PETER BARR CBE
CHAIRMAN, RED MEAT INDUSTRY FORUM

SPEECH NOTES - AIMS CONFERENCE 16TH OCTOBER 2004

GOOD AFTERNOON
THANK YOU FOR INVITING ME TO SPEAK TO YOU IN MY CAPACITY AS CHAIRMAN OF THE RED MEAT INDUSTRY FORUM.

I WANT TO BRIEFLY  COMMENT ON TWO ISSUES RAISED AT THIS MORNINGS SESSION.

• IMPORTS NOT MEETING UK STANDARDS
• GETTING OUR OVER THIRTY MONTH BEEF BACK ONTO THE MARKET
• AND ADDRESSING THE COMPETITIVENESS OF OUR INDUSTRY
  
  

RED MEAT CONSUMPTION IS AT ITS HIGHEST LEVEL FOR TEN YEARS.

UNFORTUNATELY THIS STRONG DEMAND HAS SUCKED IN MORE IMPORTS. AND SOME OF THESE ARE PRODUCED FROM SYSTEMS WHICH WOULD BE ILLEGAL IN THIS COUNTRY.

ACCORDING TO THE BRITISH PIG EXECUTIVE,  TWO THIRDS OF IMPORTED PORK AND PORK PRODUCTS IN 2003  CAME FROM PIGS RAISED TO STANDARDS THAT WOULD BE ILLEGAL HERE.

OVER 90% OF CONSUMERS BELIEVE THAT IMPORTED MEAT SHOULD BE RAISED TO THE SAME STANDARDS AS REQUIRED IN BRITAIN.

WHAT I WANT TO SEE   AND WHAT OUR CONSUMERS WANT TO SEE IS

• PRODUCTS SOURCED TO UK LEGAL SPECIFICATIONS
• CLEAR ORIGIN LABELLING AT THE POINT OF PURCHASE, AND
• TRANSPARENT AUDIT SYSTEMS TO PROVE ORIGIN

I ACKNOWLEDGE THAT FREE TRADE IS NOT UP FOR QUESTION,   BUT THE WHOLE OF OUR LIVESTOCK INDUSTRY WILL BE VERY FRAGILE FOR THE NEXT FIVE YEARS AS IT MOVES   AWAY FROM PRODUCTION BASED SUBSIDIES TO A MORE MARKET DRIVEN SYSTEM.

THEREFORE I WAS VERY DISAPPOINTED BY THE PROPOSED EU DECISION TO EXTEND THE SO-CALLED HILTON QUOTA TO CERTAIN SOUTH AMERICAN COUNTRIES, AT A TIME WHEN WE ARE DRIVING SO  HARD TO GROW DOMESTIC PRODUCTION.

I FIND IT INCONGRUOUS THAT OUR FARMERS AND OUR PROCESSORS ARE ENCOURAGED AND REGULATED TO DELIVER AGAINST A RESPONSIBLE AND SUSTAINABLE FARMING AGENDA, WHEN SOME OF OUR RETAILERS AND FOOD SERVICE ORGANISATIONS ARE HAPPY TO SOURCE PRODUCT FROM SYSTEMS THAT ARE CLEARLY NOT.

I HOPE THAT ALL OF YOU HERE TODAY WILL HELP PERSUADE YOUR OWN CUSTOMERS TO SOURCE QUALITY BRITISH PRODUCE WHEREVER POSSIBLE.

[PAUSE]

AT THE MOMENT 70 PER CENT OF MEAT IS SOLD THROUGH RETAIL OUTLETS AND 30 PER CENT THROUGH FOOD-SERVICE OUTLETS.

WE EXPECT THIS TO COME CLOSER TO PARITY OVER THE NEXT TEN YEARS PROVIDING YOUR BUSINESSES WITH SIGNIFICANT OPPORTUNITIES. 

WHILST THE MULTIPLE RETAIL SECTOR HAS SEEN BIG PLAYERS GETTING BIGGER, THE CATERING INDUSTRY HAS SEEN A MIXTURE OF FRAGMENTATION AND CONSOLIDATION.

PUB GROUPS HAVE GOT BIGGER, BUT THEIR OPERATIONS HAVE BECOME INCREASINGLY DECENTRALIZED . . . . .  WITH FOOD BUYING DECISIONS INCREASINGLY TAKEN AT INDIVIDUAL PUB LEVEL.

WITH GROWING POPULARITY OF LOCAL AND REGIONAL FOOD SUPPLIES,       PARTICULARLY AS A SELLING POINT WITHIN THE PUB AND RESTAURANT SECTOR,   THERE ARE CLEAR SUPPLY CHAIN OPPORTUNITIES TO BE DEVELOPED BY YOU IN THIS AREA.

THIS IS WHY I WAS ANGERED    THE OTHER WEEK WHEN I HEARD A MANAGER FROM THE BRITISH HOSPITALITY ASSOCIATION SAYING ON BBC RADIO THAT CONSUMERS EATING OUT OF HOME ARE NOT INTERESTED IN THE ORIGIN OF THEIR MEAT.
THIS IS TOTALLY UNTRUE.

MLC RESEARCH HAS CONSISTENTLY SHOWN THAT 70% OF CONSUMERS WANT TO KNOW THE ORIGIN OF THEIR MEAT WHEN EATING OUT. 

THE MAJORITY - 88% - BELIEVE THEY ARE EATING BRITISH MEAT WHEN THEY EAT OUT - THE REALITY IS THAT THE MEAT IS PROBABLY IMPORTED.

MOST PEOPLE WHEN THEY EAT IN THE LOCAL PUB EXPECT THEIR STEAK TO BE ENGLISH  NOT ARGENTINAN
I CONTINUE TO ADD MY VOICE TO THE GOVERNMENT DEBATE ON FOOD LABELLING FROM THE POINT OF VIEW OF ORIGIN, AND PRODUCTION METHOD.

