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What The New Food Safety Law Means For Retailers

Fast Facts

• Contribution to the national economy of the U.S. PMA fruit, vegetable and mass-market floral industry: $554 billion.

• Number of jobs supplied by fresh produce and mass-market floral retailers: 716,090 of the supply chain's 2.7 million total jobs

• Consumers reporting they have no contact with store-level produce department personnel: almost 50 percent

• Consumers reporting they are somewhat to much more likely to buy more fresh produce when product tasting is offered: 55 percent

• Consumers reporting that they are willing to pay at least a little extra for better-tasting produce: nearly 70 percent

Source: PMA's 2009 economic impact study; various PMA consumer research reports

What the New Food Safety Law Means for Retailers

By Tom O'Brien

For the first time in more than three-quarters of a century, the United States has overhauled its food safety laws. After more legislative wrangling than we've seen in a long time, Congress passed the Food Safety Modernization Act in December, and President Barack Obama signed it into law days later.

So what exactly does this new law mean for retailers? Many details will only become known once the Food and Drug Administration begins its work to develop this law's implementing regulations. We know that a couple of the law's components will clearly affect retailers, including its requirement that recall notices be posted in a conspicuous location by chain stores, and its mandate to enhance FDA's traceback capability to speed investigation of outbreaks of foodborne illness. Meanwhile, some things won't change, such as the Bioterrorism Act's retail exemption from registration requirements; many of the law's requirements hinge on the registration requirement.

As for the rest of the details, time will tell. Much depends on how the bill gets implemented — and when. That process will likely take years, with ample opportunity for the public — including business — to provide input. In some areas, such as traceability, the agency has wide latitude; in other areas, such as the frequency of FDA inspections, Congress has already filled in more details.

For our part, PMA plans to actively participate in that regulatory process. We'd long

PMA

Produce Marketing Association

Myth-busting, Fresh Produce Style

By Lorna Christie

We've all heard the reasons that consumers can't eat more fresh produce — usually beginning with cost. But is perception reality? Recent research indicates that ain't necessarily so — and presents opportunities for our supply chain to better connect with our consumers.

PMA recently commissioned two research projects: one to learn more about today's consumer's fresh produce behaviors and perceptions, and the other to evaluate claims that fresh produce is prohibitively expensive. Meanwhile, a scientific review commissioned by our colleagues at the Watsonville, Calif-based Alliance for Food and Farming took a look at another myth that has been damaging consumer confidence in the safety of fresh produce.

Research by PMA for The Hartman Group, based in Bellevue, Wash., found that consumers who aren't increasing their fresh produce consumption most often cite cost as the primary barrier. So PMA commissioned a study of national fresh produce prices, by The Perishables Group, based in Chicago. In fact, fresh produce is a bargain, the data showed: National average cost to get nine daily servings of fruits and vegetables is only $2.18 — the bargain shopper can score hers by purchasing the least-expensive fruits and veggies for just 88 cents a day. This value holds year-round, coast to coast.

Meanwhile, a blue-ribbon scientific panel analyzed "Dirty Dozen"type

claims being made about pesticide residues on produce. On all fronts, the science panel found such claims to be wholly without merit. Industry now has the sound science in hand to contest these scare tactics with facts, to begin setting the record straight for the good of our consumers; visit the PMA-funded consumer website www.safefruitsandveggies.com for more information. With more than 90 percent of consumers reporting they are very concerned about pesticide residues on food, we have no place to go but up.

That consumers have so many consumption-blunting misperceptions about fresh produce makes it clear: Our supply chain has a tremendous amount of work to do to regain consumers' hearts and minds.

Reforging those connections begins with our industry's finding our voice, taking back our story and our brand from those who've been planting false perceptions of us.These findings give producers and retailers alike the opportunity to have a new conversation with consumers, to tell them the real story about fruits and vegetables. For these and other insights into your customers to help you tell your story, visit the Research Center on PMA's website, www.pma.com.

In addition to serving as PMA EVP and COO, Christie is PMA's expert on consumer trends.

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advocated for food safety reform, to level the playing field for our industry members and to help restore consumer confidence. Many aspects of the new law are good and needed, and we'll work to help FDA implement them. There are other aspects of the new law — specifically, the exclusion of some producers for political rather than risk-or science-based reasons — about which we also plan to make our voice heard.

In fact, that well-meaning effort by some lawmakers may backfire, and effectively shut those growers out of mainstream markets. The market didn't wait for Congress to act to address rising food safety concerns. Many producers — including many small growers — have already put comprehensive food safety programs in place. Similarly, buyers didn't wait either: Leading retailers

and foodservice companies already require their produce suppliers to meet food safety standards, and don't plan to backtrack to exempt small growers.

At the end of the day, PMA will advocate for what's best to enhance public safety and to restore consumer confidence in the safety of fresh produce. Those are goals that our entire supply chain can — and should — support.

To follow developments as the law's implementation proceeds, stay tuned to this space or subscribe to PMA's "Field to Fork" blog.

Tom O'Brien of O'Brien DC represents PMA in Washington, helping to advance our food safety and other government relations work.

Mark Your Calendar

PMA offers world-class events featuring professionally designed professional development and unparalleled networking. Mark your calendar to attend these upcoming PMA events, and for more information, visit www.pma.com/events-conferences.

Fresh Connections

Pleasanton, Calif.: March 2011 Charlotte, N.C.: April 2011

PMA brings our signature networking and education to your backyard. The theme of these two events is food safety and traceability.

Foodservice Conference & Exposition

Monterey, Calif.: July 29-31

Make the most of fresh produce opportunities in your foodservice business.

Fresh Summit International Convention & Exposition

Atlanta: Oct. 14-17

Find your next big success story at the United States'

best produce trade show, networking and professional development event.

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