Working with China: Food Safety & Ingredient Technologies

October 28th, 2009

Contents
The Status of Chinas Food Safety Systems The Initiatives Chinese Companies are Taking
to Improve the Quality and Safety of Food Ingredients

Ingredients Available from China for Meat

Processors

The Status of Chinas Food Safety Systems

Problems with the Old System Updated Supervision and Management Systems Updated Laws and Regulations Challenges Controlling Food Safety in China and
Solutions

Primary Food Safety Issues and Solutions

Status of Chinas Food Safety Systems

Problems with the Old System
China is the most populated country in the world, and therefore consumes the most food. Food Safety affects not only the health of people, but also the stability of society. Since melamine was found in SanLu Milk powder last year, Food Safety has become a top priority for both the Chinese government and the nation as a whole. Great efforts are being taken to determine and correct the problems with the old system.

Status of Chinas Food Safety Systems

Problems with the Old System

1. The laws and regulations were not complete 2. The organization in the old food safety system was not
fully integrated. The old system had several different ministers to supervise different parts of food supply chain, but no integrated organization to coordinate and manage the whole chain

3. The standards in the old food safety system were not

complete

4. Some critical testing technology, including methods and

instruments, were missing

Status of Chinas Food Safety Systems

Updated Supervision and Management System

AQSIQ: General Administration of Quality Supervision, Inspection and Quarantine SAIC: State Administration for Industry & Commerce SFDA: State Food & Drug Administration

Status of Chinas Food Safety Systems

Updated Supervision and Management System
The National Food Safety Committee was set up in 2009. It is
comprised of experts in Sanitation, Food, Agriculture, Health, and Microbiology. It is responsible for evaluating the risks related to food safety, for releasing information, and for coordinating the work of the different ministers.

The governments supervision and administration teams are

divided into 4 grades: nation, province, city and county. More than one million people work in this system.

The whole system includes more than 3000 testing institutes and
labs.

Status of Chinas Food Safety Systems

Updated Laws and Regulations

The main law is the Food Safety Law. This updated law was put into effect on June 1st 2009. Each of the different ministers have their own sub-laws or regulations, that must follow the Food Safety Law. The sub-laws regulate more detailed procedures. The main sub-laws or regulations include:
<Regulation on Food Safety Risk Assessment> <Regulation on Food Safety Risk Supervision and Surveillance> <Administration Regulations for Food Manufacturing > <Administration Regulations for Food Distribution > <License Regulations for Restaurants and Food Service Outlets> <Regulations on Export/Import Inspection of Food Products>

Status of Chinas Food Safety Systems

Updated Laws and Regulations
The main updated points in the new Food Safety Law include:

1.Set up regulations for Food Safety Risk Evaluation 2.For the first time, it is written into law that the government has the
obligation to set up a Food Safety Risk Control and Supervision System

3.The food manufacturer is the first responsible entity legally for any
food safety issues

4.Strengthened punishment 5.Set up a uniform Food Safety Standard 6.Set up a centralized system for releasing information related to food
safety

Status of Chinas Food Safety Systems

Challenges Controlling Food Safety in China and Solutions

1.In China, the crops for foods are produced by more than 200 million
different farmers. So, it is a big challenge for the government to control the consistent quality and safety of the raw material for foods. In contrast, Americas farmers are only 2% of the U.S. population (6 million).

2.There are more than 500,000 food manufacturers in China, and

among them 70% are middle to small sized processors. These processors, due to low turnover and low profit, have difficulty bearing the costs of a complete Food Safety system. For example, they may not have sufficient human resources, technology, and/or facilities to evaluate and control Food safety risks.

Status of Chinas Food Safety Systems

Challenges Controlling Food Safety in China and Solutions
These challenges are almost always unavoidable in a developing country like China. In addition to proper control, supervision and legislation, the Chinese government is also taking the following steps to improve Food Safety in China:

1.Improve the education level of the agricultural population 2.Facilitate ways to communicate transparent information among
food manufacturers, government , and consumers

3.Encourage good manufacturers to enlarge their size or merge

with others, to gain the benefit of scale economy.

Status of Chinas Food Safety Systems

Primary Safety Issues and Solutions
1. Pathogenic microorganisms in foods

The government set up a testing network to supervise and

evaluate the causes for diseases and epidemic trends

Set up GAP, GMP and HACCP system for agriculture

production, food production, and food service outlets

Set up and implement standard regulations for food grade

agriculture products and foods

Status of Chinas Food Safety Systems

Primary Safety Issues and Solutions
2. Chemicals Pollution (pesticide residue, veterinary residue, heavy metal, synthetic pigment, etc.)

