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Why We Have Less Food Safety Than We Want

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Presentation on theme: "Why We Have Less Food Safety Than We Want"— Presentation transcript:

1 Why We Have Less Food Safety Than We Want
Neal D. Fortin, J.D Institute for Food Laws & Regulations Michigan State University Why We Have Less Food Safety Than We Want Neal Fortin Director and Professor Institute for Food Laws & Regulations Michigan State University Presenter’s level of expertise in the subject: Briefly state credentials in this area; or, why participants should listen to you. Overview of the past year in food law. © 2008 Neal Fortin

2 Why We Have Less Food Safety Than We Want
Neal D. Fortin, J.D Institute for Food Laws & Regulations Michigan State University Why We Have Less Food Safety Than We Want Apr. 10, 2008 OUTLINE OF TALK The Under Appreciated Burden Market Failure on Food Safety The Limitations of Lawsuits Government Regulatory Limits What Can Do Done

3 Foodborne Illnesses Estimates
Neal D. Fortin, J.D Institute for Food Laws & Regulations Michigan State University Why We Have Less Food Safety Than We Want Apr. 10, 2008 Foodborne Illnesses Estimates 76 Million illnesses /year Every day in the United States, roughly: 200,000 experience acute illness 900 require hospitalization 14 die Mead et al.:

4 Mild Illnesses Discounted
Neal D. Fortin, J.D Institute for Food Laws & Regulations Michigan State University Why We Have Less Food Safety Than We Want Apr. 10, 2008 Mild Illnesses Discounted Discounted: 53 Million cases of diarrhea annually If < 1 day of diarrhea, and No more serious symptoms

5 Why We Have Less Food Safety Than We Want
Neal D. Fortin, J.D Institute for Food Laws & Regulations Michigan State University Why We Have Less Food Safety Than We Want Apr. 10, 2008 Underestimated Costs Traditional cost-of-illness method Medical costs, loss of work No measure of loss of leisure time, pain and suffering, disruption of daily life MSU Consumer Perceptions Study (WTP) Craig Harris, Andrew Knight, & Michelle R. Worosz, Shopping for Food Safety and the Public Trust: What Supply Chain Stakeholders Need to Know About Consumer Attitudes, Food Safety Mag (Jun. /Jul. 2006).

6 Economic Burden of Foodborne Illness
$357 billion annually Willingness to pay (US alone) Loss of Productivity Healthcare Costs Not loss of market share (lost consumer confidence) Not including Lawsuits Tanya Roberts,  WTP estimates of the societal costs of U.S. foodborne illness,(to be pub in Am. J. Ag. Econ.) The Economic cost of foodborne illness is up to $83 Billion in the U.S. That includes Loss of Productivity and Medical Expenses but not lawsuits. An important consideration is the loss of markets when consumer confidence is eroded in a product or commodity.

7 The Human Face of Foodborne Illness
Neal D. Fortin, J.D Institute for Food Laws & Regulations Michigan State University Why We Have Less Food Safety Than We Want Apr. 10, 2008 The Human Face of Foodborne Illness Quantitative risk assessment (by design) does not coincide with society‘ values on risk Respecting society's risk perception / values This is not probability neglect Kevin Kowalcyk 1 month before he died

8 Why We Have Less Food Safety Than We Want
Neal D. Fortin, J.D Institute for Food Laws & Regulations Michigan State University Why We Have Less Food Safety Than We Want Apr. 10, 2008 Market Inefficiency Firms are under-rewarded in the marketplace for food safety Consumers cannot buy the level of safety they want And consumers want to buy more safety (Harris et al. 2006)

9 Why We Have Less Food Safety Than We Want
Neal D. Fortin, J.D Institute for Food Laws & Regulations Michigan State University Why We Have Less Food Safety Than We Want Apr. 10, 2008 Market Failure The business of business is to pursue profits Do not look to corporations for altruism Not an ethical issue Economic distortion creates distortion in risk perception

10 Why We Have Less Food Safety Than We Want
Apr. 10, 2008 Competition is fierce Cost-cutting vital Companies must compete

11 Strict Liability is Not Strict Enough — Limits of Tort Law
Neal D. Fortin, J.D Institute for Food Laws & Regulations Michigan State University Why We Have Less Food Safety Than We Want Apr. 10, 2008 Strict Liability is Not Strict Enough — Limits of Tort Law Lawsuits provide important feedback to invest more in food safety When safety information is available after purchase Works proportionate to proof of causation

12 Imperfect Information on Causation & Food Safety
Neal D. Fortin, J.D Institute for Food Laws & Regulations Michigan State University Why We Have Less Food Safety Than We Want Apr. 10, 2008 Lawsuit Organism isolated Case investigated Identification of source Stool sample etc analyzed Doctor requests specimen Diagnosed with foodborne illness Seeks medical attention Develops acute illness Acute illness ~ 76 million /year Mild illness (no economic injury) > 53 Million / year Exposures to a foodborne pathogen - 1 billion / year ? Imperfect Information on Causation & Food Safety What food or drink? Victim’s stool not tested What bacteria or virus? Apparent isolated case No health department investigation

13 Less Than 1 in a Million Chance of a Trial for Foodborne Illness
Neal D. Fortin, J.D Institute for Food Laws & Regulations Michigan State University Why We Have Less Food Safety Than We Want Apr. 10, 2008 Lawsuit Organism isolated Case investigated Identification of source Stool sample etc analyzed Doctor requests specimen Diagnosed with foodborne illness Seeks medical attention Develops acute illness Acute illness ~ 76 million /year Mild illness (no economic injury) > 53 Million / year Exposures to a foodborne pathogen - 1 billion / year ? Trial ~ 0.2 / 1 million acute illnesses Case ~ 5 / 1 million acute illnesses Less Than 1 in a Million Chance of a Trial for Foodborne Illness No proof of causation What food or drink? Victim’s stool not tested What bacteria or virus? Apparent isolated case No health department investigation Unequal Power Between Victim and Manufacturer

