STANDARDS Australia New Zealand

Annual Report 2004–2005

Australia New Zealand

PO Box 7186 PO Box 10559 Canberra BC The Terrace ACT 2610 Wellington 6036 Australia New Zealand Tel: +61 2 6271 2241 Tel: +64 4 473 9942 Fax: +61 2 6271 2278 Fax: +64 4 473 9855 [email protected] [email protected] www.foodstandards.gov.au www.foodstandards.govt.nz FOOD STANDARDS Australia New Zealand

Annual Report 2004–2005 © Food Standards Australia New Zealand 2005

ISSN 1329-3850

This work is copyright. Apart from any use as permitted under the Copyright Act 1968, no part may be reproduced by any process without prior written permission from Food Standards Australia New Zealand (FSANZ). Requests and inquiries concerning reproduction and rights should be addressed to the Information Offi cer, FSANZ, PO Box 7168, Canberra BC, ACT 2610.

An electronic version of this work is available on the Food Standards Australia New Zealand (FSANZ) website at http://www.foodstandards.gov.au. This electronic version may be downloaded, displayed, printed and reproduced in unaltered form only for your personal, non-commercial use or use within your organisation.

Food Standards Australia New Zealand

Australia New Zealand PO Box 7186 PO Box 10559 Canberra BC The Terrace ACT 2610 Wellington 6036 Australia New Zealand Tel: 61 2 6271 2241 Tel: 64 4 473 9942 Fax: 61 2 6271 2278 Fax: 64 4 473 9855 [email protected] [email protected] ANNUAL REPORT 2004 - 2005 3

LETTER OF TRANSMITTAL

Letter of Transmittal

Hon. Christopher Pyne MP Parliamentary Secretary to the Minister for Health and Ageing Parliament House Canberra ACT 2600

Annual Report of the Food Standards Australia New Zealand for the year ended 30 June 2005

I am pleased to present to you the Annual Report of Food Standards Australia New Zealand.

This report fulfi ls the reporting requirements of The Commonwealth Authorities and Companies Act 1997, including the Commonwealth Authorities and Companies orders for report of operations.

The report also fulfi ls the reporting requirements of Section 69 of the Food Standards Australia New Zealand Act 1991.

The Annual Report is made in accordance with a resolution of FSANZ Board Members (Directors). They are responsible for the preparation and content of the report of operations in accordance with the Finance Minister’s Orders.

Yours sincerely

Hon Rob Knowles Chairman Food Standards Australia New Zealand October 2005

ANNUAL REPORT 2004 - 2005 5

CONTENTS

Contents

Guide to the Report 7 Chief Executive Offi cer’s Review 9 Corporate Overview 13 Summary of Activities 22

Our Regulatory Measures 26 Overview 27 Applications and Proposals gazetted from 1 July 2004 - 30 June 2005 31 Managing public health issues arising from food 46 Monitoring and evaluating hazards in food 51 Strengthening the evidence-base for food standards decision making 53 Evaluation of food regulatory measures 60 Fostering international networks 61

Our Stakeholders 70 Overview 71 Community involvement in our processes 73 Stakeholder engagement and networks 76 Communication 86

Our People 92 Overview 93 Organisational capability and capacity 94 Encouraging and rewarding work environment 99

Our Accountability 102 Overview 103 Ensure clear public understanding of our roles and priorities 104 Strengthen and enhance our corporate governance arrangements 107 Ensure clear understanding of our responsibilities/accountabilities 120 6 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Appendices Appendix 1 – Finalised projects from 1 July 2004 - 30 June 2005 123 Appendix 2 – Applications and Proposals processed 128 Appendix 3 – FSANZ Processes for assessing Applications 135 Appendix 4 – Outcomes and outputs structure 138 Appendix 5 – Financial Statements 140 Appendix 6 – Functions and powers 177 Appendix 7 – Current publications 180 Appendix 8 – Categories of documents held 194 Appendix 9 – Consultants 197 Appendix 10 – FSANZ representation 199 Appendix 11 – Published works 206 Appendix 12 – FSANZ Board Members 207

Acronyms and Abreviations 211

Index 214 ANNUAL REPORT 2004 - 2005 7

GUIDE TO THE REPORT

Guide to the Report

This report follows, as far as possible, the requirements laid down in the Commonwealth Authorities and Companies Orders for Report of Operations, August 1998 under Clause 1 of Schedule 1 of the CAC Act.

The Chief Executive Offi cer’s Review provides his perspective on the past year and his outlook for the year ahead.

The Corporate Overview provides a snapshot of who we are, our role and functions, how we are organised and the processes involved in our decision-making. It also refers to our key outcomes and provides a summary of our fi nancial performance.

The main text of the report is based on the four key result areas of our Corporate Plan. It details outputs and activities under the key result areas of Our Regulatory Measures, Our Stakeholders, Our People, and Our Accountability.

Our Regulatory Measures reports on those outputs associated with the development of new, or variation to existing, standards. It also reports on a number of other activities that support the development of food regulatory measures.

Our Stakeholders reports on our community consultation processes, our engagement with stakeholders and our communication activities.

Our People reports on our organisational capability and on initiatives for fostering an encouraging and rewarding work environment.

Our Accountability refers to our corporate governance arrangements and initiatives.

Appendices to the report contain detailed information on standards applications and proposals processed, in line with the reporting requirements of the Food Standards Australia New Zealand Act 1991 (Appendix 1 and 2); the process for assessing applications and proposals (Appendix 3); our outcomes and outputs structure (Appendix 4); our audited fi nancial statements (Appendix 5); FSANZ’s functions and powers (Appendix 6); current publications (Appendix 7); categories of documents held by the Authority (Appendix 8); a list of the consultants used this year (Appendix 9); FSANZ representation, including a list of contributions to international forums, speaking engagements (Appendix 10) and published works by FSANZ staff members (Appendix 11); and a record of FSANZ Board members’ qualifi cations, experience and attendance at Board meetings and Audit Committee meetings (Appendix 12). 8 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Additional information

Additional information can be obtained by contacting Lydia Buchtmann, Communication Manager by telephone on 61 2 6271 2620 or by fax on 61 26 271 2278.

Information on this Annual Report can be obtained from the Writer, John Hare on 61 2 6271 2683 or the Editors, Vicki Pow on 61 2 6271 2621 or Dr Michael Dack on 61 2 6271 2239.

All publications can be viewed on the FSANZ website at www.foodstandards.gov.au ANNUAL REPORT 2004 - 2005 9

CHIEF EXECUTIVE OFFICER’S REVIEW

Chief Executive Offi cer’s Review

Globalisation. It is a powerful driver of economic activity exerting an increasing infl uence on the lives of ordinary people. Nowhere is this more apparent than through traded .

Australia and New Zealand are part of a global food supply that transcends national borders and brings benefi ts to consumers through new eating experiences. Food manufacturers are responding to enhanced consumer expectations by developing novel foods, new food production technologies and products that contain health-giving substances.

Globalisation has ensured that such innovative practices spread rapidly. The same globalisation process, however, also exposes individual countries to food emergencies that may occur overseas or to food products that may not conform to the composition and labelling provisions of the Australia New Zealand Food Standards Code.

It is clear that we need 21st century management systems for a 21st century global food supply. Part of the solution is already occurring – the process of regulatory convergence, which recognises the growing interconnectivity of regulatory systems at global, regional and national levels.

FSANZ is attempting to achieve international regulatory convergence through the work of the Codex Alimentarius Commission and through bi-lateral and multi-national agreements. We are committed to the development of Codex frameworks to guide nations in their own food standards and we continue to play a leading role on Codex committees.

At the regional level, Australia and New Zealand achieved regulatory convergence nearly a decade ago by adopting a shared set of food regulations in the Food Standards Code. We are now experiencing signifi cant interest from ASEAN nations and those in the broader APEC community for collaborative ventures on food regulation.

Finally, regulatory convergence at the national level, which commenced in 2002, has seen the establishment of the Australia and New Zealand Food Regulation Ministerial Council to provide policy advice to FSANZ, the independent standard-setting agency.

The Ministerial Council represents agriculture, trade and industry interests as well as health. The result is a much greater engagement of government portfolios concerned with food than has occurred in the past and this has fl owed on to the jurisdictions.

Just as globalisation is inevitable, regulatory convergence will gather pace to match a rapidly changing world, including the soaring aspirations of consumers for safe food. FSANZ is changing its practices and culture in response to the new environment.

These days, government usually only intervenes to correct market failure in the food supply or to address a public health issue. 10 FOOD STANDARDS AUSTRALIA NEW ZEALAND

This philosophy is one shared by other English-speaking western governments. It translates into non-prescriptive, outcome-based regulation. It leads to transparent, inclusive and participatory processes. We want food industries to innovate and to achieve the goals of regulation as they see fi t. It is not the role of government to intrude unnecessarily.

One “market failure” identifi ed by the Ministerial Council was the rising incidence of in Australia. Current controls put in place to manage potential food hazards in the food supply are obviously not fully effective. The Council asked FSANZ to adopt a whole- of-chain approach to – including the primary production stages – to manage hazards along the supply chain.

During the year, FSANZ fi nished the development of a Primary Production and Processing Standard for Seafood. It will become law in 2006. For the fi rst time in Australia an entire food sector has been covered by nationally consistent food safety regulations. The standard plugs a gap in the seafood supply chain not addressed by existing food safety standards.

A key to the successful development of the standard was the Standard Development Committee established by the FSANZ Board to provide advice and expertise. This committee involved industry representatives, consumers and the jurisdictions (including New Zealand) at the early planning stages of the process, rather than have them comment on proposals put forward by FSANZ. It proved to be an effective strategy.

The primary production standard for seafood has created a template for other national approaches across the food supply and we are now actively pursuing similar measures with the dairy and poultry industries.

Two other examples of market failure addressed by FSANZ during the year were nutrition and health claims and country of origin labelling – both of which required regulatory attention because of the potential for statements on food labels to be misleading and deceptive.

Details of both these projects appear elsewhere in this report. Suffi ce it to say that we received considerable public comment on proposed amendments to the Code. On the former, there are divergent opinions on the way forward. On the latter, consumers, primary producers and some governments made it clear that we had not met their expectations in our draft proposals.

Standard setting is not a popularity contest. However, for regulation to work, there has to be a consensus of acceptance for a food standard in the community. FSANZ’s consultation processes appear to be providing stakeholders in the food regulatory system with a real input to regulatory decisions. This adds to the checks and balances of the system.

Government intervention in food matters is also necessary as a means of implementing public health policy. A current matter is the mandatory fortifi cation of certain foods with folate to provide public health benefi ts. We can underpin our risk management decisions with the ANNUAL REPORT 2004 - 2005 11

CHIEF EXECUTIVE OFFICER’S REVIEW

best available scientifi c evidence, but it would be naïve to imagine that regulation steers a wide berth from government debate.

Ministers are in tune with consumer expectations and concerns. They are the custodians of the broader vision for a safe and healthy food supply. The ministers are expected to decide on the way ahead for mandatory folate fortifi cation in October.

By defi nition, regulatory convergence involves the coming together of ideas, principles, legal requirements, enforcement mechanisms and organisational structures used by government to protect the population from unsafe food.

To meet increasing demands on its resources, FSANZ has taken steps to improve a number of internal management systems and processes. We placed greater focus on our performance management and reporting activities and developed an improved structure around our strategic planning initiatives.

However, our ability to complete applications within statutory timeframes, and to fi nalise proposals that meet stakeholder expectations, is a major issue for the agency. We face the very real possibility that we will be unable to meet the expectations of the and the governments of Australia and New Zealand.

As we highlighted in last year’s Annual Report, we have little control in the number of applications we receive to amend the Code or over their complexity – a complexity that owes much to the welcome innovations of the food industry. We are aware that the food industry is seeking an early resolution of a number of standards matters, including nutrition and health claims and fortifi cation. However, it is unlikely that we will be able to meet these expectations.

The Food Regulation Standing Committee (FRSC) commissioned a review of our assessment and approval processes during the year, as well as of our treatment of confi dential commercial information. We believe this review is timely.

The food environment has changed considerably in recent years, presenting the food regulatory system with challenges that did not exist a decade ago. It is therefore appropriate for FSANZ’s legislative basis and its processes to be evaluated and assessed in the changed circumstances.

One issue under consideration is whether we should apply the full FSANZ process to every application and proposal, or whether, for some straightforward matters, some truncated process could apply. We support this concept, with the proviso that the evidence-based nature of our risk assessments is not compromised and that public consultation remains a meaningful process. 12 FOOD STANDARDS AUSTRALIA NEW ZEALAND

These two principles go to the heart of public confi dence in the food supply and the ability of government to maintain a high level of safety and protection for consumers.

FSANZ’s ability to contribute effectively to the food regulatory system has been due, in no small part, to the calibre and dedication of its staff, for whom I have the greatest of respect. I acknowledge their support, with thanks, during the year.

I also wish to record my thanks to the Chairman of the FSANZ Board, the Hon Rob Knowles, for his continued involvement in the life of the agency and his leadership of the Board itself. Professor Chris Hudson, Associate Professor Heather Yeatman, Professor Kerin O’Dea and Professor Ken Buckle left the Board during the year at the expiry of their terms of appointment. Their contributions, over many years, were signifi cant and appreciated. I look forward to establishing a similar rapport with our new Board members.

I commend this Annual Report of FSANZ as a record of our outputs and outcomes for the year 2004-05.

GRAHAM PEACHEY Chief Executive Offi cer ANNUAL REPORT 2004 - 2005 13

CORPORATE OVERVIEW

CORPORATE OVERVIEW

Who we are

Food Standards Australia New Zealand (FSANZ) is an independent statutory agency established by the Food Standards Australia New Zealand Act 1991. This was enacted following agreement between the governments of Australia and the States and Territories (through the Intergovernmental Food Regulation Agreement 2000) and the governments of Australia and New Zealand (under a Treaty), for a single bi-national food standards setting agency.

Our Vision

• To protect the health and safety of people in Australia and New Zealand through the development of effective food standards.

We do this collaboratively with all Australian governments and the government of New Zealand and with our industry, consumer and public health stakeholders.

Our Mission

Within the context of that vision, our mission is:

• To work as productive partners in the Australian and New Zealand food regulatory system.

Role and functions

Our role is to protect and inform consumers through the development of effective food standards and in a way that helps stimulate and support growth and innovation in the food industry.

We are responsible for developing, varying and reviewing standards and for developing codes of conduct with industry for food sold in Australia and New Zealand covering labelling, composition and contaminants. In Australia, FSANZ also develops food standards for food safety, maximum residue limits, primary production and processing and undertakes a range of other functions, including the coordination of national food surveillance and recall systems, conducting research and assessing policies about imported food. 14 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Our main function is to develop, vary or review food regulatory measures, whether as a result of an Application from an outside body, through a Proposal of our own or by responding to policy initiatives from the Ministerial Council.

We do this by:

• assessing Applications and Proposals to amend or vary the Australia New Zealand Food Standards Code;

• monitoring and evaluating hazards in food to support the development of food regulatory measures;

• fostering national and international networks; and

• strengthening the evidence base for food standards decision-making.

Appendix 6 details FSANZ’s functions and powers.

Ministerial responsibility

The Parliamentary Secretary to the Minister for Health and Ageing, The Hon. Christopher Pyne MP, has executive responsibility for FSANZ. Mr Pyne chairs the Australia New Zealand Food Regulation Ministerial Council.

Assessment of applications/proposals to amend/vary the Code

The Australia New Zealand Food Standards Code (the Code) came fully into effect in Australia and New Zealand in December 2002 when the former Australian Food Standards Code and the New Zealand Food Regulations were repealed.

