Egg Industry supports Commerce Commission charges

30 August 2018

Egg Industry supports Commerce Commission charges in ongoing efforts to stamp out misleading labels

The Egg Producers Federation (EPF) fully supports the New Zealand Commerce Comission’s investigation into this small egg producer’s operation.

“The Commission is just one party the egg industry is working with in collective efforts to stamp out misleading labelling. Mr Chen supplies to a number of small regional egg suppliers but none of the main supermarkets,”

says the Egg Producers Federation Executive Director, Michael Brooks.

“The EPF has zero tolerance for such activity. The majority of egg producers are extremely good operators and the poor judgement of a rogue few must not continue to discredit the integrity of the main.

“In the past year the Egg Industry has taken multiple steps to make sure misleading labelling activity does not occur. We have been working closely with MPI to strengthen the reporting process egg producers are required to follow.

The result is a comprehensive auditing system called ‘Mass Balance Audits’ which was introduced in November 2017.”

Mr Brooks says Mass Balance Audits (MBA) require significantly more detailed reporting from each egg producer, and are independently audited by MPI.

“Since MBAs were introduced there have been no allegations of misleading labelling activity. We note the Commission’s allegations against Mr Chen precede the introduction of this auditing system.

“Additionally, the introduction of an extensive egg traceability programme is underway with egg stamping being the first to visibly reassure consumers and retailers of the authenticity of the egg’s farm production system.

“Eggs are stamped on the farm the egg is produced, not the packing house, to verify the production type. Each egg has a unique code that will verify the region, the farm, and the production system the egg comes from.

“Mainland is well underway with egg stamping already. The rest of the industry is on board and will be progressively introducing stamped eggs over the next few months as the necessary equipment is purchased.

For the smaller players, stamping is a costly investment so the Industry has been working hard to make it affordable for them.

“Aligned with stamping will be a traceability website that authenticates the code stamped on the egg so the consumer can see for themselves the farm and the production system it originated from.

This website will be operational in the next few months as stamping becomes commonplace.

“The Commerce Commission has told us it encourages these initiatives as they give consumers accurate information, and the EPF welcomes its support.

Most importantly, these measures will deter any further misleading activity and can give consumers and retailers confidence that eggs they want to buy, are those the label states they are.“

Ends.

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