-managed supply chain, ensuring efficient production of food products and continuous availability of co-products. 

 

The supply chain at risk

A widely used sprouting inhibitor 1,4 Dimethylnaphtalene (abbreviated as DMN) is marketed by Dormfresh across Europe as 1,4-sight, except in France, where it is called Dormir. It has been successfully used for over a decade with no evidence of harm to the environment, humans or animals. In 2014 the manufacturers began the standard process for renewing the product’s operating licence in the EU, a process that routinely requires up to two years’ work before approval is given.

This time, however, a problem arose. No data had been systematically gathered concerning the potential for transfer of 1.4 DMN into human food products as a result of metabolisation in co-products used as animal feed. This led to a “data-gap”, which normally requires additional research and testing before approval can be confirmed. This process, however, does not usually lead to suspension of usage, yet this time, most unusually, the French health and safety executive: ANSES, opposed further approval for use of Dormir. In fact, they made a ruling that vegetables treated with the product should no longer be used for animal feed, pending further tests.

This decision was not widely publicised and other EU member states did not follow the French lead. The issue only started to cause problems for the food processing and co-product industries when trading between member states was involved.

 

Disruption to the industry

A French food processing company signed a contract to buy potato flakes from a Dutch provider, but requested that all products supplied must be certified as not treated with Dormir in storage. This is because co-products resulting from processing flakes into human food are normally sent for use as animal feed, which would not be in-line with French government regulations. In reality no such assurance could be given, as there is a single supply chain for potatoes and potato co-products across Europe, and use of Dormir is common for virtually all such products.

Strict enforcement of a regulation that had been largely unnoticed for two years would cause economic damage on a large scale. It would certainly restrict operations for companies in the French food processing and animal feed industries, but there are wider implications, as well. Trade between EU member states in these areas may be placed at risk, as French regulations are not in step with neighbouring countries. Operation of the single market may be in question, and that is not an acceptable outcome.

  

Next steps

Duynie took the leading in coordinating an industry-wide approach to this issue, having been asked to play an active role by a group of potato processing companies. Our approach was to mobilise opinion across the involved parties, industrial, environmental and political, to protect our level playing field and ensure that a key industry is not subject to disruption.

Duynie worked closely with professional organisations in France, notably SNIA, which brings together animal feed and co-product companies, and Valoria, the co-product business association. The Managing Director of Duynie in France is Chairman of Valoria and was able to play an important and active part in making sure that the industry presented a united front to the French government.

 

Outcomes

Duynie facilitated joint working, while resolving data issues concerning the safety of Dormir, and ensuring that the full commercial significance of the regulations related to DMN were understood. This enabled the industry team to present a detailed, accurate and comprehensive proposal for resolving the problem to DGCCRF: the Directorate for Competition Policy and Consumer Affairs in the French Ministry of the Economy, as well as to ANSES.

It became clear that the authorities had not fully appreciated the high volume of co-product used for animal feed and the likely economic impact of a blanket ban on Dormir. After careful consideration, ANSES changed its recommendation concerning 1,4 DMN and Dormir is again licensed for using co-products of treated potatoes as animal feed in France.

All industry bodies have welcomed this development, with agricultural, farming and co-product businesses equally pleased to have a satisfactory resolution to the issue. Duynie Group believes this is a win-win for all concerned, ensuring French agriculture can continue to source high quality co-products, while protecting the business success of our industry. We are proud to have played a leading role in resolving what was a serious problem, and we stand ready to coordinate such activity again in the future, when needed.