During the year we received 23 Applications and prepared 8 Proposals, and fi nalised 24 Applications and 5 Proposals. Each Application and Proposal is the subject of comprehensive assessment and public consultation.

The FSANZ Board approves new standards or variations to food standards in accordance with policy guidelines set by the Australia and New Zealand Food Regulation Ministerial Council (Ministerial Council) made up of Australian Government, State and Territory and New Zealand Health Ministers as lead Ministers, with representation from other portfolios.

The process for amending the Code is prescribed in the Food Standards Australia New Zealand Act 1991 (FSANZ Act). Figure 1 represents the different stages in the process, including the periods of public consultation. This process varies for matters that are urgent or minor in signifi cance or complexity. ANNUAL REPORT 2004 - 2005 15

CORPORATE OVERVIEW

FSANZ Assessment Processes

Initial • An IA report is prepared with an outline of Assessment issues and possible options; affected parties are identifi ed and questions for stakeholders are included • Comment on scope, Public • Applications accepted by FSANZ Board possible options and direction Consultation • IA Report released for public comment of regulatory framework • Provide information and Draft • Public submissions collated and analysed answer questions raised in • A Draft Assessment (DA) report is prepared Initial Assessment report Assessment using information provided by the applicant, • Identify other groups or stakeholders and other sources individuals who might be • A scientifi c risk assessment is prepared as affected and how - whether well as toher scientifi c studies completed using fi nancially or in some other way the best scientifi c evidence available • Risk analysis is completed and a risk management plan is developed together with a • Comment on scientifi c Public communication plan rsk assessment; proposed Consultation • Impact analysis is used to identify costs and regulatory decision and benefi ts to all affeected groups justifi cation and wording or • An appropriate regulatory response is draft standard identifi ed and if necessary a draft food standard • Comment on costs and is prepared benefi ts and assessment of • A WTO notifi cation is prepared if necessary regulatory impacts • DA Report considered by FSANZ Board • DA Report released for public comment

Final • Comments received on DA report are analysed and amendments made to the report Assessment and the draft regulations as required • The FSANZ Board approves or rejects the Final Assessment report • Those who have provided Public • The Ministerial Council is notifi ed within 14 submissions are notifi ed of Information the Board’s decision days of the deciision

Ministerial • If the Ministerial Council does not ask FSANZ Council to review a draft standard, it is gazetted and automatically becomes law in Australia and New Zealand • The Ministerial Council can ask FSANZ to review the draft standard up to two times • After a second review, the Ministerial Council can revoke the draft standard. If it amends or decides not to amend the the draft standard, gazettal of the standard

Appendix 3 details FSANZ’s processes for assessing Applications. 16 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Organisation structure

We are part of the Australian Government’s Health and Ageing portfolio.

In response to the fi ndings of an external Strategic Review carried out in 2003, FSANZ was restructured into four Branches to give effect, as practically as possible, to the functional separation of risk assessment of public health and safety hazards from the risk management function, to strengthen FSANZ’s science function, and to expand the role of the Wellington offi ce.

These Branches are:

• Food Standards (Canberra)

• Food Standards (Wellington)

• Scientifi c Risk Assessment & Evaluation

• Food Safety & Services

A key feature of the reorganisation was to move to a fl atter structure with less senior executive staff.

Details of our organisational structure are provided in the section of the Report under Our Accountability. ANNUAL REPORT 2004 - 2005 17

CORPORATE OVERVIEW

FSANZ Organisational Structure

Chief Executive Offi cer Graham Peachey

Scientifi c Risk Food Standards Food Standards Food Safety & Assessment & General Counsel (Canberra) (Wellington) Services Evaluation John Fladun General Manager General Manager General Manager Chief Scientist Melanie Fisher Dean Stockwell Claire Pontin Marion Healy

Labelling & Primary Product Safety Chief Medical Information Production & Standards Advisor Standards Food Safety Paul Brent Bob Boyd Leigh Henderson Amanda Hill (A/g)

Offi ce of Legal Strategic Science Stakeholder Post Market Counsel & Unit Liaison Operations Secretariat Steve Crossley vacant Scott Crerar John Fladun

Modelling, Communication Evaluation & Corporate Lydia Buchtmann Surveillance Kent Brown Janis Baines (A/g)

Economic, Risk Assessment Social Analysis & Finance - Microbiology International Julie Warren Deon Mahoney Laura Angus

Risk Assessment Public Health - Public Health Nutrition Standards Nutrition Jenny Hazelton Janine Lewis

Planning & Risk Assessment Capability - Chemical Safety John Hare Peter Abbott

Report against the Corporate Plan

This annual report focuses on the performance of Food Standards Australia New Zealand as specifi ed in the Portfolio Budget Statement and our Corporate Plan. The Corporate Plan describes our four key result areas – Our Regulatory Measures, Our Stakeholders, Our People, Our Accountability – and the management strategies that set out how the organisation will achieve its objectives and performance targets. The Corporate Plan provides the broad direction and priorities and establishes the basis for more detailed business plans and performance agreements for all staff. 18 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Outcomes and outputs structure

The services provided by FSANZ contribute to one of the Health and Ageing Portfolio’s nine outcomes - the Population Health and Safety outcome:

• promotion and protection of the health of all Australians and minimising the incidence of preventable mortality, illness, injury and disability.

We seek to advance this outcome through the maintenance of a safe food supply.

In terms of the 2004-2005 Portfolio Budget Statement (PBS) we identifi ed three major indicators of performance. Tables 1, 2 and 3 summarise our achievements against the targets identifi ed in the Portfolio Budget Statements.

Table 1: Food regulatory measures based on rigorous scientifi c risk assessments, regulatory impact analysis and comprehensive stakeholder input.

Target Achievements Page reference

Improved quality of food • 75% of Applications and Proposals accepted without 30-31 regulatory measures. review by the Ministerial Council.

• 100% of Regulatory Impact Assessments endorsed by the 60 Offi ce of Regulation Review.

• 26 standard development/advisory committee meetings held. 75

• 5 public briefi ngs piloted for health claims 74

• 2 community forums held 74

Table 2: Level of knowledge and understanding of Food Standards Code and Food Safety Standards by industry and consumers.

Target Achievements Page reference

Improvement in knowledge, • Evaluation surveys. Research on food safety 60-61 attitude and behaviour issues in the poultry meat industry completed. concerning safe food handling Due to be published in 2005-2006. practices that will promote • Participate actively in the Food Safety Information 91 health and prevent illness over Council’s public education activities. time.

Improvement in knowledge and • Upgrade of the Nutrition Panel Calculator (NPC). 54 understanding of food labels • Evaluation surveys. Phase 1 of the Label 60-61 that will enable consumers to Monitoring Survey completed and due for make informed health choices publication in 2005-2006. in relation to food. • Fieldwork completed on survey of consumer’s 60-61 perception and use of nutrition and health claims. draft report to be published in 2005-2006. ANNUAL REPORT 2004 - 2005 19

CORPORATE OVERVIEW

Table 3: Timely and completed implementation of food recalls.

Target Achievements Page reference

All food recalls initiated within • Of the 66 recalls conducted this fi nancial year 50-51 24 hours of formal notifi cation 54 recalls (82%) were initiated within 24 hours and 100% of recall reports of formal notifi cation.* obtained from industry. • Of the 66 recalls initiated this fi nancial year 45 recall reports (68%) were obtained from industry.**

* If formal notifi cation by a company is provided late on a Friday, formal dissemination of information to health authorities and industry may not occur until Monday. In these instances, however, the company would have started the recall process and health authorities made aware of the issue.

** The majority of food recalls are conducted on a voluntary basis. There is no legal obligation on the company conducting the recall to provide FSANZ with recall reports.

Appendix 4 provides details of our Outcomes and Output Structure.

Summary of fi nancial performance

FSANZ is an Australian Government statutory agency and therefore operates primarily through an Australian Government appropriation. In 2004-2005 we received $13.515 million from the Australian Government. Because we also operate under an Agreement with New Zealand, the New Zealand Government also contributes towards the costs of those activities we undertake for Australia and New Zealand. In 2004-2005 this amounted to $1.395 million.

We also receive limited revenues for fee-for-service activities and royalties on publications. In accordance with the Commonwealth Authorities and Companies Act 1997 the FSANZ Board is responsible for FSANZ’s fi nancial management and operates in accordance with a forward fi nancial plan.

Financial Outcomes

Operating outcome

During 2004-2005 operating revenue, including revenue from the Australian and New Zealand governments, was $17.397 million and operating expenses were $16.834 million, resulting in a net operating surplus of $0.563 million.

The operating surplus was $0.563 million higher than the budget as reported in the Portfolio Budget Statements 2004-2005. The higher surplus was due to contract services not being delivered as originally planned. 20 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Operating revenue

Total operating revenue of $17.397 million compares to total actual revenue of $16.555 million for 2003-2004. The main changes related to an increase in the value of international training projects undertaken by FSANZ and funded by AusAid.

Operating expenses

Total operating expenses of $16.834 million compares to total operating expenses of $15.460 million for 2003-2004. The main changes relate to increases in employee and administrative costs.

Equity

Our total equity increased by $0.472 million to $4.396 million in 2004-2005. The operating surplus of $0.563 million was offset by a decrease in reserves of

$0.091 million due to the revaluation of non-current assets to fair value.

Total assets

The total value of FSANZ’s assets increased by $0.524 million to $8.385 million in 2004- 2005. The main changes related to an increase in cash reserves offset by a decrease in the value of non-current assets.

Total liabilities

Our total liabilities increased by $0.053 million from last fi nancial year to $3.990 million. The main changes related to an increase in employee provision for salaries and wages, superannuation and performance based pay.

Cash fl ows

Overall there was an increase in our cash balance, which increased by $0.862 million to $7.603 million as at 30 June 2005. The net increase in cash held primarily refl ects the operating surplus and changes in balances of employee provisions and payables.

Four -Year Financial Plan

To date, FSANZ has operated on a three-year forward fi nancial plan, reviewed annually by the Board. FSANZ has paid specifi c attention to the organisation’s equity target and the balance between staff costs and operating costs in its forward planning. ANNUAL REPORT 2004 - 2005 21

CORPORATE OVERVIEW

The revised Financial Plan:

• has been restructured in a format that includes a statement of fi nancial performance (profi t and loss), a statement of fi nancial position (balance sheet), and cash fl ows;

• is a four year plan to align with the four year forward estimates of government appropriation in the Australian Government’s Portfolio Budget statements;

• includes provisions for managing (replacing or upgrading, as required) FSANZ’s capital items; and

• establishes a new suite of appropriate fi nancial targets for the organisation.

The Four-Year Financial Plan sets some specifi c fi nancial targets. We aim for:

• a working capital (current ratio) of about 1.5:1 (current assets divided by current liabilities). This is consistent with our previous approach and ensures that in any one year FSANZ could more than meet its short-term liabilities from its short-term assets;

• an end-of-year operating surplus or balanced budget in order to ensure the long-term viability of the organisation;

• total assets exceeding total liabilities; and

• a total equity position that is positive, in the order of $500,000, to allow for unexpected contingencies.

We have included a capital/asset management component into the four-year plan. This will allow us to stabilise the draw on the budget by ironing out the peaks and troughs that occur during the year. FSANZ’s major assets include offi ce partitioning, computer hardware and in-house proprietary computer systems.

Our salary costs are the major, and increasing, component of our operating budget. We are in the process of looking at an appropriate staff/operating costs ratio and are undertaking an analysis of specifi c costs together with the drivers behind these costs.

The ratio of administrative costs to salary costs has dropped steadily from 79.48% in 2000-01 to 47.6% in 2003-2004, showing that savings have been largely achieved through productivity gains and by reducing administrative expenses. 22 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Summary of Activities

Our Regulatory Measures

Objectives

• Development and evaluation of the Food Standards Code and other regulatory measures (Portfolio Budget Statement 2004-2005). • Effective management and enhancement of the standards development process (Portfolio Budget Statement 2004-2005). • Establishment and implementation of a common regulatory approach and evaluation strategies with other agencies (Portfolio Budget Statement 2004-2005). • Work with our government partners to develop food standards through the bi-national food regulatory arrangements (FSANZ Corporate Plan 2003-2006). • Use of good regulatory practice in the delivery of food regulatory outcomes (Portfolio Budget Statement 2004-2005).

Highlights

• 24 Applications fi nalised. • 5 Proposals fi nalised. • 100% of regulatory impact statements met the requirements of the Offi ce of Regulation Review. • Successfully managed number of signifi cant public health issues arising from food.

• Completion of the seafood standard.

Performance

The performance indicators for Our Regulatory Measures: • the number of standards Applications fi nalised within statutory timeframes; • the number of regulatory impact statements satisfying the Offi ce of Regulation Review’s requirements; and

• our management of food emergencies and public health issues arising from food. ANNUAL REPORT 2004 - 2005 23

SUMMARY OF ACTIVITIES

Our Stakeholders

Objectives

• Provide greater opportunities for community involvement in food regulatory processes (Portfolio Budget Statement 2004-2005). • Strengthen productive working relationships with our external interest groups and government partners (FSANZ Corporate Plan 2003-2006).

Highlights

• New consultation and engagement arrangements (public briefi ngs, targeted consultations) trialled during the year. • Increased use of standards development advisory committees (SDACs) • Over 300 delegates from industry, government, public health professionals and consumers from within Australia and New Zealand attended the inaugural Food Safety Conference, Gold Coast in October 2004. • 50 people attended the Board’s stakeholder forum in Sydney and 49 the stakeholder forum in Auckland. • Negotiated Memorandum of Understanding with international (Canadian Food Inspection Agency) and national (Standards Australia) stakeholders.

• Advice Line responded to approx 10,000 phone and email enquiries.

Performance

Our performance in meeting Our Stakeholders goals is measured by monitoring: • the level of stakeholder support for our regulatory approaches; • the level and nature of stakeholder feedback, both formal and informal, provided through the industry advice line and information offi cer; • the number of invitations to consultative forums by our government partners and stakeholders; • the extent of stakeholder participation in our consultative processes; and • the level of engagement between our stakeholders and ourselves. 24 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Some of these performance indicators have proved diffi cult to measure. As part of our planning process, we will conduct a major review of our performance measurement system in 2005-2006 and seek to develop more appropriate indicators and more measurable and achievable performance measures.

Our People

Objectives

• Enhance organisational capability and capacity.

• Foster an encouraging and rewarding work environment.

Highlights

• Establishment of Staff Forum. • Draft Values and Capabilities Framework developed. • Overall staff numbers remain at consistent level.

• Consistent with APS trends, FSANZ’s age profi le is increasing.

Performance

Our performance in meeting Our People goals is measured by: • the extent to which strategic human resource management plans and policies facilitate achievement of organisational objectives; • the number and nature of professional development opportunities given to staff as identifi ed in staff professional development plans; and • the nature of comments from staff surveys. ANNUAL REPORT 2004 - 2005 25

SUMMARY OF ACTIVITIES

Our Accountability

Objectives

• Ensure clear public understanding of our roles and priorities (FSANZ Corporate Plan 2003-2006). • Strengthen and enhance our corporate governance arrangements (FSANZ Corporate Plan 2003-2006). • Ensure clear understanding of our responsibilities and accountabilities in delivering statutory obligations (FSANZ Corporate Plan 2003-2006).

Highlights

• Development of a new Four Year Financial Plan. • Enhancement of fi nancial reports. • Implementation of quarterly fi nancial and performance reporting.

• Development of the FSANZ Strategic Plan 2005-2006.