Set up chemical residue standards that are compatible with international standards, and at the same time can be implemented in China Regulate and obligate all suppliers to meet Chemical Residue standards Set up authorized and effective testing organizations, to evaluate potentially harmful chemicals in foods using scientific methods Reinforce the environmental protection standards to reduce chemical pollution

Status of Chinas Food Safety Systems

Primary Safety Issues and Solutions
3. Use food ingredients improperly or use forbidden chemicals

Regulations on Production License to each food ingredients manufacturer Every food manufacturer is obligated to obey new food ingredients
application and sanitary standard, GB2760-2007. Compared with the old standard, GB2760-1996, the new version provide the following improvements:
a) Application guide and regulation for each food ingredient; b) Quality and Safety standard for each food ingredient; c) Provide detailed regulations for food ingredient for each specific food applications; d) Add Bring-In principle;

When using new food ingredients, the potential risks should be evaluated
in advance by authorized institutions

The Initiatives Chinese Companies are Taking to Improve the Quality and Safety of Food Ingredients
Why:

China is exporting many food ingredients worldwide. This means

manufacturers have to meet the Food Safety and Quality requirements of each destination country.

For many food ingredients, China has big manufacturers, whose scale
permit them to set up a complete Safety and Quality control system

Safety accidents that happened in the past years, like melamine, are
big lessons to Chinese food ingredients manufacturers. Food Safety has become the first concern of consumers and customers, and therefore has become the first concern of the food ingredients suppliers.

The Initiatives Chinese Companies are Taking to Improve the Quality and Safety of Food Ingredients
How:

1.Get training on updated Quality/Safety Control systems, and update

their own quality control system. Almost all big to middle size manufacturers are ISO or HACCP certificated, and many have 3rd party audits like GMA-SAFE, AIB, BRC, and etc. Chinese ingredient manufacturers are beginning to receive training for the GFSI requirements and implement these requirements.

The Initiatives Chinese Companies are Taking to Improve the Quality and Safety of Food Ingredients
How: 2. Set up modern production facilities and standard quality control equipment

Improve the layout of workshops and adapt to qualified standards for wall, floor, ceiling, door, window, air-condition, and etc. Standard glass control, wood control, chemical control, impurity control. *10 years ago, it was difficult to find a ingredient manufacturer with a metal detector, but now almost all manufacturers have metal detectors

Set up pesticide control devices Detailed regulations on equipment maintenance and cleaning Careful waste and pollution control

The Initiatives Chinese Companies are Taking to Improve the Quality and Safety of Food Ingredients
How: 3. Analyze the potential Safety risks within production procedures, and set up critical control points.

The Initiatives Chinese Companies are Taking to Improve the Quality and Safety of Food Ingredients
How: 4. Quality assurance team
Professional quality assurance team educated in food science and sanitation with ability to continually improve the quality control systems. By supplying Multi-National Companies (MNC) locally or by exportation, many manufacturers have sufficient knowledge and experience to meet MNCs requirements. Testing capabilities: improve ability to handle physical, chemical, microbial, nutritional, and application performance tests.

The Initiatives Chinese Companies are Taking to Improve the Quality and Safety of Food Ingredients
How: 5. Update equipment used for Chemical Analysis, Microbial tests and Application Analysis

The Initiatives Chinese Companies are Taking to Improve the Quality and Safety of Food Ingredients
How: 6.Co-operation with third-party laboratories a. Intertek, SGS b. Chinese Commodity Inspection & Quarantine Bureau c. Quality Inspection & Test Institute d. Other labs of leading Universities and Science Institutes

Ingredients Available from China for Meat Processors

CONTENTS

Status of Chinese Meat Industry Anti-Oxidants & Preservatives Phosphates Gums Isolated Soybean Protein Other ingredients

Ingredients Available from China for Meat Processors

Meat Industry in China
1.Total meat output and increasing trend

Yearly output in China increased from 12.6m tons in 1981 to 72.78m tons in 2008, become the biggest meat producing country in the world. The estimated output in 2010 is 85 million tons. Among these pork is 60%, beef and lamb is 20%, and poultry is 20%. Now the trend is for less pork and more beef, lamb, and poultry.

Ingredients Available from China for Meat Processors

Meat Industry in China 2.Consumption trend

In 2008, yearly meat consumption per person was 121 lbs/yr. As incomes are increasing consumers are opting for more quality vs.
quantity. Consumers are turning to Green meat, organic meat, or buying only well know big brands.

