16.06.2016 16:11:59
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Food-borne Infections & Recall: Harsh Blow To Food Industry
(RTTNews) - Food-borne infections and recalls have been a menace for the food industry and the biggest threat to the profitability. Food-borne illness in U.S. has been a serious public health issue with an estimated 48 million get sick, and a projected 300 thousand hospitalizations and 5000 deaths. The economic losses is enormous and projected to be around $75 billion every year.
Contamination due to micro organisms, presence of foreign objects and improper labeling are the major reasons to demand a recall. Poisonous chemicals and other harmful substances also can cause food-borne infection. Two to three percent food-borne infections can lead to secondary long-term illnesses.
Product recalls are aimed at removing possibly baneful products from sales. A study by Tyco integrated security has shown that there was a surge in food recalls during 2009 to 2010 compared to previous five years. According to Food Marketing Institute and the Grocery Manufacturers' Association, the direct average cost of recall for a food company is $10 million, in addition to the brand damages and lost of sales.
Moreover, it is an economic burden to the consumers. Statistics prepared by Economic Research Services of USDA show that five pathogens namely Campylobacter, Salmonella, Listeria and two E.coli strains result in costs of around $15.5 billion each year by way of medical expenses, loss of productivity, and death. These five pathogens cause 90 percent of the burden.
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Tyson Foods Inc. | 57,75 | -0,19% |
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