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Contract Manufacturers vs. Contract Co-Packers


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#1 jperri

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Posted 05 September 2019 - 03:38 PM

Hello everyone,

 

I apologize if this topic is redundant but I have searched this on the forum multiple times and have come across two different answers.

 

Our company uses co-packers for 3 clients. The co-packers packs their produce (ex. potatoes, beets, carrots) in customer branded packaging. Then it gets shipped to us and we distribute the finished product to the customer.

 

My questions are:

 

1. Does this fall under 2.3.4 Contract Manufacturers or under 2.4.4 Approved Supplier Program?

I have seen both answers on this forum. Some seem to say co-packers are the same as co-manufacturers and other say they are different and should fall under the supplier program.

I want to note that these co-packing companies are already in our Approve Supplier Program since they also supply us with produce unpacked.

 

2. In terms of packaging, one co-packer purchases their own packaging, packs the product and ships it to us. Would I need to contact them to forward us specs, certificate of conformance etc to cover 2.3.2 Raw and Packaging Materials.

 

Thank you very much!

 

Jenna



#2 SQFconsultant

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Posted 05 September 2019 - 04:01 PM

A contract manufacturer is a company that will make your product and package it in your packaging.  For all intents and purposes that product looks to the consumer like it came from you, it has your packaging, your name on it, maybe your customer service # on it, etc.

 

As to the other co-packer items, sounds like you only handle pass-thru as in storage and distribution.

 

We are currently working on an SQF development project in VA where the company has contractor manufacturer for a small line of sauces and the situation as you do, but very limited with co=packers.  In order to ensure that 2 certifications (both SQF Manufacturing and SQF Storage and Distribution) were not going to apply to our client I had to clarify directly with SQFI and based on how things are handled by the client and the lower percentage of overall business done with pass-thru we were able to NOT have to go with 2 certs for one.... that was a major concern, glad it worked out this way.


Kind regards,
Glenn Oster
 
GOC Group | +1.800.793.7042 | Serving the Food, Food Packaging & Food Storage Industries
SQF Development, Implementation & Certification Consultants 
 
In a nutshell we help small to large businesses to get their act together (as needed), help them to co-develop
entire SQF documentation systems, make recommendations as to installations and repairs in order
to get certified and continue with on-going support thru our popular eConsultant program and we do
all in about 30 days so your staff can implement with our assistance to retain and get new business!
 
Serving the new Republic of the United States of America & Alliance Countries

http://www.GlennOster.com


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#3 Sam30

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Posted 05 September 2019 - 04:15 PM

Hi,

 

situation 1. -

for me what is important line to note here is "they pack in customer branded packaging", when they are using customer branded packs, they are doing your job, this will be Cont-manufacturer or co-packer - in this case both are same for me but definitely not a supplier.

 

situation 2. - 

my answer will be Yes, you will have to make sure packaging material is acceptable for food packing.



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#4 jperri

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Posted 05 September 2019 - 04:49 PM

A contract manufacturer is a company that will make your product and package it in your packaging.  For all intents and purposes that product looks to the consumer like it came from you, it has your packaging, your name on it, maybe your customer service # on it, etc.

 

As to the other co-packer items, sounds like you only handle pass-thru as in storage and distribution.

 

We are currently working on an SQF development project in VA where they company has contractor manufacturer for a small line of sauces and the situation as you do, but very limited with co=packers.  In order to ensure that 2 certifications (both SQF Manufacturing and SQF Storage and Distribution) were not going to apply to our client I had to clarify directly with SQFI and based on how things are handled by the client and the lower percentage of overall business done with pass-thru we were able to NOT have to go with 2 certs for one.... that was a major concern, glad it worked out this way.

 

Just to clarify, you are saying that this situation is considered Contract Manufacturers? We do purchase the produce, they pack it and we ship to the customer, so I would hope we do not fall under Storage and Distribution!

Thank you for your response, much appreciated!

 

 

Hi,

 

situation 1. -

for me what is important line to note here is "they pack in customer branded packaging", when they are using customer branded packs, they are doing your job, this will be Cont-manufacturer or co-packer - in this case both are same for me but definitely not a supplier.

 

situation 2. - 

my answer will be Yes, you will have to make sure packaging material is acceptable for food packing.

Thank you!!



#5 SQFconsultant

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Posted 06 September 2019 - 12:47 AM

Just to clarify, you are saying that this situation is considered Contract Manufacturers? We do purchase the produce, they pack it and we ship to the customer, so I would hope we do not fall under Storage and Distribution!

Thank you for your response, much appreciated!

 

 

Thank you!!

 

Again, a contact manufacturer packs product into your packaging, your label - sends it to you - for all intents and purposes that product is coming from you - that is a contract manufacturer - or in this case a produce packer contract manufacturer.

 

As to the other, it is strictly pass-thru and depending on your percentages you might have 2 certifcations or 1 - for our client it worked out to be 1 cert, which made me a very happy consultant.


Kind regards,
Glenn Oster
 
GOC Group | +1.800.793.7042 | Serving the Food, Food Packaging & Food Storage Industries
SQF Development, Implementation & Certification Consultants 
 
In a nutshell we help small to large businesses to get their act together (as needed), help them to co-develop
entire SQF documentation systems, make recommendations as to installations and repairs in order
to get certified and continue with on-going support thru our popular eConsultant program and we do
all in about 30 days so your staff can implement with our assistance to retain and get new business!
 
Serving the new Republic of the United States of America & Alliance Countries

http://www.GlennOster.com





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