Performance

Our performance in meeting Our Accountability goals is measured by: • the level of compliance with external reporting requirements, including departmental fi nancial reporting; • the extent to which our management reporting and planning processes track progress against agency priorities; • the level of cooperation between ourselves and our jurisdictional partners • stakeholder response to our Strategic Review; • the effectiveness of our strategic issues management; and • the extent to which staff performance agreements are directly linked to corporate priorities. 26 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Our Regulatory Measures

Objectives • Development and evaluation of the Food Standards Code and other regulatory measures (Portfolio Budget Statement 2004-2005). • Effective management and enhancement of the standards development process (Portfolio Budget Statement 2004-2005). • Establishment and implementation of a common regulatory approach and evaluation strategies with other agencies (Portfolio Budget Statement 2004-2005). • Work with our government partners to develop food standards through the bi-national food regulatory arrangements (FSANZ Corporate Plan 2003-2006). • Use of good regulatory practice in the delivery of food regulatory outcomes (Portfolio Budget Statement 2004-2005). ANNUAL REPORT 2004 - 2005 27

OUR REGULATORY MEASURES

Highlights

• 24 Applications fi nalised.

• 5 Proposals fi nalised.

• 100% of regulatory impact statements met the requirements of the Offi ce of Regulation Review.

• Successfully managed number of signifi cant public health issues arising from food.

• Completion of the seafood standard.

Performance

The performance indicators for Our Regulatory Measures:

• the number of standards Applications fi nalised within statutory timeframes;

• the number of regulatory impact statements satisfying the Offi ce of Regulation Review’s requirements; and

• our management of food emergencies and public health issues arising from food.

Overview

Last year we reported that the increasing demands and complexities of a rapidly changing food environment are placing further pressures on our capacity to fully meet stakeholder expectations. We are a demand-driven agency and, in the discharge of our statutory functions, we face acute resource challenges and competing priorities.

We have little control over the number and complexity of Applications we receive and we are being seriously stretched by several signifi cant and complex projects.

An assessment of the FSANZ Work Plan over recent years has revealed signifi cant and increasing workload pressures on the agency. Statistics show a growing backlog of Applications and Proposals listed on that plan, along with an increasing waiting period for unpaid Applications. While there has been a marginal decrease in the number of recent Applications, the pressures on our capacity to deliver remain.

In the past we have given priority to the implementation of policy guidelines and to the expectations of the Australia New Zealand Food Regulation Ministerial Council. We also need to consider requests from the Ministerial Council for reviews of work already completed. At the same time, we must accept and process all Applications received. 28 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Complex projects such as health claims, fortifi cation and the development of the primary production standard for seafood have made a signifi cant call on our resources. We estimate, for example, that work on the seafood standard and on health claims alone (out of a total of 67 listed on the FSANZ workplan) have engaged about 20% of staff involved in food standards development work.

In order to meet expectations on matters such as fortifi cation, FSANZ has delayed a number of other important regulatory projects including sports foods and food type dietary supplements.

The standards development process administered by FSANZ is only one component of the food regulatory system. This system includes policy development, standards development and implementation. These components are mutually dependent, and ultimately the timeliness and quality of food standards is determined by how well the entire system functions.

The number of Applications received and Proposals commenced during 2004-2005 declined compared with the previous year (see Table 1). Never-the-less, a number of factors continue to contribute to our inability to process work in a manner that meets stakeholder expectations.

During the year we have dealt with a number of issues of signifi cant public interest. Some are ongoing and include:

• proposals dealing with seafood, poultry meat, dairy, and country of origin labelling;

• responses to requests for work in areas such as vitamin and mineral fortifi cation, health claims and novel foods;

• food emergencies and public health issues arising from food-related issues including red food dyes, the safety of acrylamide, and contamination of imported oysters;

• emerging issues including food from cloned animals, polybrominated diphenyl ethers, and trans fatty acids;

• non-standards work, including management of food recalls; and

• data collection activities, including the Australian Total Diet Study, analysis of food compositions, and evaluations of the impact of key standards.

FSANZ has already taken a number of steps to address industry and jurisdictional concerns about the timeliness of the FSANZ process. We have made further changes to the structure and format of our assessment reports to ensure that key issues and recommendations are more readily identifi able. We have strengthened our consultation processes including the use of public briefi ngs and more targeted engagement, particularly for contentious issues. ANNUAL REPORT 2004 - 2005 29

OUR REGULATORY MEASURES

FRSC Review

During the year the Food Regulation Standing Committee (FRSC) initiated a review of our assessment and approval processes and our treatment of confi dential commercial information. The purpose of the review is to examine legislative and other impediments that prevent our processes from being more effective.

We provided input to the review.

The review identifi ed the main strengths of our processes as our clear focus on the protection of public health and safety based on the best available scientifi c evidence; the transparency of those processes; and the public scrutiny of our decision-making processes through open consultation. The main weakness of the system, however, is the timeframe for decision- making and the legislative process for developing or amending a standard.

While the number of Applications and Proposals made to or by FSANZ respectively, decreased compared to last year, our workload continues to be characterised by increased demands and complexities. Table 1 shows the number of Applications received and Proposals commenced since July 2002 in all Work Plan Groups.

Table 1: Applications received and Proposals commenced 1

July 2002 30 June 2003 30 June 2004 30 June 2005 Group 1 13 20 23 18 Group 2 22 27 43 36 Group 3 7 11 16 15 Under Review N/A 1 2 6 Total 42 59 84 74 Max waiting time- 6-9 months 12 months 18 months 12-15 months Group 2

1 Group 1 is for Applications/Proposals raising health and safety issues being progressed as a priority or Applications/matters identifi ed by jurisdictions as warranting priority (e.g. fortifi cation, primary production, health claims. Group 2 is for proposals and unpaid Applications placed on a 3 year rolling plan scheduled for commencement in order of receipt. Group 3 is for paid Applications. The Act requires work to commence of receipt of the Application and fee. 30 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Our capacity to manage cost recovered Applications (Group 3) also impacts on our ability to manage our workloads as it is diffi cult to forecast the number and complexity of cost recovered Applications we are likely to receive.

Table 2: All Applications Received and Proposals Prepared

2000-01 2001-02 2002-03 2003-04 2004-05 Applications 23 27 36 34 23 Proposals 22 19 10 13 8 Total 45 46 46 47 31

Table 3 shows the number of Applications and Proposals that have been processed.

Table 3: Applications and Proposals Finalised

2000-01 2001-02 2002-03 2003-04 2004-05 Applications/Proposals 102 61 31 30 29 fi nalised by the FSANZ Board Applications withdrawn 10 11 8 6 9 or rejected/Proposals abandoned Total Applications/ 112 72 39 36 38 Proposals processed.

Applications and Proposals were completed during the standard-by-standard review of the Code undertaken since 1994 but were held over to be fi nalised (adopted) as a package by the Ministerial Council in November 2000. Accordingly the 2000-2001 period saw the greatest number of Applications and Proposals fi nalised.

Ministerial Council Reviews

Since 2002, the number of reviews requested by the Ministerial Council has increased from 3 (9% of matters notifi ed to the Ministerial Council) to 8 (25%) for the year ending June 2005. In May, the Ministerial Council requested, for the fi rst time, a second review on a matter (fortifi cation of foods with calcium).

Matters referred to FSANZ by the Ministerial Council ranged from genetically modifi ed foods, processing aids, phytosterols, fortifi cation, to minor omnibus amendments.

In all cases FSANZ reaffi rmed its approval. ANNUAL REPORT 2004 - 2005 31

OUR REGULATORY MEASURES

Table 4: Notifi cation Outcomes

2002-03 2003-04 2004-05 Matters Notifi ed 33 31 32 Requests for Review 3 (9%) 3 (10%) 8 (25%)

A recent Ministerial Council decision for review requests to be accompanied by more specifi c and detailed reasoning may assist in clarifying the matters for further consideration by FSANZ and assist in reducing the turn around time.

Applications and Proposals gazetted from 1 July 2004 – 30 June 2005

Based on Applications received, 24 variations or amendments to standards in the Code were gazetted (compared with 20 last year). On the basis of Proposals raised by FSANZ, a further fi ve variations or amendments to standards in the Code were gazetted (compared with ten last year).

Detailed information on Applications and Proposals fi nalised and processed in 2004 – 2005, are contained in Appendix 1, 2 and 3.

Policy guidelines and work requested by Ministers

The Australian Government, States and Territories and the New Zealand Government are represented by their health ministers on the Ministerial Council and/or by ministers from other relevant portfolios such as agriculture, industry or trade, to ensure a whole-of-government approach to food regulation.

The Ministerial Council is responsible for the development of domestic food regulatory policy and the development of policy guidelines for setting domestic food standards. It has the capacity to adopt, amend or reject standards and to request that these be reviewed.

Policy guidelines resulting from decisions made by the Ministerial Council are subsequently referred to FSANZ.

Ministerial policy guidelines

Review of the Intent of Part 2.9 of the Food Standards Code – Special Purpose Foods

At its meeting in March, the Ministerial Council agreed that FSANZ should conduct a review of the intent of Part 2.9 of the Food Standards Code - standards for special purpose foods.

The purpose of the review is to ensure that Part 2.9 of the Code is only used for those foods that are prepared for at-risk groups whose dietary requirements cannot always be satisfi ed 32 FOOD STANDARDS AUSTRALIA NEW ZEALAND

by a normal diet. It should not apply to foods that are promoted and consumed as general foods.

This work will be undertaken through current Proposals already underway namely, the Review of Sports Foods and Food for Special Medical Purposes. We expect work to be completed in late 2006.

Nutrition, Health and Related Claims (notifi ed to FSANZ on 18 December 2003)

Nutrition, health, and related claims are those that indicate the presence or absence of a nutrient, or describe or indicate a relationship between the consumption of food and a health outcome. FSANZ has been considering the regulation of these claims for some time.

In December 2003 the Ministerial Council endorsed a nutrition, health and related claims policy guideline. The policy aims to ensure that the health and safety of the public is protected, while still facilitating innovation by the food industry and trade.

We are progressing a Proposal related to the use of nutrition, health and related claims. We consider that the appropriate use of nutrition, health and related claims has a signifi cant role in promoting improved health through increased and informed dietary choice and provides an incentive for the research and development of food products which offer the consumer health benefi ts. The project is very complex, drawing a diverse range of views both within and across stakeholder groups (i.e. consumers, public health professionals, industry and the jurisdictions). The Initial Assessment Report, published in August 2004, attracted a large number of detailed submissions. Publication of the Draft Assessment Report is expected late in 2005.

Part of the health claims proposal includes assessment for possible pre-approval of several diet-disease relationships in which diet may reduce the risk of a serious disease. We have selected seven diet disease relationships that had been approved overseas. Experts reviewed the evidence base for these relationships, including commenting on six previously conducted reviews by Health Canada. A Scientifi c Advisory Group has peer reviewed the fi rst three expert reviews and advised FSANZ on their rigour, quality and conclusions. The remaining reviews will be considered in 2005-2006.

In order to take an evidence based approach to the formulation of the new regulatory arrangements, we have commissioned a number of research projects and surveys relating to consumer use and perception of health claims, the present use of health and related claims on food products, a cost-benefi t analysis and a review of the scientifi c evidence supporting the use of claims which relate to the reduction in risk of serious disease. We have worked closely with the Standards Development Advisory Group for health claims throughout the project. We have also met with key individuals involved in the evaluation and regulation of health claims from other jurisdictions (eg Health Canada, US Food and Drug ANNUAL REPORT 2004 - 2005 33

OUR REGULATORY MEASURES

Administration and UK Joint Health Claims Initiative) to gain insight into experiences with the implementation of health claim frameworks.

Country of Origin Labelling of Food (notifi ed to FSANZ on 18 December 2003)

In December 2003 the Ministerial Council agreed to a policy guideline for mandatory country of origin labelling of food.

FSANZ is working on a Proposal to develop a new standard, having regard to the policy guideline. The Food Standards Code currently has an Australia-only transitional standard requiring country of origin information for packaged foods and certain unpackaged foods. A New Zealand-only requirement relates to wines. The new Proposal aims to reinforce country of origin information necessary to make informed food choices.

A draft report released in March 2005 generated considerable interest from a wide range of stakeholders. Submissions received, followed by targeted consultations, identifi ed a number of substantive issues. A further round of consultation was undertaken in August/September 2005. A fi nal report will go to the FSANZ Board in late September and the Ministerial Council will have an opportunity to consider the report in late October.

Food Safety Management in Australia (notifi ed to FSANZ on 18 December 2003)

In December 2003 the Ministerial Council agreed that specifi c high-risk sectors of the food industry be required to implement mandatory food safety programs. The policy guidelines developed by the Ministerial Council guide the standards development process.

The high-risk sectors included in mandatory food safety programs include:

• food service, whereby potentially hazardous food is served to vulnerable populations;

• harvesting, processing and distributing raw oysters and other bivalves;

• catering operations serving food to the general public; and

• businesses producing manufactured and fermented meat.

The implementation of food safety programs for oysters and other bivalves has been addressed in the Primary Production and Processing Standard for Seafood.

The requirement for food safety programs improves the safety of the Australian food supply by ensuring all potential food safety hazards are identifi ed and controlled in high-risk sectors. The aim is to safeguard consumers from foodborne illness without creating undue impost on industry or consumers.

We have prepared a number of Proposals that include the development of standards to cover Food Service to Vulnerable Populations, Catering Operations to the General Public, and Producers of Manufactured and Fermented Meat. 34 FOOD STANDARDS AUSTRALIA NEW ZEALAND

During the year, we progressed work with the States and Territories, industry and consumers to implement the policy guidelines. Discussions have been held with relevant State and Territory agencies to enable application and enforcement of food safety plans for retail of manufactured meats. There is broad support for the mandating of Standard 3.2.1 for all producers of manufactured and fermented meats. The Proposal has progressed through the Draft Assessment stage.

With respect to Food Safety Programs for Food Service to Vulnerable Populations the main issues concerned the frequency of audits required, the duplication of requirements with existing accreditation systems, the scope of the defi nition, and exemptions for family day care. This Proposal has also progressed through the Draft Assessment stage.

We have sought clarifi cation from the Ministerial Council on the nature of businesses or business activities that are intended to be captured by Ministerial policy guidelines.

Review of Novel Food (notifi ed to FSANZ on 18 December 2003)

Novel foods are those non-traditional foods for where there is insuffi cient knowledge in the broad community to enable safe use. A Standard requiring pre-market approval of novel foods has been incorporated into the Code since June 2001 (Standard 1.5.1.) but the food industry has expressed concern about the subjective nature of the current defi nition, the scope of the defi nition and the protection of commercially sensitive information.

We received policy guidance on novel foods from the Ministerial Council in December 2003. Ministers asked FSANZ to review the standard and associated user guide and to consider issues raised by stakeholders. The current defi nition in the standard is open to subjective interpretation and the scope of the novel foods defi nition needs to be refi ned with particular attention given to the identifi cation of the appropriate triggers of a pre-market assessment of novel foods.

The policy guidelines recommend that, in reviewing the standard, FSANZ gives consideration to the higher order principles and to the specifi c principles as well as to the issues raised by stakeholders during the FRSC consultation.

The aim of the revised standard is to provide greater clarity about our process to determine if a food is novel.

Fortifi cation of Food with Vitamins and Minerals (notifi ed to FSANZ on 28 May 2004)

The Ministerial Council agreed to a policy guideline for the Fortifi cation of Foods with Vitamins and Minerals in May 2004. The policy covers both mandatory and voluntary fortifi cation of food. ANNUAL REPORT 2004 - 2005 35

OUR REGULATORY MEASURES

Ministers agreed that vitamins and minerals may be added to food where there is, for example, demonstrated evidence of inadequate dietary intake or potential health benefi t, and the fortifi cation of a food will not result in harm.