Now there is greater demand for processed meats including: Western

style meat products, RTE foods with meat added, Chinese traditional meat products and frozen prepared meats etc.

Big manufacturers such as ShuangHui, ChunDu, JinLuo, YuRun,

DeDa, New Hope, and etc. are commanding more market share.

Ingredients Available from China for Meat Processors

Meat Industry in China 3. Technology Improvement

Since the 1980s, Universities, Technology Institutes, and Vocational

Schools began meat processing majors to provide professionals for the meat industry.

Major meat processors have equipment from Germany, Holland,

Denmark, America, Japan, Spain, and etc., which improve yield, quality, and consistency.

Now, more than 500 different meat products are being produced in
modern facilities, including both Chinese and Western meat products. Western style products include sausage, hams, and bacon. Chinese products include salted, preserved, smoked, baked, and dried meats.

Ingredients Available from China for Meat Processors

Meat Industry in China 4. Quality Control Improvement

The large meat manufacturers are ISO and HACCP certificated Study and follow International standards and requirements, like
CAC, ISO, FDA, European standards, and Japanese standards to improve the quality level of Chinese meat products.

Ingredients Available from China for Meat Processors

Antioxidants & Preservatives

China has a strong position for several ingredients including Sodium Erythorbate, Ascorbic Acid, Citric acid and Citrates. China is either one of the primary or the exclusive country supplying these ingredients. The manufacturers for these products are experienced and use proper safety and quality control systems. They use or have ISO, HACCP, and 3rd party audits. China is an emerging source for Sodium Lactate, Potassium Lactate, Sodium Lactate/Sodium Diacetate, and Potassium Lactate/Sodium Diacetate. China has sufficient raw materials and energy, and low production costs. The technology is improving at key manufacturers, and China is planning to grow in this area. One of Chinas primary manufacturers is ISO, uses HACCP, and is applying for a BRC audit. China is exporting other antimicrobials such as Natamycin and Nisin.

Ingredients Available from China for Meat Processors

Phosphates

China has its own phosphorous rock mineral source and is producing most types of phosphates used by the meat industry. These include STPP, SHMP, SAPP, TSPP, MSP, DSP, TSP, TKPP, and KTPP. China holds a very competitively position on phosphates. There are many phosphate manufacturers in China. A couple of Chinas larger manufactures have several years of experience supplying top food manufacturers worldwide. These companies are ISO, use HACCP, and have 3rd party audit certificates. A few manufacturers now offer Specialty Phosphate Blends for meat applications. One of these manufacturers is HACCP certified, and GMA-SAFE audited, and is applying for GFSI (BRC) audit.

Ingredients Available from China for Meat Processors

Gums Xanthan Gum

China is a leading supplier for Xanthan Gum. The biggest producer in China is increasing their output to 45,000 metric tons by the end of 2009. This means they will have the capacity to supply more than 40% of the global market. This company is ISO, uses HACCP, and is applying for GFSI(BRC). Common 80 mesh and 200 mesh products are available. Other mesh sizes and types are being developed for specific applications, such as quick dispersing, salt tolerant, and enzyme free Xanthan Gums.

Ingredients Available from China for Meat Processors

Gums - Carrageenan

China has some large manufacturers now. Previously, there were mostly copackers for well known brands. Chinese suppliers are gaining more knowledge regarding applications and production processes. Now different types are available according to specific applications. Because of its complexity, Carrageenan requires technical support during sales. Therefore, Chinese suppliers are recognizing the need to provide R & D and technical support to sell their Carrageenan.

Ingredients Available from China for Meat Processors

Gums - Alginate

China produces more alginate than any other country. Both imported seaweed from Chile and Chinese seaweed are used as raw materials. Various types are available depending upon the specific application.

Ingredients Available from China for Meat Processors

Isolated Soybean Proteins

China is rapidly becoming a very significant supplier for ISP worldwide. The larger Chinese suppliers have been supplying ISP to major meat processors over 10 years. China has ample supply of high-quality Non-GMO soybeans. The larger manufacturers have lots of capacity, have ISO/HACCP quality control systems, and Non-GMO certificates Melamine testing is conducted at the manufacturers and then verified at independent labs. Both emulsion type and injection type ISPs are available, and can be selected according to their properties, including: Gel strength, Oil and Water retention ability, Color, Foaming, Dispersability, and etc.

Ingredients Available from China for Meat Processors

Other ingredients:

Spices: Garlic, Chives, Onion, and Pepper Flavors Enhancers: MSG, I+G, and HVP Casings: Hog casings and Sheep casings Color Enhancer: GDL Modified Starches

Thank You!