ALL I ASK IS FOR TRANSPARENCY.

GIVE THE CONSUMER CHOICE!

THIS IS IMPORTANT IN THE FIGHT AGAINST CHEAP, LOW QUALITY IMPORTS.
AND IT'S IMPORTANT AS A MARKETING PROPOSITION FOR YOU INTO THE GROWING FOOD SERVICE SECTOR.

[PAUSE]

JON BELL UPDATED US THIS MORNING ON OTMS.

ON THE BEEF PRODUCTION FRONT,  UP TO 175,000 TONNES OF IMPORTS PER YEAR COULD BE REPLACED BY BRITISH BEEF - FROM CATTLE AGED OVER THIRTY MONTHS.
THAT IS,  WE COULD . . . . . IF . . . DEPARTMENT OF HEALTH MINISTERS WOULD GIVE US THE GREEN LIGHT IN RESPONSE TO OUR FOOD STANDARDS AGENCY'S ADVICE THAT RECOMMENDS BEEF FROM OLDER ANIMALS SHOULD BE ALLOWED BACK INTO THE FOOD CHAIN.

THE EUROPEAN FOOD SAFETY AUTHORITY,
THE FRENCH FOOD SAFETY AGENCY,
AND THE WORLD ANIMAL HEALTH ORGANISATION - O.I.E. - HAVE ENDORSED THIS ADVICE.

INDUSTRY AND GOVERNMENT HAS BEEN WORKING CLOSELY TOGETHER FOR MORE THAN TWELVE MONTHS TO PUT THE PROCESSES, SYSTEMS AND TRAINING IN PLACE TO ENSURE THAT WHENEVER OVER THIRTY MONTH ANIMALS ARE ALLOWED BACK INTO THE FOOD CHAIN  THIS CAN BE ACHIEVED AS SEAMLESSLY AS POSSIBLE.

LET'S, AT LEAST, GET A DECISION IN PRINCIPLE ON ALLOWING OVER THIRTY MONTH CATTLE BACK INTO THE FOOD CHAIN, SUBJECT AS JON SAID THIS MORNING TO SUBSEQUENT CONFIRMATION FROM THE F.S.A.'S INDEPENDENT COMMITTEE ON THE ROBUSTNESS OF THE UK BSE TESTING REGIME.

A DECISION IN PRINCIPLE WILL HELP WITH BUSINESS PLANNING
IT WILL ALSO SEND A POSITIVE MESSAGE TO OTHER EUROPEAN MEMBER STATES AND THIRD COUNTRIES ABOUT THE SAFETY OF OUR BEEF.

[PAUSE]

 WE ARE WORKING ON AT THE REQUEST OF A.I.M.S. IS THE ISSUE OF SHORTAGES OF AVAILABLE SKILLED STAFF IN SOME AREAS.

WHERE STAFF ARE RECRUITED THEY OFTEN REQUIRE TRAINING.

PLANTS WITH TIGHT MANNING LEVELS FIND IT VERY DIFFICULT TO SEND STAFF OFF-SITE FOR TRAINING.

THE FORUM IS WORKING WITH THE MEAT TRAINING COUNCIL AND A.I.M.S. TO DEVELOP A FUNDING PROPOSAL FOR A TEAM OF MOBILE TRAINERS THAT COULD TAKE THE TRAINING ON-SITE TO THE PLANTS THAT REQUIRE IT.

SOME PLANTS COULD EVEN BECOME REGIONAL TRAINING CENTRES.

I'M SURE NORMAN WILL KEEP YOU POSTED ON THE PROGRESS OF THIS.

WE HAVE ALSO BEEN WORKING CLOSELY WITH NORMAN BAGLEY IN DEVELOPING THE FORUM'S PROGRAMME FOR THE SMALL AND MEDIUM SIZE ABATTOIR SECTOR
THIS PROGRAMME HAS IDENTIFIED HOW.A.I.M.S MEMBERS COULD BE MADE

MORE EFFICIENT
MORE COMPETITIVE
AND MORE PROFITABLE

[PAUSE]

IN MY LAST JOB. I SET UP A COMPANY WITH 14 EMPLOYEES AND SEEM TO SPEND EVERY THURSDAY ON THE PHONE GETTING ENOUGH CASH IN JUST TO PAY THE WAGES

TO CUT THE STORY SHORT THE COMPANY ENDED UP WITH 20.000 EMPLOYEES IN 14 COUNTRIES.

I USED THE PROBE AND MASTERCLASS TECHNIQUES EXTENSIVELY TO MAKE SURE WE HAD THE LOWEST COST AND HIGHEST PROFIT IN OUR SECTOR.

 I WON'T PRETEND IT WAS EASY

 I FOUND IT VERY CHALLENGING

 VERY TIME CONSUMING AND NEARLY GAVE UP A NUMBER OF TIMES.

I FOUND  OUT THE HARD WAY AND IT COST ME A LOT OF DOSH.

AT THE MOMENT YOU CAN HAVE IT FOR FREE. TAKE MY WORD FOR IT
IT REALLY HAS WORKED FOR SMALL MEDIUM  AND LARGE BUSINESS
 IF YOU HAVEN'T ALREADY, YOU SHOULD INVESTIGATE WHAT THE FORUM IS OFFERING YOUR SECTOR.

OTHERS ARE ALREADY BENEFITING.

DON'T GET LEFT BEHIND!

[PAUSE]

HOWEVER

ENOUGH FROM ME

PLEASE WELCOME JOHN SAVAGE FROM THE RED MEAT INDUSTRY FORUM TO SHARE SOME OF THE ADVICE FROM HIS WORK AMONGST YOUR BUSINESSES.

ENDS