As part of the strategy for the management of fortifi cation work, we have developed the Fortifi cation Implementation Framework (the Framework) as a practical guide for implementing the policy guideline in the context of the standards development process. The document details, in the light of the policy guideline, our revised approach to regulatory decision-making on both the mandatory and voluntary addition of vitamins and minerals to food.

The Ministerial Council advised that two signifi cant public health issues, the occurrence of neural tube defects and mild iodine defi ciency, warranted high priority consideration of mandatory fortifi cation with folic acid and iodine respectively.

We achieved considerable progress on both projects during the year. We prepared a Proposal for the consideration of mandatory fortifi cation with folic acid and resumed work on a Proposal to consider mandatory addition of iodine to food.

We released Initial Assessment Reports for both Proposals for public consultation and prepared two major reports on the health risks and benefi ts of increased intake of folic acid and of iodine. We have sought clarifi cation on policy advice from the Ministerial Council whether mandatory fortifi cation is likely to be the most effective strategy in each case and on the management of health monitoring and review in the event that mandatory fortifi cation proceeds.

In support of its fortifi cation work, we have also established a Fortifi cation Standards Development Advisory Committee to advise on fortifi cation matters. The Committee members are drawn from industry, consumer groups, public health professionals and government.

Primary Production Work

The development of national ‘paddock-to-plate’ standards is the responsibility of FSANZ and aims to:

• ensure that food safety is addressed across the entire food chain;

• provide nationally consistent standards that will set a benchmark for industry obligations to produce safe food;

• provide minimum imposts on industry to achieve the most effective food safety outcomes;

• harmonise with international standards; and 36 FOOD STANDARDS AUSTRALIA NEW ZEALAND

• increase public confi dence in the safety of food products.

In developing the primary production and processing standards, FSANZ works within the framework of the Australia and New Zealand Food Regulation Ministerial Council Overarching Policy Guideline on Primary Production and Processing Standards and FSANZ’s Protocol for the Development of Primary Production and Processing Standards. These guidelines emphasise the food safety nature of these standards.

In addition to statutory consultation, further consultative activities have been built into the development process for the Primary Production and Processing Standards. This refl ects recognition of the need for close consultation with industry, regulators and consumers throughout the development of the standards, since the level of awareness of FSANZ processes within the primary production sector may be minimal.

Further details of our consultative mechanisms and stakeholder engagement may be found in the section on Our Stakeholders.

Other work requested

Review of Minimum Age Labelling of Foods for Infants

In April 2003, the Ministerial Council requested that FSANZ review the minimum age labelling requirements for infant foods to resolve an apparent inconsistency with the revised Australian National Health and Medical Research Council (NHMRC) Dietary Guidelines for Children and Adolescents released in June 2003. In addition Ministers asked that a review of minimum age labelling also consider and accommodate New Zealand infant feeding guidelines.

The inconsistency relates to the age of introduction of solids as the current Standard permits infant foods to be labelled as suitable ‘from four months’. The revised NH&MRC infant feeding guidelines recommend the introduction of solids at around six months, whereas the New Zealand Food and Nutrition Guidelines for Healthy Infants and Toddlers (aged 0-2 years) recommend that solids be introduced to infants aged between four to six months.

In order to avoid uncertainty and possible confusion for consumers and health care providers it is proposed to amend the Standard by varying the minimum age reference to ‘around 6 months’.

Work on this Proposal has been delayed due to the undertaking of consumer research in relation to infant foods labelling and the priority given to fortifi cation related work.

We anticipate that work on this Proposal will be fi nalised in 2005-2006. ANNUAL REPORT 2004 - 2005 37

OUR REGULATORY MEASURES

Maximum Residue Limits Harmonisation (within Australia)

Currently, residues of agricultural and veterinary chemicals are prohibited in food unless they comply with specifi c limits stipulated in the Code. Maximum Residue Limits (MRLs) are set to ensure that residues of these substances are kept as low as possible consistent with the domestic use of chemical products to control pests and diseases in plants and animals. It also ensures that only those residues that have been assessed as ‘safe’ by regulatory authorities in Australia are permitted in food. The Australian and Veterinary Medicines Authority (APVMA) is responsible for approving agricultural and veterinary chemicals for agricultural use in Australia while FSANZ is responsible for validating the dietary exposure assessment and consulting with the public before adopting the MRL in the Food Standards Code.

Of concern is the lengthy processes for the approval of an agricultural and veterinary chemical, fi rstly by APVMA for agricultural use and then by FSANZ to ensure that a food for sale is safe for human consumption.

In August 2003, the Ministerial Council agreed to a process to harmonise the MRL setting procedures of the APVMA and FSANZ to establish one set of published MRLs that regulates safe food and safe chemical use in agriculture. The agreed approach is based on harmonisation of administrative processes, monitoring and review of the new harmonised assessment process and, subject to satisfaction with the new processes, the issuing of a single MRL.

An Interdepartmental Advisory Committee comprising offi cials from the APVMA and FSANZ and the Department of Agriculture, Fisheries and Forestry (DAFF) and the Department of Health and Ageing (DoHA) met in May to progress the harmonisation of MRLs and it is intended to take a paper to the August meeting of the Food Regulation Standing Committee (FRSC).

Regulatory approaches to managing low-level residues of agricultural and veterinary chemicals in the food supply

FSANZ has been considering alternative regulatory approaches that could apply to low-level residues of agricultural and veterinary chemicals in food where there are no public health and safety issues. This issue has arisen out of recent detections of substances in food such as nitrofurans and 2,4-D residues in globally traded food. At present, advances in the sensitivity of analytical techniques for detecting low levels of chemicals is tending to drive regulation, leading to disruptions to international trade - this is an inappropriate situation.

We have proposed some modifi cations to the approach used to regulate residues of agricultural and veterinary chemicals and have sought policy advice from the Food Regulation 38 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Standing Committee (FRSC) on these issues during 2005. FRSC has established a working group to progress the matter.

Addition of caffeine to foods

In April 2003 the Ministerial Council agreed, until further evidence became available, to maintain the current additive permission for caffeine and to restrict the use of new products containing non-traditional caffeine rich ingredients (including guarana) to boost the caffeine content in other food.

The Ministerial Council requested further investigation on the use of guarana and guarana extract, and on the defi nition of cola drinks.

We undertook a dietary exposure assessment to determine caffeine exposure from the diet by vulnerable Australian population sub-groups. We concluded that the estimated exposures to caffeine for vulnerable groups (children 2-19 years) has changed very little between 1995 and 2003. Although energy drinks were more available in 2003, and more were consumed than in 1995 resulting in higher intakes of caffeine for consumers, the population of people selecting these type of drinks remains small.

We plan to publish a technical paper on the fi ndings of this research.

Ministerial request for review

As reported earlier in this report, there was a marked increase during the year in the number of reviews requested by the Ministerial Council. The Council asked FSANZ for a review of its decisions on eight occasions this year.

During 2003-2004 we were asked to review our decision to permit the voluntary addition of calcium to fruit and vegetable juices, fruit and vegetable drinks, soups and cracker-type biscuits. We completed a First Review in relation to this Application and re-affi rmed our approval of the approved draft standard.

In May, the Ministerial Council requested a Second Review - the fi rst time the Council has requested a Second Review on a matter.

The Ministerial Council also requested a First Review of our decision:

• concerning the defi nition of wholegrain in Standard 2.1.1;

• to approve the use of phytosterol esters derived from vegetable oils as a novel food ingredient in breakfast cereals;

• to approve the use of phytosterol esters derived from vegetable oils as a novel food ingredient in low-fat milk and low-fat yoghurt; ANNUAL REPORT 2004 - 2005 39

OUR REGULATORY MEASURES

• to approve the use of tall oil phytosterols (TOPS) as a novel food ingredient in low-fat milk products; and

• to include MRLs for the antibiotic neomycin in Schedule 1 of Standard 1.4.2.

The Ministerial Council asked us to review our decision to approve food derived from a genetically modifi ed (GM) insect-protected cotton line COT 102. We completed the First Review in December and reaffi rmed our approval of the approved draft amendment. The amendment to the Standard was gazetted in February 2005.

The Ministerial Council asked us to review our decision to permit the use in food of a genetically modifi ed (GM) insect-protected, glufosinate ammonium-tolerant cotton. We completed the First Review in February and reaffi rmed our approval of the approved draft amendment. The amendment to the Standard was gazetted in April 2005.

Review of Standards

During the year we commenced work on reviewing a number of Standards.

Review of processing aids and enzymes

In developing the present Code, the Standard from the former Australian Food Standards Code was adopted without change. We did not review the Standard at that time, but the expectation was that we would, once the Code was implemented in both countries as the single food regulatory Code.

The Standard is being reviewed in order to fully harmonise the Australian and New Zealand food regulations under the Code. Two Proposals have been raised. One focuses on the review of enzymes within the Standard, while in the other all processing aids are being considered.

We have prepared an Initial Assessment Report for both Proposals. However, work has been delayed on fi nalising the Draft Assessment due to other priority work. We expect Draft Assessment Reports to be completed in late 2005.

Review of cyclamate permissions

We have prepared a Proposal to review the use of the intense sweetener cyclamate across the whole food supply. This is in light of a recent survey conducted on behalf of FSANZ on the consumption of intense sweeteners in Australia and New Zealand, which concluded that some consumers of cyclamate products currently for retail sale on the market exceeded the applicable reference health standard, the (ADI). 40 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Review of food additives – benzoates and sulphites

We raised a Proposal to consider the use of the food additives benzoates and sulphites across the whole food supply. This is in light of recent results from the 21st Australian Total Diet Study (ATDS) conducted by FSANZ to determine dietary exposure to specifi c food additives in Australia. The results showed that for people with eating patterns that lead to high dietary exposures to sulphites and benzoates – including young children who consume cordials, sausages and dried fruit – dietary exposures may exceed the ADI.

Foods and food ingredients requiring pre-market approval

Genetically modifi ed food applications

The Food Standards Code regulates the sale of foods from genetically modifi ed organisms (GM foods) in Australia and New Zealand. The Standard provides for a mandatory pre-market safety assessment and a mandatory labelling requirement.

GM food issues remain volatile and attract community attention. During the year we were required to review our scientifi c assessments and risk management decisions, as well as responding to submissions from concerned consumers.

A GM wheat application was withdrawn from all regulators around the world (including Australia) except the USFDA where it was completed and considered safe for human consumption. This application attracted a high level of community attention.

In December 2003 we approved food from insect-protected MON863 GM corn. During the year we were asked by some stakeholders to conduct a review of the approval in light of the fi ndings of a new rat feeding study with MON863 corn. Our subsequent assessment of the available data did not indicate any new public health and safety concerns with the consumption of food from MON863 corn, an opinion also shared by other regulators around the world, including the European Food Safety Authority (EFSA).

We approved food from genetically modifi ed canola seed (from the glyphosate-tolerant canola line GT73) in November 2000. This year, some government and non-government organisations requested that we review our assessment. However, in the absence of new evidence to justify such a review, the FSANZ Board rejected the request.

We received advice that an unapproved genetically modifi ed corn variety, known as Bt-10, had been inadvertently released into the food and animal feed supply in the United States between 2001 and 2004. We assessed the scientifi c information available and concluded that food derived from Bt10 corn that may have entered the food supply in Australia and New Zealand was safe. ANNUAL REPORT 2004 - 2005 41

OUR REGULATORY MEASURES

We have approved 25 genetically modifi ed foods since 1998. The majority relate to plant commodities with genetically modifi ed properties of herbicide tolerance or insect protection. During the year, we completed assessment of four GM applications: two are under review by the Ministerial Council and a further two are under assessment.

Novel foods applications

Novel foods are those non-traditional foods where there is insuffi cient knowledge in the broad community to enable safe use. Under the current food standards, novel foods are required to undergo a pre-market safety assessment to ensure their safety prior to sale. This is seen as fulfi lling a valid role in the protection of public health and safety.

Novel foods are an expanding part of product innovation and a growing category of Applications that we are required to assess.

During the year we 6 Applications received prior to 1 July 2004 were fi nalised and notifi ed to the Ministerial Council. We received 1 novel food Application during 2004-2005.

Processing aids

A is a substance used in the processing of raw materials, foods or ingredients, to fulfi l a technological purpose relating to treatment or processing, but does not perform a technological function in the fi nal food. Processing aids are required to undergo a pre-market safety assessment before approval for use in Australia and New Zealand.

In 2004-2005, 3 Applications concerning processing aids were fi nalised and notifi ed to the Ministerial Council. 4 Applications were made to FSANZ during 2004-2005 and a further 3, received prior to 1 July 2004, were being progressed.

We assessed an Application to permit the use of iodine as a processing aid for the surface sanitisation of fruits, nuts vegetables and eggs. Due to the complexity of the dietary modelling required, we exceeded the statutory 18-month timeframe for completing this assessment, by one month. The time taken to complete the assessment was also complicated by the interrelationship with two other ongoing projects within FSANZ – an Application to vary the maximum iodine limit in formulated supplementary foods for young children, and our Proposal for iodine fortifi cation.

The use of iodine as a processing aid was subsequently approved by the FSANZ Board in March 2005 and the amendment to the Code gazetted in May 2005. 42 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Maximum Residue Limits (MRLs)

MRLs are designed to protect the consumer by ensuring that only the residues of agricultural and veterinary chemicals assessed as ‘safe’ by regulatory authorities in Australia are permitted in food.

During the year, 9 MRL Applications received prior to 1 July 2004 were fi nalised and notifi ed to the Ministerial Council. We received 6 MRL Applications during 2004-2005. We also sought an urgent amendment to the Code with respect to the MRL standard to correct an anomaly to ensure that chemical residues are not permitted in food unless they comply with the specifi c limits in the Standard.

Public health standards

Formulated beverages

We are processing an Application that seeks to permit the addition of a broad range of vitamins and minerals to water-based non-alcoholic beverages. Currently Australian beverage manufacturers are denied the opportunity to manufacture formulated beverages, whereas these products can be legally manufactured in New Zealand under New Zealand Regulations and imported into Australia under the Trans Tasman Mutual Recognition Arrangement (TTMRA).

Work on this Application is expected to be completed in 2005-2006.

Foods for Special Medical Purposes

Foods for Special Medical Purposes are principally formulated food products, used under the supervision of medical or other health professionals, for the dietary management of individuals (including children) with either ongoing chronic medical or disability conditions or during acute phases of illness, injury or disease.

The current regulatory status of Foods for Special Medical Purposes in Australia and New Zealand is unclear. The Code does not explicitly recognise Foods for Special Medical Purposes and therefore, unlike other special purpose foods, there are no permissions for composition of Foods for Special Medical Purposes or specifi c labelling requirements. This regulatory uncertainty creates diffi culties for enforcement agencies at the border and occasionally causes delays in the importation of these foods. The Proposal recommends regulation by a discrete Standard in the Code incorporating specifi c compositional and labelling requirements consistent with international regulation.

This work has been delayed due to competing priorities but we anticipate that the Proposal will be completed in early 2006. ANNUAL REPORT 2004 - 2005 43

OUR REGULATORY MEASURES

Addition of calcium to cereal-based beverages

The Code currently permits the voluntary addition of calcium to certain foods such as breakfast cereals and most dairy products but there is no current permission for the voluntary addition of calcium to cereal-based beverages.

We are currently fi nalising an Application to permit the voluntary addition of calcium to cereal- based beverages so that the calcium content, resulting from fortifi cation, is equivalent to that permitted in beverages derived from legumes such as soy, and which refl ect the natural calcium content of cows’ milk.

