How FDA Traceability Requirements Provide a Competitive Advantage

In a recent survey of consumers done by SimplyFood, we found that the issue of food safety was very important to 82% of the respondents. The good news is that 86% are confident that the food they purchase is safe. The bad news is that if you are one of the unfortunate companies that have a recall, your brand can suffer irreparable harm unless your response is swift and competent. This is where a modern ERP system can really punch outside its weight class. In the realm of food traceability software, SimplyFood outperforms the rest.

The Food Safety Modernization Act (FSMA)

At some point in 2022, we are expecting the FDA, as a part of the Food Safety Modernization Act (FSMA), to issue a new rule on the traceability requirements of certain high-risk food groups and any foods that contain those specific food groups. From a technology standpoint, improved business practices through the use of a modern ERP software system can greatly assist in the FDA-defined requirements of Key Data Elements (KDEs), specifically within the areas of Receiving, Transformation, Creation & Shipping. These KDEs include a number of expanded requirements for traceability that will affect a large number of food producers nationwide.

Food software technology can speak to your customers

Smart processors are going to find a way to turn these new food safety transparency requirements into a competitive advantage. Technology should not only be viewed as a means to meet the requirements of the FSMA. Instead, it should be viewed as a way to speak directly to your customers. Think about a QR code on your product that provides all related safety data directly to the consumer. When the product was made, where it was stored, who transported it, temperature measurements along the supply chain, etc. All would be welcomed as good news for consumers.

How do we know it would be welcomed news? Well, 79% of the consumers we surveyed said they would probably be willing to pay more for food that they can verify is safe at the time of purchase. Let’s think about this further, consumers already think the food they purchase is safe, but they would be willing to you a premium to know for sure. There is a significant opportunity in these numbers. So why not use these changes coming in the FSMA to make use of the large amount of data you have in your software system and find a way to get this data into the hands of consumers. Those consumers will reward you in the end.