14 Why We Have Less Food Safety Than We Want
Neal D. Fortin, J.D Institute for Food Laws & Regulations Michigan State University Why We Have Less Food Safety Than We Want Apr. 10, 2008 Odds of facing trial for foodborne illness = ~0.2/million Odds of being struck by lightning = 2.5/million each year This is why there are exemplary damages

15 Trust Me, I’m From the Government and Here to Help You
Neal D. Fortin, J.D Institute for Food Laws & Regulations Michigan State University Why We Have Less Food Safety Than We Want Trust Me, I’m From the Government and Here to Help You Market inefficiency classic situation where government controls necessary Regulatory agencies face their own challenges Sub-optimization: “Agency retrenchment, retreat, and slowness to act are rational patterns of human social and bureaucratic behavior.” Neal Fortin, The Hang-Up With HACCP: The Resistance to Translating Science into Food Safety Law, 58 Food and Drug L. J , Vol. 58:4 (2003).

16 Why We Have Less Food Safety Than We Want
Neal D. Fortin, J.D Institute for Food Laws & Regulations Michigan State University Why We Have Less Food Safety Than We Want Apr. 10, 2008 What Can Be Done? Education on food safety Classic cure for market failure based on inadequate information Underutilized Improve public health capacities Public health a victim of its own success Improve success of lawsuits! Improve science on causation

17 Why We Have Less Food Safety Than We Want
Neal D. Fortin, J.D Institute for Food Laws & Regulations Michigan State University Why We Have Less Food Safety Than We Want Apr. 10, 2008 More That Can Be Done Traceability Incentive for whole marketing chain to provide safer food Opportunity to market food safety (eg: TESCO) Citizens’ Food Protection Act Private cause of action Citizens not their bureaucratic surrogates are the public interest Courts can ensure agency decisions reflect republican deliberation rather than an equilibrium of private interest [The Hang-Up With HACCP: The Resistance to Translating Science into Food Safety Law, 58 Food and Drug L. J , Vol. 58:4 (2003)]

18 Why We Have Less Food Safety Than We Want
Neal D. Fortin, J.D Institute for Food Laws & Regulations Michigan State University Why We Have Less Food Safety Than We Want Commonality of interest between business and stringent product safety standards. - Michael E. Porter, The Competitive Advantage of Nations (1990)

19 Neal D. Fortin, J.D Institute for Food Laws & Regulations Michigan State University Why We Have Less Food Safety Than We Want Apr. 10, 2008 Winner 2003 ADEC National Excellence in Distance Education Award United States European Union Asia Canada Latin America Courses International Food Laws & Regulations (Overview Course) Codex Alimentarius OIE (World Animal Health) IPPC (International Plant Protection)

20 2006 Institute for Food Laws & Regulations – MSU
Why We Have Less Food Safety Than We Want Apr. 10, 2008 Dr. Vince Hegarty Michael Roberts Attorney / Lead Instructor “Asia” John Blakney Dr. Gerald Moy WHO “Codex” Paul Allen “UK / EU” Dr. David Jukes Lead Instructor “UK / EU” Paul O'Rourke Attorney “EU / Ireland” Masako Hashimoto “Japan - International” Attorney / Lead Instructors “Canada”                                                                         Neal Fortin Director / Lead Instructor “United States” Charles Cockbill “UK / EU” International Food Laws Online Certificate Program – Instructors Dietrich Gorny “EU / Germany” Mary Anne Verleger “Course Manager” Rebeca López-Garcia Lead Instructor “Latin America” William Marler Attorney “United States” Al Hafner “United States / Michigan” Raul Boccone Uruguay “Latin America” Gretchen Stanton WTO “Switzerland” J. Ralph Blanchfield “UK” Nicole Coutrelis Attorney “France / EU” Institute for Food Laws & Regulations – MSU 2006

21 2006 Institute for Food Laws & Regulations – MSU
Why We Have Less Food Safety Than We Want Apr. 10, 2008 Theresa Bernardo Lead Instructor OIE Course Ian McDonell NAPPO “Canada” Lonnie King “United States” Bernard Vallat DG OIE “France” Gerald Moy WHO “Codex” Veronique Bellemain ENSV “France” James Scudamore “UK ” Ian Smith DG - EPPO “France ” Alex Thiermann OIE “France” John Hedley Lead Instructor “New Zealand”                                                                                                Reinouw Bast-Tjeerde CFIA “Canada” Karim Ben Jebara OIE “France” International Food Laws Online Certificate Program – Instructors Cristobal Zepeda “United States ” Eva-Maria Bernoth “Australia” Francois G. LeGall “United States” Robert L. Griffin USDA / APHIS / PPQ “United States” Ron A. Sequeira USDA / APHIS/ PPQ “United States” David Wilson “France” Jens-Georg Unger “Germany” William P. Roberts “Australia” Bob Ikin Australia Stephen Ogden “New Zealand” David Bayvel “New Zealand” Institute for Food Laws & Regulations – MSU 2006

22 Why We Have Less Food Safety Than We Want
Neal D. Fortin, J.D Institute for Food Laws & Regulations Michigan State University Why We Have Less Food Safety Than We Want Apr. 10, 2008 Thank you Neal Fortin Professor and Director Institute for Food Laws & Regulations Michigan State University


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