The addition of calcium to cereal-based beverages has the potential to increase the calcium intake of those sub groups of the population who are unable or chose not to consume cows’ milk or fortifi ed soy beverages.

Maximum iodine limit in formulated supplementary foods for young children

We have fi nalised a proposed amendment to the Code to increase the maximum permitted level of iodine in formulated supplementary foods for young children. The resultant increase in iodine status as a consequence of raising the maximum permitted quantity of iodine in these foods within Australia does not raise any safety concerns or cause any adverse nutritional risks in the target population.

Primary Production and Processing Standards

In partnership with other government agencies, industry stakeholders and consumer groups, FSANZ is developing Primary Production and Processing (PPP) Standards to ensure that food safety obligations of the primary production sector are met. The aim of PPP Standards is to improve the safety of the Australian food supply through a paddock-to-plate approach that covers entire food supply chains.

The successful completion of the fi rst PPP Standard (for seafood) and the strong support for the remaining PPP Standards indicates the gaining of acceptance of our role and risk based approach in developing food safety management systems for the primary production sector.

Primary Production and Processing Standard for Seafood

Seafood is one of the fi rst industries to be examined in a national approach to improving the safety of the primary production end of the food supply chain. The seafood industry itself encouraged this early work.

FSANZ has consulted widely in the development of this proposed Standard. A Standards Development Committee (SDC), comprising representatives from State and Territory jurisdictions and New Zealand, and industry and consumer representatives, has carefully 44 FOOD STANDARDS AUSTRALIA NEW ZEALAND

considered the results of committee discussions and written feedback from stakeholders at various stages of the process.

The PPP Standard for Seafood addresses the food safety basis for the seafood industry and maintains the requirement for a food safety scheme introduced voluntarily by most businesses involved in the production of oysters and other bivalves.

The Standard sets out generic food safety and suitability requirements for seafood from capture or pre-harvest production of the seafood up to, but not including manufacturing operations that are already covered in the Code.

Seafood businesses will have up to two years to comply with the standard. The Hon Christopher Pyne MP, Parliamentary Secretary for Health and Ageing, launched the Standard and its interpretive guide at the Sydney Fish Markets on 28 June 2005.

‘Safe Seafood Australia’

FSANZ has developed a guide to the seafood standard, ‘Safe Seafood Australia’, describing the intent of the regulations in practical terms. The guide is modelled on the successful guide to food safety standards in Chapter 3 of the Code ‘Safe Food Australia’.

The guide, developed in consultation with industry and government stakeholders and the Seafood Standard Development Committee, is intended primarily for use by State and Territory jurisdictions but will also be useful for seafood businesses. It is available from our website to enable stakeholders immediate access or sold through Anstat our legal publishers.

Primary Production and Processing Standard for Poultry Meat

We are currently developing a PPP Standard for Poultry Meat. The scientifi c risk assessment has been completed and work is progressing with the development of risk management options. These proposed options will be considered further by the Poultry Meat SDC. There is strong support from the industry for the development of a national standard for the processing of poultry meat, based on the existing Australian Standard with additional requirements to address gaps identifi ed through the FSANZ risk assessment.

FSANZ has received information and comment from stakeholders, including the nature of the poultry meat industry and existing food safety management strategies, the public health hazards potentially present in poultry meat and the stage of the poultry meat supply chain where these hazards could be introduced.

FSANZ intends to ensure that Australia’s poultry meat industry is able to continue to provide consumers with some of the safest poultry meat products in the world – now and into the future. ANNUAL REPORT 2004 - 2005 45

OUR REGULATORY MEASURES

The FSANZ Board will consider a Draft Assessment Report at its November 2005 meeting.

Primary Production and Processing Standard for Dairy

FSANZ commenced work on a PPP Standard for Dairy with the Initial Assessment Report (IAR) released for public comment in December 2004. The dairy standard will be an important step forward and will replace fi ve state-based sets of dairy regulations with a single national standard.

The dairy industry in Australia is a highly regulated sector and practices high levels of food safety management. At the moment, these arrangements are implemented through state- based dairy regulation and industry codes of practice and guidelines. The dairy industry is very keen to develop a single set of national dairy regulations – through a dairy PPP standard.

FSANZ is therefore collaborating with dairy regulators, industry groups and consumers in Australia to develop a single national standard encompassing a whole-of-food supply chain process. Development of a Dairy PPP Standard will consolidate the excellent food safety record of the industry by establishing nationally consistent standards framework.

Many overseas countries allow the production and import of raw milk products. In Australia this is currently limited to specifi c imported raw milk cheese varieties, and the production of unpasteurised goat milk in some States.

We will need to consider the safety of raw milk products from all species not already in the Code, and whether these may be produced with appropriate management techniques (by use of, for example, extended ripening, thermisation, alternative technology) to ensure an appropriate level of safety. Following this assessment we, through a consultative process with stakeholders including Australian speciality cheese makers, will develop regulatory measures for raw milk products required to ensure the necessary levels of food safety.

Other primary production and processing standards

The current FSANZ forward plan for PPP Standards has the following sectors identifi ed as priority areas in the following order: completion of poultry meat and dairy, commencement of eggs, plant and plant products and red meat. These priorities were determined in consultation with the jurisdictions.

We are developing the concept of a basic set of food safety provisions relevant to primary industry sectors. We will be identifying food safety schemes, or other schemes that have a food safety component, that are currently in use within industry sectors, whether voluntary or mandatory. These programs/schemes could include quality assurance programs, guidelines, and codes of practice. 46 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Applications for Raw Milk and Raw Milk Products (within Australia)

Roquefort cheese

During the year we progressed an Application from the French Government (Ministry of Agriculture and Fisheries) to amend the Code to permit the sale of Roquefort cheese made from raw sheep’s milk. There is currently no approval for the sale of Roquefort cheese in Australia or New Zealand.

We have assessed the safety of the cheese, including an on-site audit in France of the food safety practices used in the production of Roquefort cheese. The outcomes from the audit informed the fi nal risk management approach. The FSANZ Board approved the new Standard in July 2005 and notifi ed the Ministerial Council.

Managing public health issues arising from food

FSANZ plays a role in coordinating the management of food emergencies and providing advice on public health issues arising from food.

We have a statutory responsibility (in Australia) to work with the States and Territories to coordinate national surveillance and implementation activities. FSANZ is responsible for coordinating with the jurisdictions, national surveillance, enforcement and food recalls and for developing risk assessment policies for the Imported Food Program. These responsibilities are outside the scope of the Treaty with New Zealand and are only delivered within Australia.

Last year we reported that we are working to increase our capacity to respond to food safety incidents and that we had commenced work with State and Territory agencies to develop a National Food Safety Incident Protocol. Through this protocol it is anticipated that the assessment of the risk, communication and response actions between relevant government agencies and industry stakeholders will be more coordinated. The development of this protocol, led by Victoria, is progressing.

Emerging issues

We use information from a wide range of sources to alert us to emerging food issues worldwide. Much of this information is obtained through our strong linkages with other regulatory agencies and experts as well as from Internet searches and other publications. We are currently developing Memorandums of Understanding (MOU) with the United States Food and Drug Administration to share information about food and an MOU is in place with the Canadian Food Inspection Agency to share information. Emerging public health and safety issues are raised and discussed regularly by senior scientifi c staff and the Chief Scientist. Each issue is discussed thoroughly and a summary, including any proposed next steps, is presented to the FSANZ Board. ANNUAL REPORT 2004 - 2005 47

OUR REGULATORY MEASURES

During 2004-2005, issues included the potential health effects of trans fatty acids, polybrominated diphenyl ethers (PBDEs), the use of carbon monoxide at low levels as a component of a modifi ed atmosphere packaging gas for retail meats, occupational health and safety concerns following occupational exposure to procymidone, age-related macular degeneration and dietary fats, and the possible association between Crohn’s Disease in humans and Johne’s disease in cattle.

The safety assessment of foods from transgenic and cloned animals, safety assessments of functional foods containing bioactive ingredients, issues concerning the food/medicine interface and novel foods, as well as the increasing interest in and food intolerance, continue as emerging issues to be addressed by the agency.

Polybrominated diphenyl ethers (PBDEs)

An issue emerging internationally is the presence in human milk food and blood serum of a range of chemical compounds used as fl ame-retardants in manufactured goods called polybrominated diphenyl ethers (PBDEs). PBDEs were assessed by the Joint FAO/WHO Expert Committee on Food Additives (JECFA) in February 2005. A FSANZ expert attended this meeting. JECFA concluded that, despite there being only a small amount of data on the toxicological effects of PBDEs, intakes of PBDEs are not likely to be a signifi cant health concern.

In early 2005 we arranged for the analysis of a number of foods sampled as part of the 22nd Australian Total Diet Study for a range of PBDEs. While food is a possible source of exposure, these results should provide actual data on levels in foods representative of the Australian diet and assist our understanding of the role of food in exposure to PBDEs. We intend to conduct dietary modelling once all the test results are received and we will publish a report on the study.

Review of approaches to managing the risk from mercury in fi sh

Consumer concerns about the presence of methyl mercury in food relate to its potential to affect the nervous system, particularly in the developing foetus. Levels of methyl mercury in fi sh are regulated under Standard 1.4.1 – Contaminants and Natural Toxicants of the Food Standards Code. FSANZ has also developed advice on fi sh consumption for pregnant women and young children.

Some jurisdictions have indicated there are problems in enforcing the current maximum levels. These problems relate to the practicalities of implementing the prescribed sampling plan, particularly for large fi sh species as well as the presence of two maximum levels in the Code. We have agreed to undertake a Section 33 Review of the Standard for Mercury in 48 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Fish. A Section 33 review allows FSANZ to consider any aspect of the Code and whether further consideration of a variation is warranted.

Food from cloned animals and their progeny

In Australia, animal cloning is not covered by any existing regulatory requirement (e.g. the Gene Technology Act 2000), nor is food from cloned animals or their progeny captured by the Food Standards Code. This means that current arrangements do not prohibit the use of non-GM cloned animals for food.

FSANZ believes that a whole of government position on the issue of food derived from cloned animals and their progeny is warranted. We have referred this matter to our partner Australian Government agencies seeking policy guidance in this area.

Potential intolerance reactions to food additives

The intolerance of some consumers to food additives has been raised over a number of years. Although a basis of some types of intolerance reactions to food has been scientifi cally established (e.g. lactose intolerance is caused by an enzyme defi ciency), the causal relationship between food additives and adverse health or behavioural effects is less clear. To address this issue, FSANZ commissioned a consultancy to review the scientifi c literature on the potential for food additives to cause symptoms and signs of intolerance that may manifest in adults or children. This literature review is expected to be completed in 2005 and will be considered by the FSANZ Board.

Food emergencies and public health issues arising from food

During the year we managed or were involved in a number of public health issues arising from food. These ranged from juice bars and health claims, to the border testing of prawns and Transmissible Spongiform Encephalopathies (TSE). Many of these issues arose in relation to imported foods. We work closely with AQIS and State and Territory agencies in relation to follow up action where required.

Sudan red and para red food dyes.

Between 2003 and early 2005, the United Kingdom (UK FSA) announced that it had detected an illegal dye, Sudan I, in chilli and products containing chilli. Based on the currently available data, we consider that the potential risk to human health from low levels of Sudan I in food is extremely low. A national survey, coordinated by FSANZ and carried out by the States and Territories in March 2004, tested chilli and paprika powders and found that there were no detections of Sudan dyes in the products tested. Sudan red food dyes, including Sudan I, are not approved for use in Australia. ANNUAL REPORT 2004 - 2005 49

OUR REGULATORY MEASURES

In April 2005 the UK FSA reported that an illegal dye, Para Red, had been found in a number of foods on the UK market. The affected foods were believed to contain contaminated paprika, sourced from Uzbekistan. Information received indicates that the affected products are UK brands not exported to Australia. In addition, the major importer of spices into Australia has not received any paprika imports that were sourced from Uzbekistan. At the very low levels of Para Red found in UK foods, we consider that the potential risk to human health is extremely low.

Acrylamide

In February 2005, the Joint FAO/WHO Expert Committee on Food Additives (JECFA) reviewed the available data on the safety of acrylamide and concluded that its presence in food may be a health concern. A FSANZ scientist participated in the JECFA meeting.

Acrylamide is a chemical that forms in certain foods when cooked at high temperatures (greater than 120 o C) and has been shown to cause cancer in some studies in experimental animals. There is no direct evidence that acrylamide causes cancer in humans.

FSANZ is keeping a watching brief on international developments regarding acrylamide and has undertaken a limited assessment of the dietary exposure of Australian consumers to the chemical. We will continue to work with other national governments to better understand the potential health risk from exposure to acrylamide in the diet.

We are liaising with the Australian food industry to encourage and support them to examine ways in which manufacturing practices might be changed to reduce acrylamide formation in foods.

Imported Food Program

FSANZ and AQIS jointly manage the Imported Food Program with FSANZ conducting risk assessments and providing advice on appropriate regulatory responses and AQIS having operational responsibility for inspection and sampling.

In consultation with State, Territory and New Zealand enforcement agencies, the two agencies regularly review the frequency of inspection applied to imported foods under the Imported Food Program. During the last fi nancial year the inspection frequencies for a number of foods were reviewed and subsequently amended according to compliance histories. These amendments included mercury testing for barramundi, prawns, herbs, spices and dried vegetable seasonings.

In addition, FSANZ and AQIS, in consultation with State and Territory enforcement agencies and New Zealand Food Safety Authority (NZFSA), have further progressed the review of the inspection undertaken for foods in the random surveillance category (low risk) under the Imported Food Program. 50 FOOD STANDARDS AUSTRALIA NEW ZEALAND

The PPP Standards being developed by FSANZ are based primarily on processing controls rather than end-point testing. This requires a changed approach to the border inspection arrangements and we are working with AQIS to assist in the expansion of AQIS’s country-to- country certifi cation schemes. We are designing a revised risk-based approach to the advice we provide to AQIS in relation to food safety risks to ensure that regulatory responses are prioritised and evidence based.

Food recalls

FSANZ is responsible for coordinating food recalls across all Australian States and Territories (but not in New Zealand). Food recalls occur when there is a need to remove a food product from the market in a timely manner on the grounds of public health and safety concerns. We coordinate action at the request of State and Territory health agencies and the food industry. FSANZ also chairs a national group of food recall offi cers that convenes, as needed, to discuss and coordinate food recall action.

We may provide scientifi c risk assessments to assist jurisdictions in decision-making with respect to food recall and withdrawal activities. Where there are risks to public safety, jurisdictions may then recommend food recall action. Food manufacturers and importers will most often conduct voluntary food recalls of their own accord to safeguard human health.

Food recalls 2004 – 2005

The total number of recalls was 66 of which 20 (30%) were of imported products.

2002-03 2003-04 2004-05 Reason for recall

31 34 27 Labelling errors (e.g. no cooking instructions; undeclared allergens), product includes ingredients not listed on the label, (e.g. peanuts, gluten, egg, soy, milk, fi sh protein).

22 26 13 Microbiological health risks, (e.g. monocytogenes, , E.coli, etc.).

8 8 17 Inclusion of foreign matter, eg glass, metal etc.

NIL 4 3 Processing faults (e.g. insuffi cient thermal processing).

7 3 NIL Chemical contamination (contaminated with lubricant or cleaning solution).

4 2 5 Other unpermitted additives, food colouring above permitted levels.

