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Is product substitution a form of food fraud?

Product Substitution

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#1 joyjael

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Posted 20 May 2018 - 05:04 AM

Is product substitution a form food fraud?



#2 Charles.C

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Posted 20 May 2018 - 05:43 AM

Is product substitution a form food fraud?

 

Can be.


Kind Regards,

 

Charles.C


#3 joyjael

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Posted 20 May 2018 - 06:54 AM

What are the considerations in product substitution?

 



#4 sanod

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Posted 20 May 2018 - 08:33 PM

yeah it can be a food fraud. since it is not among the process recipes. but it is not a fraud if it is just a change of supplier as far there is conformity in the COA.



#5 redfox

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Posted 21 May 2018 - 12:46 AM

Hello joyjael,

 

Substitution is a form of fraud. But if you declare to your buyer that instead of this specie/variety X, you use specie Y due to lack of source/supply it can no longer be fraudulent. But, without the knowledge of consumer/buyer substitution is considered food fraud.

 

regards,

redfox



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#6 Karenconstable

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Posted 28 May 2018 - 04:08 AM

If the substitution results in the customer or consumer being mislead or deceived then yes it is food fraud.



#7 Charles.C

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Posted 29 May 2018 - 10:13 AM

Is it still fraud if the result is found to be  superior to  the customer's original expectation, even though not informed ?

 

Sort of economic gain by both parties.


Kind Regards,

 

Charles.C


#8 FurFarmandFork

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Posted 29 May 2018 - 01:30 PM

Is it still fraud if the result is found to be  superior to  the customer's original expectation, even though not informed ?

 

Sort of economic gain by both parties.

 

I think that's a bonus. I can think of chemical manufacturers that charge differently for FCC materials vs non-food grade, but may in fact only have one SKU at the higher standard.

 

Similarly paying for traceable calibrations on equipment with certificates, odds on that most of the equipment is calibrated to the same standard but you pay for the certificate. Wouldn't consider that fraud. 


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Consulting for companies needing effective, lean food safety systems and solutions.

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#9 Scampi

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Posted 29 May 2018 - 02:21 PM

Charles, that would depend on the customer.....if you make a store brand olive oil (for example) and the budget brand is 50/50 olive/canola, and suddenly you want to sub only olive (canola had a pest wipe it out) that customer may be concerned that their customer will revolt when you return to original formula.....


Because we always have is never an appropriate response!


#10 Charles.C

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Posted 30 May 2018 - 07:36 AM

Charles, that would depend on the customer.....if you make a store brand olive oil (for example) and the budget brand is 50/50 olive/canola, and suddenly you want to sub only olive (canola had a pest wipe it out) that customer may be concerned that their customer will revolt when you return to original formula.....

 

Hi Scampi,

 

Indeed, yr example is sort of what i was thinking about. IMEX it happens -  less profit is preferred to no Production.

 

I also agree that further business could be impacted. But not intentionally.

 

Perhaps it's "Reverse Fraud".


Kind Regards,

 

Charles.C


#11 charles11011

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Posted 26 September 2018 - 02:01 PM

I don't see it as a fraudulent act if the substitution of one material outside the recipe is communicated to the customer prior to production.



#12 Charles.C

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Posted 26 September 2018 - 02:15 PM

I don't see it as a fraudulent act if the substitution of one material outside the recipe is communicated to the customer prior to production.

 

Perhaps it should have received official approval.


Kind Regards,

 

Charles.C


#13 Brendan Triplett

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Posted 26 September 2018 - 08:22 PM

Joy,

A lot of this will depend on if there is an economic gain involved at the end when the product is sold/created. Food fraud deals with the change of ingredients without reporting them with the intent of economic gain. Of course you can argue that there was no intent but if your books are pulled and it can be proven that you saved money by changing the ingredient, and you never informed your customers, then you are subject to the law. Here is a report on food fraud that was prepared for Congress and remember that it is not what you say it is what you can prove.

Attached File  R43358.pdf   712.29KB   21 downloads

Cheers!


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Brendan Triplett


#14 gud2ya

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Posted 27 September 2018 - 02:22 AM

If you change components, as long as the product development process is documented and the change is declared (not brand change), then its perfectly legal.

 

if its just a change in brand, it will still reflect in PD records and a revision in the suppliers list and inventory, still legal.

 

undeclared changes without any documentation is problematic






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