2 NIL NIL Product deterioration

1 NIL 1 Biotoxin contamination

75 77 66 ANNUAL REPORT 2004 - 2005 51

OUR REGULATORY MEASURES

Over the past few years there has been a growing number of food recalls for incorrect labelling, in particular, undeclared allergens. The trend has continued this year. Since December 2002, all food manufacturers and importers have been required to declare certain food allergens on food product labels. As a result, companies and government agencies have increased their routine audits of product ingredients and food labels, as well as testing products. Non-compliance with the Code has led to a higher number of allergen-related recalls.

Companies are asked to provide FSANZ with reports on the effectiveness of the recall and measures implemented to prevent recurrence of the problem. We collate these reports and provides them to State and Territory health agencies, as well as the Compliance Strategies Branch of the Australian Competition and Consumer Commission (ACCC).

Monitoring and evaluating hazards in food to support the development of food regulatory measures

Surveillance

National approach to food surveys

FSANZ continued to work with the jurisdictions to progress development and implementation of the Coordinated Food Survey Plan (the Plan). This initiative commenced last year under the ambit of the Implementation Sub Committee (ISC) and aims to implement agreed national survey priorities in a prospective and coordinated manner.

There have now been two annual inter-jurisdictional workshops held to establish and implement the Plan. A key objective was to consider survey proposals for inclusion on the Plan for future years. The 3 year Coordinated Food Survey Plan for 2005–2008 was endorsed by ISC in June 2005.

Key achievements in establishing the Plan to date include:

• development of the Protocol and Strategy for the Establishment and Operation of a Coordinated Food Survey Plan;

• development of the fi rst version of the 3 year Plan including agreed survey activities;

• development and incorporation of strategic goals and medium term priorities underpinning the Plan;

• development of both initial and detailed survey proposal formats; and 52 FOOD STANDARDS AUSTRALIA NEW ZEALAND

• commencement of the operation of the Plan with some activities now completed or underway.

National surveillance activities are coordinated by the Food Surveillance Network which continue to be chaired by FSANZ. It provides a valuable technical forum for food regulatory jurisdictions and FSANZ for detailed planning and implementation of activities on the Coordinated Food Survey Plan. The Food Surveillance Network played a key role in developing and undertaking the ATDS as well as the survey of chemical residues in fi sh (see below). The outcomes of national surveillance activities are disseminated via FSANZ’s Food Surveillance News. This newsletter was published in June 2005 incorporating survey results from the jurisdictions.

Australian Total Diet Study (ATDS)

Past Australian Total Diet Studies consistently showed that Australian dietary exposures to residues and contaminants are well below the relevant health standards and do not represent a public health and safety risk.

The current format of the survey facilitates consideration of a wider range of chemicals, including food additives and nutrients, with smaller surveys being conducted more frequently. The change in format has allowed FSANZ greater fl exibility in focusing the study to examine food chemicals for which there may be cause for concern, for example dietary exposures could exceed the relevant reference health standard for some population groups or where signifi cant data gaps had been identifi ed.

During the year, we progressed three different ATDSs in various stages:

• 21st ATDS looked at in foods focussing on sulphites, benzoates and sorbates; the fi nal report was published in August 2005;

• 22nd ATDS looked at another group of additives, iodine and trace elements; analysis of food samples was completed by June 2005 and dietary modelling has commenced prior to writing up the report; and

• Planning and consultation with jurisdictions, on the 23rd ATDS, has been initiated.

Survey of chemical residues in domestic and imported aquacultured fi sh

One of the major surveys undertaken as part of the Coordinated Survey Plan, led by FSANZ, examined chemical residues in aquacultured fi sh. The proposal to undertake this survey was prompted by overseas reports of the presence of unapproved antimicrobial chemicals in aquacultured fi nfi sh. Since then we have developed a detailed survey proposal which involved participation by all Australian jurisdictions. Sampling for the survey commenced in May and analysis was completed in July 2005. A report on the study will be published. ANNUAL REPORT 2004 - 2005 53

OUR REGULATORY MEASURES

Strengthening the evidence-base for food standards decision making

To ensure public confi dence in the food regulatory system, we continually seek to demonstrate our technical competence in delivering food standards based on sound and expert science. Much of our credibility is therefore founded on the quality of our science and the rigour of our scientifi c risk assessments.

We are specifi cally resourced to provide scientifi c expertise across a broad range of food sciences and technologies. We continue to commit much of our resources to this area and to identify opportunities to enhance our expertise and capabilities.

A core aspect of our work is the monitoring and evaluation of hazards in food in support of the development of appropriate food regulatory measures. We continued to collect scientifi c data relating to food composition and evaluated major changes in food regulatory measures, including the assessment of their impact on stakeholders.

Strengthening the evidence base

Scientifi c risk assessment plays a critical role in the standard development process.

The development of standards is underpinned by our scientifi c work in chemical safety, microbiology, and public health nutrition.

Our Strategic Science Unit is responsible for the provision of rigorous medical advice and input into FSANZ decisions and analysis, as appropriate. The Unit also enhances the development of scientifi c risk analysis capability and the maintenance of cross-agency coordination of scientifi c issues, and manages access to key external advice, including experts on the FSANZ Fellows Program.

Full-time medical advice capability

The Chief Medical Advisor has continued to provide the Board with advice on medical issues related to the papers before it and to contribute to the development of papers for the Board when medical / pharmaceutical knowledge is required.

The major focus has been the proposed nutrition, health and related claims, in particular the substantiation frameworks which will have to be applied to general level health claims and high level claims. In addition, the Chief Medical Advisor chairs the Scientifi c Advisory Group of experts which has begun assessing the suitability of some high level claims. He has continued to be a principal contact with the FSANZ Fellows and is expanding FSANZ’s networks with medical communities in both Australia and New Zealand. 54 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Food composition

During 2004-05 we continued to compile new Australian food composition tables and released a pilot version. The tables include previously unpublished data that should be a valuable resource for public health professionals, academia, industry and consumers. The information will also help inform standards development work related to nutrient fortifi cation and nutrition, health and related claims.

We commissioned new analytical work on the levels of folates and folic acid in key foods available in Australia and used the results of the 22nd Australian Total Diet Study to estimate Australians’ dietary intake of iodine. The data for both folates and iodine will provide important background information to assist with consideration of Proposals for mandatory fortifi cation of food with these nutrients.

We launched an improved version of the web-based Nutrition Panel Calculator (NPC) which addresses common user problems. The NPC helps industry and other stakeholders to calculate the average nutrition content of food products and prepare Nutrition Information Panels for food labelling purposes.

Dietary exposure assessments

FSANZ continued to assess the feasibility of using probabilistic dietary modelling methodology in its work. This methodology allows us to calculate the full distribution of individual dietary exposures to food chemicals for the Australian and New Zealand populations and is being implemented by a number of countries. We envisage that, subject to successful completion of the feasibility assessment, we will implement this new methodology for our risk assessment work.

We have also investigated the possibility of incorporating food frequency questionnaire (FFQ) data from the 1995 National Nutrition Survey (NNS) into our standard dietary exposure assessments for non-nutrients, which are currently based solely on 24-hour food consumption data. The FFQ data may enable us to refi ne estimates of dietary exposure, particularly for the high percentiles of exposure.

Food consumption data

FSANZ uses data from the 1995 Australian National Nutrition Survey (NNS) as an input to our dietary modelling activities. We recognise that the 1995 survey data may not be adequate for some foods, particularly for those food categories that are rapidly changing in the market place. Since 1995 we have been involved in a process initiated by the Department of Health and Ageing and the Strategic Inter-Governmental Nutrition Alliance (SIGNAL) to investigate how an on-going food and nutrition monitoring system could be set up for Australia. ANNUAL REPORT 2004 - 2005 55

OUR REGULATORY MEASURES

We have started preliminary work to incorporate the 2002 New Zealand National Children’s Nutrition Survey data into our dietary modelling software (DIAMOND), a project to be completed in 2005-2006. The 1997 New Zealand National Nutrition Survey data, for New Zealanders aged 15 years and above, are already available in DIAMOND for use in risk assessments.

Accessing external expertise

To access external expertise, we maintain strong linkages with key research and academic institutions, support a program of FSANZ Fellows, operate expert scientifi c advisory committees, subject our more complex assessments to peer review and commission external advice.

FSANZ Fellows

The FSANZ Fellows program is a network of experts on a wide range of scientifi c and professional fi elds. We access the expertise of the Fellows to ensure we have a high calibre of independent advice in order to operate effectively as a food regulator. The FSANZ Fellows are: Professor Jeff Borland, Professor Julie Byes, Professor John Carey, Dr Martin Cole, Dr Anne Cowling, Professor Mike Gidley, Dr John Huckerby, Dr Rob Loblay, Professor Jim Mann, Professor Tom McMeekin, Professor John McNeil, Professor Roger Morris, and Professor Tony Worsley.

The expertise of a number of the Fellows was called upon in relation to specifi c issues that FSANZ faced during the year. FSANZ Fellows provided advice on our evaluation projects, on the analytical approaches that under-pinned our regulatory impact statements, as well as providing advice on food issues such as processing aids and additives. FSANZ Fellows also participated or presented at a seminar on a key social science project and on issues. They also reviewed scientifi c papers, attended stakeholder forums and participated as members of the Scientifi c Advisory Group on the substantiation of health claims.

FSANZ Scientifi c Network

FSANZ is a member of a network of regulatory scientists in Australia who meet to share and discuss information and approaches relevant to the responsibilities of FSANZ, the Offi ce of Chemical Safety (OCS) within the Department of Health and Ageing, and the Australian Pesticide and Veterinary Medicines Authority (APVMA). In addition, the Chief Scientist meets on a regular basis with her counterparts in the Therapeutic Goods Administration (TGA) and APVMA. We have not yet extended this network to include the relevant counterparts in the regulatory bodies at the State and Territory levels. 56 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Organisation Shared Outcomes Activities National Health and • We share with • Actively engaged in work undertaken by the Medical Research the NH&MRC the NH&MRC through its various expert bodies Council (NH&MRC) production of better and committees. Contributed to the review health outcomes for of two of the expert committees, the Special The NH&MRC Australians. Expert Committee on Transmissible Spongiform supports excellence Encephalopathies (SECTSE) and the Expert in research, health Advisory Group on Antimicrobial Resistance advice, and research (EAGAR). The review considered both the terms and health ethics of reference and methods of working with that leads to the recommendations from the review supporting the improvement in continuation of both committees but with some the health of all refi nements to their responsibilities and modus Australians. operandi.

• Participated as observers on the Special Expert Committee on Transmissible Spongiform Encephalopathies (SECTSE) that considered Australia’s response to the detection of BSE in the United States, including the response in relation to food products.

• Under the newly established working arrangements for the Expert Advisory Group on Antimicrobial Resistance (EAGAR) we also now contribute to the work of this committee as observers. We will seek advice from EAGAR on the likely risk of resistance developing to antibiotics used for agricultural and veterinary purposes and for which MRLs are being sought in food.

• Participated on the panel managing the revision of the NH&MRC Recommended Dietary Intakes. Any changes to reference values adopted by the NHMRC would most likely require food regulations to be updated in relation to the permitted levels of vitamin and mineral fortifi cation in general and some special purpose foods like meal replacements, and for nutrition labelling purposes. International Life • to improve the well- • Maintained our relationship with ILSI. Sciences Institute being of the general • Joint workshop on health and related claims (ILSI) public through the advancement of ILSI is a global science. Its goal network of is to further the scientists devoted understanding of to enhancing the scientifi c issues scientifi c basis relating to nutrition, for public health food safety, decision-making. toxicology and risk assessment. ANNUAL REPORT 2004 - 2005 57

OUR REGULATORY MEASURES

Organisation Shared Outcomes Activities National Centre • use of sound • Discussion on the framework for substantiation of of Excellence in scientifi c evidence health claims, particularly general level claims. Functional Foods in the development (NCEFF) of a regulatory framework for NCEFF is an the approval of integrated, world- functional foods class centre of with an appropriate functional foods process for the research promoting substantiation of the development, claims of enhanced substantiation, and health outcomes. commercialisation of effective functional foods. Australian Food • to provide the • Observer to the Centre Safety Centre of underpinning • Preparation for a joint workshop on food safety Excellence science, tools objectives. and education to The Australian support the safety • Initiated discussions and planning for a project Food Safety Centre and reputation of to defi ne food safety objectives, using our of Excellence is Australian food. quantitative microbiological risk assessments as an initiative of the models National Food Industry Strategy, established with the aim of building Australia’s capability in food safety through rigorous, organised programs of scientifi c research, education and knowledge dissemination. Centre for Nutrition • Member of the Advisory Committee and , University of Queensland

Scientifi c expert committees

This year we established two scientifi c expert committees to assist in our work. The fi rst of these includes expertise on public health nutrition, medical epidemiology, diet cancer risk factors and cardiovascular. It has provided advice on the substantiation of diet- disease relationships that will underpin any permitted ‘high level’ health claims about 58 FOOD STANDARDS AUSTRALIA NEW ZEALAND

these relationships. The committee has considered expert reviews of three diet-disease relationships as well as the general framework for substantiating health claims.

The second expert committee is assisting in the development of the Dairy Primary Production and Processing Standard. It includes expertise on risk assessment of microbiological hazards, communicable disease epidemiology, processing of dairy processing and microbiological hazards in the dairy production and manufacturing chain. It has initially focused on the risk profi le for heat treated dairy products.

Improvements to our standards development processes

Last year, in response to the recommendations of an external review, we made some changes to our operational processes to ensure a better alignment with, and greater responsiveness to, the new food regulatory system.

As part of that process we reviewed the processes and procedures used to assess Applications and Proposals to effect a more transparent separation of the assessment of public health and safety risks from risk management. Our approach to risk analysis closely mirrors, albeit in a modifi ed form, that adopted by Codex and the US Food Safety and Inspection Service.

Stakeholder feedback indicates that our changed approach, involving the functional separation of risk assessment and risk management, makes for greater transparency and improved communication.

For example, we have identifi ed the need to integrate our science with a broader awareness and understanding of community needs and expectations in developing our risk management measures. This will entail improving our social science capabilities.

In addition, by participating in international scientifi c workshops and forums, we have kept abreast of advances in regulation methodology. Our participation in a number of World Health Organization/Food and Agriculture Organization workshops and the Scientifi c Roundtable on Thresholds for Allergenic Foods are but two cases in point.

The Scientifi c Risk Analysis Framework

The Scientifi c Risk Analysis Framework (SRAF) project is a comprehensive review of FSANZ’s analysis of risks to public health and safety from foodborne hazards, including identifi cation of our approaches to risk management

Work is continuing but fi nalisation has been delayed due to a lack of resources and the demands of higher priorities. We anticipate that the project will be completed during 2005- 2006. ANNUAL REPORT 2004 - 2005 59

OUR REGULATORY MEASURES

Risk assessment of chemical hazards

WHO/FAO play a key role in providing and developing methodologies and scientifi c advice that we can use for standards development. WHO often provides a forum for bringing together world experts on particular subjects.

We continue to provide support to WHO through the work of the Joint (FAO/WHO) Expert Committee on Food Additives (JECFA). JECFA establishes safe levels of intake for food additives and contaminants and develops specifi cations for food additives. JECFA decisions are accepted internationally and used by governments to establish national food standards and are important benchmarks in our analysis of chemical hazards.

FSANZ scientists were invited to participate in the 64th and 65th meetings of JECFA in February and June 2005.

FSANZ participated in three FAO/WHO workshops on various aspects of the risk assessment of chemical hazards. The fi rst was a workshop on dietary exposure assessments that updated the international guidelines for these assessments. The second workshop focused on the development of a scheme for cancer risk assessment, while the third looked at the use of the dose-response modelling technique in quantitative risk assessments of chemicals.

Risk assessment of nutrients

We participated in an informal advisory group to assist FAO/WHO plan a Joint FAO/WHO Nutrient Risk Assessment Workshop in May 2005 to consider an internationally applicable model for establishing upper levels of intake of nutrients and related substances. FSANZ, together with the Department of Agriculture, Fisheries and Forestry, made an equal fi nancial contribution in support of the Workshop.

Thresholds for allergenic foods

We attended the third meeting on the establishment of thresholds for allergenic foods that was organised by the Food Allergy Research and Resource Program at the University of Nebraska. This meeting examined the currently available data from clinical food challenge studies to determine whether there is now suffi cient data to establish thresholds for allergenic foods. It was agreed that there were reasonable data available to indicate approximate threshold levels for peanuts, eggs and milk for the majority of the allergen-sensitive population, although more data would be available to refi ne these thresholds in the next 1-2 years. For other allergenic foods, there were still insuffi cient data to indicate the threshold levels. 60 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Meeting the COAG criteria for regulatory impact analysis

Each assessment report prepared by FSANZ, either for consultation with stakeholders or for fi nal decision by the FSANZ Board, incorporates a regulatory impact analysis as required by the Council of Australian Governments (COAG). The requirements are outlined in the COAG publication Principles and Guidelines for National Standard Setting and Regulatory Action by Ministerial Councils and Standard-Setting Bodies. They specify that proposed regulation shall be subject to a regulatory impact assessment which quantifi es the benefi ts and costs to the greatest extent possible.

The Principles and Guidelines also require the impact assessments to be assessed by the Offi ce of Regulation Review, a division of the Productivity Commission, to determine whether the type and level of analysis are commensurate with the potential economic and social impacts of the proposal. The use of social science inputs to our assessment work is increasingly important and we are taking steps to strengthen our capacity in this area.

The Offi ce of Regulation Review, in its report to the National Competition Council, described FSANZ as one of a handful of agencies that have adopted best practice in meeting the formal COAG requirements. It acknowledged that the public release of fi nal regulatory impact analyses prepared for the decision-making stage of the FSANZ assessment process demonstrated the agency’s commitment to regulatory best practice and transparent assessment processes.

Evaluation of food regulatory measures

A key component of good regulatory practice is the evaluation of the effectiveness and appropriateness of key food regulatory measures. We developed an Evaluation Strategy for 2004-2008 and continue to collect data to enable us to assess the impact of key changes in food regulations on our major stakeholders. The Evaluation Strategy for 2004-2008 is available on the FSANZ website.

We will publish a major evaluation report on a pilot label monitoring survey and reports on three other projects early in 2005-2006. All the fi eldwork and data analysis were completed this year. These include research on food safety issues in the poultry meat industry, research on consumers’ perceptions and use of nutrition and health claims on food labels and research on the use of these claims on food labels.

We piloted the food label monitoring survey to assess the feasibility of establishing an ongoing monitoring system and collected a representative sample of packaged foods (1200 labels in 2002 and again in 2003). The survey showed high levels of consistency on products for key labelling requirements such as declarations of allergens, usage instructions, ingredients lists, product name and overall legibility of labels. The survey also found that ANNUAL REPORT 2004 - 2005 61

OUR REGULATORY MEASURES

many food manufacturers were having technical problems with ensuring the correct presentation of the nutrition information panel. The survey will continue in 2005-2006.

While the food label monitoring survey is not intended for enforcement purposes, if the current pattern continues FSANZ will initiate discussions with State, Territory and New Zealand food agencies on appropriate action, including consideration of the need to review the current labelling standards. We intend to hold discussions with key food organisations on the best way to ensure all manufacturers have the correct information on labelling requirements.

The aim of the research with consumers is to provide quantitative baseline data (status quo), prior to a standard being implemented, of consumers’ current understanding and behaviour. An email survey of 1000 consumers in Australia and New Zealand will be considered in relation to the proposed nutrition, health and related claims standard. To supplement this information, we looked again at the food labels collected as part of the 2003 label monitoring survey to see what claims were actually present on food labels at this time.

We also completed the fi eldwork for a survey of food handling practices for poultry meat within the industry as well as with government enforcement offi cers and consumers to provide benchmark data prior to the implementation of proposed primary production and processing standard for poultry meat. Computer assisted telephone interviews (CATI) surveys were conducted for all three stakeholder groups.

In addition, we initiated a new survey towards the end of the year to assess the overall impact of implementing new labelling and compositional standards in 2002 on three stakeholder groups: the food industry, government enforcement offi cers and health professionals. The questionnaires have been trialled and fi eldwork has already started.

In 2005-2006, we will complete the survey with key stakeholders on the overall impact of implementing the Code, continue monitoring food labels and undertake further surveys of consumer behaviour in relation to food labelling.

Fostering international networks

Codex Alimentarius Commission

Our support for Australia’s involvement in the work of the Codex Alimentarius Commission (Codex) continues to be a key priority. Codex is the international agency responsible for developing food standards that aim to protect the health of consumers and ensure fair practices in international food trade. Codex standards are recognised by the WTO in the two agreements relevant to food: the WTO Agreement on the Application of Sanitary and 62 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Phytosanitary Measures (SPS Agreement) and the WTO Agreement on Technical Barriers to Trade (TBT Agreement).

Australia is leader of a working group to develop risk analysis principles and guidelines for the Codex Committee on Nutrition and Foods for Special Dietary use. The group communicates electronically. We also attended and contributed to the outcomes of several international meetings held by Codex and its subsidiary bodies.

Our Chairman and Chief Scientist were members of Australia’s delegation to the Codex Alimentarius Commission meeting in Geneva in July 2004. The meeting discussed a number of issues of importance to FSANZ, including the adoption of a defi nition on traceability, approval to establish a new taskforce to examine foods derived from modern biotechnology, deferral (for the time being) of further work on country of origin labelling, adoption (on an interim basis) of defi nitions for food safety objectives and progression of several key nutrition related texts.

We presented a session to the FAO/WHO Co-ordinating Committee for North America and South West Pacifi c (CCNASWP) in Samoa in October 2004 on FSANZ involvement in capacity building and the 2005 FSANZ International Training Calendar. CCNASWP is a forum involving Australia, Canada, United States, New Zealand and over twenty island nations of the southwest Pacifi c. The Committee expressed its support for the quality and relevance of programs offered by FSANZ. Several South West Pacifi c countries have participated in the training programs and have encouraged FSANZ to develop more programs tailored to their specifi c requirements.

FSANZ was represented at the Second FAO/WHO Global Forum of Food Safety Regulators. The forum was convened under the theme of Building Effective Food Safety Systems where close to 400 participants from 90 different countries attended the forum.

The Forum witnessed the inauguration of the new inter-active International Food Safety Authorities Network (INFOSAN), aimed at enabling real time interaction by email and sharing of information and experiences on food safety between national food safety regulators. Over 100 countries (including Australia) have signed up to be a part of INFOSAN.

Our staff formed part of the Australian delegation at a one-day meeting in Paris held in conjunction with the 21st (extraordinary) session of the Codex Committee on General Principles (CCGP). The aim of this meeting was for a Working Group to prepare a revised version of the Proposed Draft Working Principles for Risk Analysis for Food Safety (for application by member governments), for consideration by the CCGP at its 22nd (regular) session in April 2005. FSANZ played a major role in preparing and presenting the Australian position on this matter. ANNUAL REPORT 2004 - 2005 63

OUR REGULATORY MEASURES

We led the Australian delegation to the 26th session of the Codex Committee on Nutrition and Foods for Special Dietary Uses (CCNFSDU) in Bonn in November 2004. The meeting agreed to advance the Guidelines for Vitamin and Mineral Food Supplements for adoption by the Commission. It also advanced consideration of infant cereals, and infant formula (regular and special), although debate still continues on the composition of infant formula. The absence of an aligned risk assessment body to assist the Codex Committee contributes to further delay in this matter.

We also led the Australian delegation to Codex Committee on Food Hygiene (CCFH) in Buenos Aires in March 2005. The Committee agreed to forward three documents to the next session of the Codex Commission for adoption as draft standards. We were particularly pleased that this included the egg code as Australia (DAFF) has led its development and FSANZ has provided substantial support.

We attended the Codex Committee on Food Additives and Contaminants (CCFAC) meeting held in The Hague and the Codex Committee on Food Labelling meeting in Malaysia. The Australian delegation was led by FSANZ. The latter representation has enabled us to achieve consistency between the international Codex guidelines and our position on topics such as the labelling of genetically modifi ed foods, country of origin labelling and quantitative labelling of food ingredients.

FSANZ staff were members of delegations to, or contributed to the work of, two other committees. One was the Codex Committee on Food Import and Export Inspection and Certifi cation Systems, held in Melbourne. CCFICS is currently developing a common approach to risk-based food inspection systems. The other was the Codex Committee on Nutrition and Foods for Special Dietary Use (CCNFSDU), hosted by Germany. Issues of particular interest to FSANZ included revision of standards for infant formula and cereal- based infant foods, defi nition of dietary fi bre and trans fatty acids, and substantiation of health claims. We lead Australia’s delegation to this committee.

A new Ad Hoc Intergovernmental Task Force on Foods Derived from Biotechnology was established by Codex in 2004, with the fi rst meeting held in September 2005. FSANZ lead the Australian delegation.

World Trade Organization (WTO)

FSANZ participated in the meetings of the Committee on Sanitary and Phytosanitary Measures (SPS) where member countries discuss issues relevant to the implementation of the SPS Agreement.

One of the key principles of the WTO international agreements is transparency. We fulfi l our obligation to have transparent decision-making processes by notifying proposed changes to the Food Standards Code to the SPS and Technical Barriers to Trade (TBT) committees. This 64 FOOD STANDARDS AUSTRALIA NEW ZEALAND

year we had one notifi cation under the TBT Agreement and 17 notifi cations under the SPS Agreement.

OECD Task Force for the Safety of Novel Foods and Feeds

We have been actively participating in the work of this OECD Task Force since its inception in 1998 and a FSANZ expert has chaired it since 2002.

The primary objective of the Task Force is to promote international harmonisation in the safety assessment and regulation of novel foods and feeds (especially the products of modern biotechnology such as GM foods). This is being achieved through the development of science-based consensus documents and through outreach activities with non-OECD member countries.

Quadrilateral Food Safety Meeting

The 14th Session of the Food Safety Quadrilaterals (QUADS), hosted by Australia, was held in Noosa, Queensland, in February and involved offi cials from Australia, Canada, New Zealand and the United States. The meeting was chaired by the Department of Agriculture, Fisheries and Forestry. The meeting also included a one day joint meeting with members of the Animal Health Quadrilaterals group. The meeting provides an opportunity to exchange information on key food regulatory issues, to develop collaborative approaches to issues of mutual interest and to develop strategies for addressing issues under discussion in the international regulatory arena.

The Food Safety Quadrilateral meeting in 2005 addressed four major themes: Food Safety Risk Management, Food Safety and Security, Food Safety Risk Communication and International Standards. The joint session examined Emerging and Re-emerging Zoonotic Diseases, Traceability/ Product Tracing, Strategic Directions in International Standard Setting and Biotechnology - Transgenic and Cloned Animals in the Food Chain.

Collaborative relationships

The maintenance of strong, collaborative relationships with key food regulatory agencies around the world helps us to keep up to date with emerging issues. One of our key objectives has been to strengthen the relationship with the relevant Canadian, US, European and UK agencies.

We signed a Memorandum of Understanding (MOU) with the Canadian Food Inspection Agency (CFIA) in October 2004. Enhanced collaboration between our two agencies will strengthen our ability to share information on issues food safety emergency issues that potentially pose a serious or unacceptable risk or threat to the health of consumers and which may require follow up action by State and Territory regulators or AQIS. ANNUAL REPORT 2004 - 2005 65

OUR REGULATORY MEASURES

FSANZ has benefi ted from this collaboration on several occasions. In February/March 2005 we sought information on vacuum-packed mushrooms that were possibly being imported into Australia and had been recalled in Canada because of the possible contamination from Clostridium botulinum. We have also sought and shared information on: fi sh from Tsunami affected areas; pathogens in spices; chloramphenicol in crabmeat; and specifi c issues surrounding several microbiological related recalls.

A FSANZ offi cer attended a workshop convened by Health Canada in mid March 2005 entitled: Workshop on Risk Analysis/Risk Communication Related to the Occurrence of Emerging Chemicals. The workshop focused on the response by international agencies to a range of recent emerging chemical issues such as Sudan dyes, acrylamide, furan and nitrofurans.

FSANZ held a bilateral meeting with our Canadian counterparts in the margins of the QUADS meeting. The main topics of discussion were health claims and fortifi cation. Canada also expressed considerable interest in undertaking ‘joint’ reviews of the scientifi c evidence for substantiation purposes and were particularly interested in the review of omega-3 fatty acids that we are undertaking.

FSANZ and the United States Food and Drug Administration are pursuing a Confi dentiality Agreement rather than a MOU. This will help FSANZ receive information to facilitate comprehensive investigations and preventative action in relation to food contamination issues. This information may also contribute to food safety management and food emergency actions at a national level.

While travelling overseas for Codex and WHO meetings we sought to maximise the value of these trips by also undertaking other activities. Staff have met with offi cials in the UK Food Standards Agency and Ireland’s Food Standards Agency to gain insights into the thinking around mandatory fortifi cation of food with folate. In the USA we met with key offi cials in the Food and Drug Administration (particularly those with expertise in microbiology) and also discussed trends in consumer behaviour. We held discussions with allergen experts from the European Food Safety Authority and visited the UK Food Safety Agency to discuss the management of novel foods and the emerging chemical contaminant issues. We also visited French food safety authorities and the Chairman visited food safety authorities in Ireland, Canada and the UK. 66 FOOD STANDARDS AUSTRALIA NEW ZEALAND

International visitors to FSANZ

During the year we had the opportunity to further develop our international contacts through direct discussion with a number of visiting international experts.

Country Department / Agency Subject

USA Joanne Holden Food composition databases, US Department of Agriculture specifi cally phytochemical databases. Nutrient Data Laboratory

Korea Dr Cho-il Kim, Dr Haeng-Shin Lee Discussion on the establishment Korea Health Industry of a risk assessment and dietary Development Institute (KHIDI) modelling system for Korea.

USA Dr Barbara Schneeman Discussion on health claims and FDA Center for Food Safety and Applied regulatory approaches Nutrition US Food and Drug Administration

Canada Dr Mary L’Abbe Mandatory Fortifi cation with folic acid Health Canada Substantiation of health claims

UK Melanie Ruffell Substantiation of health claims, UK Joint Health Claims Initiative regulatory framework for health claims in the UK.

USA Dr Jim Astwood, Monsanto Development of food producing GMO plants

USA Dr Jim Maryanski Regulation of GM Foods US Food and Drug Administration

European Union Geoffrey Podger Regulation of food in Europe European Food Safety Authority

USA Dr Richard Williams US Food and Drug Administration

Canada Dr Doug Powell Risk communication University of Guelph

USA Dr Fred Angulo Use of FoodNet data in developing US Centers for Disease Control and food safety policy Prevention ANNUAL REPORT 2004 - 2005 67

OUR REGULATORY MEASURES

We also hosted a number of international visitors and delegations during the year:

Date Country Department/Agency No of Visitors

9 July 2004 Saudi Arabia Dr Ibrahim S. Al-Mohizea et al 4 Saudi Arabia Food and Drug Administration (SAFDA)

12 Aug 2004 Vietnam Mr Tran Kim Long et al 9 Ministry of Agriculture and Rural Development (MARD)

14 Sep 2004 United Arab Mr Khalid Mohamed Sharief Al Wadi 1 Emirates Dubai Municipality

22 Sep 2004 People’s Republic Deputy Secretary General 5 of China Fujian Provincial People’s Government

27 Sep 2004 People’s Republic Mr Xu Huimin et al 27 of China Ministry of Health

18 Nov 2004 Korea Mr Pyung Tae Kim et al 16 Korea Food and Drugs Administration

30 Nov 2004 Japan Dr Yukiko Yamada et al 2 Ministry of Agriculture and Forestry (MAF)

24 Feb 2005 People’s Republic Mr Zhang Lingguang et al 8 of China Standardization Administration (SAC)

9 Mar 2005 People’s Republic Mr Sun Honglin et al 8 of China The Quality and Technical Supervision Bureau Fujian Province

20 June 2005 United Arab Mr Abdull Ahmed Al Hussain et al 4 Emirates Ministry of Economy and Planning

Regional projects

FSANZ’s reputation as a leader in the development of food standards has resulted in a signifi cant increase in cooperative opportunities in our region.

We are involved in a range of international activities that support the whole of government approach to providing leadership and active participation in the Asia-Pacifi c region. By undertaking work of this nature FSANZ is able to promote Australia as a leader in safety and regulation matters relating to food to our neighbours and trading partners. This work is designed to facilitate the harmonisation of food standards across the region.

FSANZ does not receive budget funding to undertake these international activities. Therefore all projects must be cost recovered. Projects are only initiated when external funding can be secured. 68 FOOD STANDARDS AUSTRALIA NEW ZEALAND

During the year we adopted a more strategic and streamlined approach to the development and delivery of international projects. All our capacity building activities are directed towards achieving our objective of promoting consistency with international standards. Through our capacity building we have pursued the strategic objective of fulfi lling our statutory responsibility to promote confi dence in the quality and safety of food produced for, or exported to, Australia and New Zealand as well as taking a leading role in supporting other countries to develop standards similar to our standards and to international standards in pursuit of the harmonisation of food standards.

International training

In 2004-2005, we developed a FSANZ International Training Calendar based on the clear strategic objective of promoting better food regulation and the harmonisation of food safety and food standards in line with international standards. We presented four workshops funded by the Australian Agency for International Development (AusAID).

• 8 – 15 August 2004, Building a More Effective Food Regulatory Framework, Canberra.

• 22 – 26 November 2004, Chemical Risk Analysis, Canberra.

• 4 – 8 April 2005, Risk Analysis of Genetically Modifi ed Foods, Canberra.

• 16 – 20 May 2005, Microbiological Risk Analysis for Food Regulation, Canberra.

4th ASEAN-ILSI Training Workshop on Safety and Risk Assessment of Agriculture-Related GMOs.

The training workshop was the last in a series of capacity building workshops on the safety assessment of GM foods, conducted by FSANZ and Health Canada. Previously, workshops had been held in Singapore (2001), Malaysia (2002) and Thailand (2003), with the fi nal workshop being held in Indonesia on 31 August–2 September, 2004.

The aim of the workshops was to train regulatory participants in the risk assessment framework used by FSANZ to assess the safety of GM foods, to help build capacity within the ASEAN region to enhance food safety.

International profi le

By responding more effectively to developing regional country needs and priorities we have strengthened FSANZ’s profi le in the Asia Pacifi c region. This has encouraged more countries to approach us for strategic advice, technical assistance and specialised training, including:

• invitation for the CEO to present on FSANZ’s experience at the launch of China’s National Food Safety Strategy in Beijing; ANNUAL REPORT 2004 - 2005 69

OUR REGULATORY MEASURES

• requests by China, Korea and Thailand and Pacifi c Island nations to strengthen their relationship with FSANZ; and

• a request by Korea to secure a Memorandum of Understanding with FSANZ on food safety cooperation; and

• FSANZ advice has been increasingly sought on international issues relating to food regulation. Our participation in Asia Pacifi c Economic Cooperation (APEC) and our involvement in Australia’s Free Trade Agenda for 2005 have increased.

Whole of government approach to food

We have strengthened our relationships on international training with other departments including the Department of Health and Ageing (DoHA), Department of Agriculture, Fisheries and Forestry (DAFF), Prime Minister and Cabinet (PM&C), Department of Foreign Affaires and Trade (DFAT) and AusAID.

Internal processes

Improvement of our internal processes has enabled FSANZ to increase the number of international projects delivered on a cost-recovered basis.

In 2004–2005, funds fl owing from external sources (mainly AusAID) to FSANZ totalled more than AUD$1million. By locating more training programs in Canberra this has led to greater participation by FSANZ staff and partner agencies and to more effi cient administrative processes. All training programs delivered in 2004–2005 were oversubscribed. Feedback confi rms that the programs are achieving their objectives.

APEC 2007

Australia will take a leading role promoting food safety standards co-operation across APEC nations. FSANZ will pursue the opportunity provided by Australia’s hosting of APEC 2007 to develop an APEC food safety cooperation framework designed to commit APEC regional economies to work towards food safety standards harmonisation.

We are working closely with DFAT, AusAID and the Chinese, Vietnamese and Thai Governments who support the view that food safety standards cooperation must be a priority for APEC and have indicated a willingness to work together on this initiative.

A seminar was held in September 2005 in Korea in the margins of the APEC Senior Offi cials Meeting (SOM) to discuss the joint Australia, China, Vietnam, Thailand concept paper on how best to progress food safety standards cooperation in APEC.

Free Trade Agreements

We have provided technical input and advice on food regulatory matters into negotiations with China, Malaysia, Thailand, United Arab Emirates and the Australia - Japan Trade and Economic Framework. 70 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Our Stakeholders

Objectives

• Provide greater opportunities for community involvement in food regulatory processes (Portfolio Budget Statement 2004-2005).

• Strengthen productive working relationships with our external interest groups and government partners (FSANZ Corporate Plan 2003-2006).

Photos from the top: The Hon Rob Knowles (left) FSANZ Chairman and Mr Robert Carberry (right), Vice-President of the Canadian Food Inspection Agency, sign a memorandum of understanding between the two agencies. (Left to right) The Hon Christopher Pyne, Parliamentary Secretary for Health and Ageing, Jayne Gallagher, Seafood Services Australia, Hon Rob Knowles, Chairman FSANZ Board, and Graham Peachey, CEO FSANZ at the launch of the Primary Production and Processing Standard for Seafood. ANNUAL REPORT 2004 - 2005 71

OUR STAKEHOLDERS

Highlights

• New consultation and engagement arrangements (public briefi ngs, targeted consultations) trialled during the year.

• Increased use of Standards Development Advisory Committees (SDACs)

• Over 300 delegates from industry, government, public health professionals and consumers from within Australia and New Zealand attended the inaugural Food Safety Conference, Gold Coast in October 2004.

• 50 people attended the Board’s stakeholder forum in Sydney and 49 the stakeholder forum in Auckland.

• Negotiated Memorandum of Understanding with international (Canadian Food Inspection Agency) and national (Standards Australia) stakeholders

• Advice Line responded to approx 10,000 phone and email enquiries.

Performance

Our performance in meeting Our Stakeholder goals is measured by monitoring:

• the level of stakeholder support for our regulatory approaches;

• the level and nature of stakeholder feedback, both formal and informal, provided through the industry advice line and information offi cer;

• the number of invitations to consultative forums by our government partners and stakeholders;

• the extent of stakeholder participation in our consultative processes; and

• the level of engagement between our stakeholders and ourselves.

Some of these performance indicators have proved diffi cult to measure. As part of our planning process, we will conduct a major review of our performance measurement system in 2005-2006 and seek to develop more appropriate indicators and more measurable and achievable performance measures.

Overview

We work in partnership with others in the development and management of a food regulatory system for Australia and New Zealand. FSANZ works with a range of stakeholders - consumers, industry, public health professionals and government partners - to ensure a safe food supply and well informed consumers. We are committed to improving stakeholder 72 FOOD STANDARDS AUSTRALIA NEW ZEALAND

involvement in the standards development process. We routinely carry out a range of consultation activities as part of our statutory requirements under the FSANZ Act 1991.

Last year we reported that one of our greatest challenges has been to respond to the changed regulatory environment and the changed relationships that this entails. Our priorities were to enhance our engagement with the jurisdictions, develop arrangements to allow us to understand stakeholder views more thoroughly, and to examine ways to increase face-to- face consultation with groups affected by the regulatory approaches that we propose.

Openness and transparency continues to be the key to public acceptance of our work. The Food Regulation Discussion Paper, endorsed by the Food Regulation Standing Committee (FRSC), concluded that the strength of our assessment and approval processes is the transparency of those processes and the public scrutiny of our assessments afforded to the public through open consultation.

We undertake a wide number of stakeholder engagement activities. These include presenting papers and leading workshops at conferences; formal and informal communication with stakeholder groups; establishing advisory groups around specifi c standards development work and negotiating Memorandums of Understanding (MOU) to foster and strengthen collaborative relationships.

The increased use of Standard Development Advisory Committees (SDACs) to inform our standards development has enabled us to gain a better understanding of the views of stakeholders. SDACs have formed a vital role in the development of the new Primary Production and Processing Standards and in the development of other major developmental work such as the Nutrition, Health and Related Claims.

The demand for advice and information on our standards development activities continues to be a major strain on our resources. With nearly 10,000 requests for information, and reduced staffi ng levels, the Industry Advice Line has performed to a high standard under diffi cult circumstances. We will need to address the sustainability of this service in the next year as we review the cost pressures facing the agency. ANNUAL REPORT 2004 - 2005 73

OUR STAKEHOLDERS

Our Partners and Stakeholders

Australian Commonwealth, State & Territory and New Zealand Governments FSANZ participates in developing international food standards and policies.

Applicants and Submittors Community and Industry FSANZ receives applications or FSANZ consults submissions or FSANZ and encourages comments on involvement in the proposed changes food management to food standards framework. from anyone.

International Agencies and Organisations FSANZ participates in developing international food standards and policies.

Community involvement in our processes

The effective involvement of stakeholders is a critical component of our standards-setting process. This is refl ected in our guiding legislation. In addition to the legislative requirement for consultation, we provide a number of formal and informal opportunities for stakeholders to participate in our decision-making processes.

Consultation policy. Our legislative framework provides, except in certain circumstances, for two rounds of public consultation in our standards development work. During the year we made 23 Initial Assessment Reports (IAR), 17 Draft Assessment Reports (DAR), 13 combined Initial Assessment/Draft Assessment Reports (IA/DAR), and 2 Preliminary Final Assessment Reports (PFAR) available for public comment. The FSANZ WorkPlan is also available for public comment.

Community Involvement Policy and Protocol. Our Community Involvement Policy and Protocol provides guidance to stakeholders and staff on how we will meet our legislative requirements and how we will consult effectively on food standards matters. We commenced a review of this document during the year; work has been put on hold pending the outcome of the Food Regulation Standing Committee’s review of our assessment and approval processes. 74 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Public Register. Applications, assessment reports, submissions and other information relating to an Application or Proposal to vary the Australia New Zealand Food Standards Code are placed on our Public Register fi les, unless we have agreed they are commercial- in-confi dence. In the past year, 22 formal requests to examine public register fi les were made, dealing with 19 Applications and Proposals. The requests were made by industry (12); government agencies (3); private individuals (0); educational institutions (3); community, consumer or non-profi t organisations (1); consultants (3); and media (0). The Public Register is an integral part of our commitment to openness and transparency.

Public briefi ngs. For Applications and Proposals that are likely to be contentious and/or complex we trialled the use, during the year, of public briefi ng sessions to explain the issues and our processes to stakeholders. This provided an opportunity for stakeholders and members of the public to hear information presented directly from the particular FSANZ project team. The approach was successfully used for the Nutrition, Health and Related Claims Initial Assessment Report. Evaluation of the briefi ngs have been highly positive, with many participants indicating that it is a highly effective consultation mechanism.

Targeted consultations. We also trialled ‘targeted consultations’ during the year. Similar to the public briefi ngs it was targeted at and tailored to the interest of specifi c stakeholder groups. Targeted consultations were conducted during the Initial Assessment Report phase of the Nutrition, Health and Related Claims Proposal.

Community Forums. During the year, we held two stakeholder forums in conjunction with Board meetings, in Sydney and Auckland. This allowed us to canvass views on our work on food standards issues as well as to listen to the needs of the community as major contributors to the standards setting process.

Memorandums of Understanding. FSANZ strives to strengthen partnerships and relationships with others by entering into MOUs with other interested agencies, domestically and internationally. We signed an MOU with the Canadian Food Inspection Agency (CFIA) and are developing an MOU with Korea. Within Australia we are fi nalising an MOU with Standards Australia. Once in place these MOUs will form the platform for the relationship between FSANZ and these agencies.

Kahui Kounga Kai ( Maori Reference Group). A Maori Reference Group was formed in 2000, later to be renamed the Kahui Kounga Kai. The Kahui consists of Maori with expertise in public health, nutrition or the food industry. It is led by a kaumatua (tribal elder). A FSANZ Board member Ms Hikihiki Pihema sits as an observer on the Kahui and FSANZ staff provide administrative and professional support. The Kahui meets with the FSANZ Board during its meeting held in New Zealand each year.

The Kahui has conducted several hui (meetings) around New Zealand in the last year. The hui have been used as a forum to discuss the ways in which individual Maori would like to be ANNUAL REPORT 2004 - 2005 75

OUR STAKEHOLDERS

consulted and appropriate mechanisms for communication with a wider Maori audience. In addition the hui have provided a forum to take back to Maori the answers to many questions that arose at the 2002 hui, in addition to several upcoming workplan issues for discussion.

The Kahui has prepared a strategic plan for 2005-2006, which includes contracting the services of a Maori delegate to work two days a week in the Wellington offi ce to extend the Kahui database and strengthen opportunities for communication.

Standard Development Advisory Committees (SDAC). We increased the use of external Standard Development Advisory Committees as a consultative mechanism to progress major proposals during 2004-2005. They usually involve key government, public health, consumer and industry representatives tailored to the specifi c issue.

Advisory committees have been used extensively in the development of Primary Production and Processing Standards, food safety program standards, and for major bodies of work such as health claims and novel foods.

Advisory Committees Number of Meetings

Seafood Standard Development Committee 8

Poultry Meat Standard Development Committee 4

Dairy Products Standard Development Committee 2

Advisory Group for Food Service to Vulnerable Populations 3

Advisory Group for Catering Operations 2

Advisory Group for Manufactured and Fermented Meats 2

Scientifi c Advisory Group for the Development of the Substantiation 2 Framework for Nutrition, Health and Related Claims

Standard Development Advisory Committee 2 – Review of the Novel Food Standard.

Fortifi cation Standard Development Committee 1

This type of committee is likely to be a major component of any signifi cant proposal work in the future and for major applications likely to require complex or high level consultation.

Other advisory groups. An external advisory group was set up in May 2004 to assist FSANZ prepare interpretive guides for Standard 3.2.1 and the PPP Standard for Seafood. This group, comprising mainly enforcement offi cers, worked closely with the author of the guides as they prepared a clause-by-clause interpretation of each standard. The guides were fi nalised in mid 2005 and are available on the internet to give stakeholders immediate access to the document. 76 FOOD STANDARDS AUSTRALIA NEW ZEALAND

An external steering group on food composition has been providing valuable input to FSANZ as we undertake the compilation of nutrient data for a revised set of Australian food composition tables particularly on the content and format of the proposed new Australian food composition tables. The group, which corresponds by email, consists of representatives from education, research, health and industry sectors.

The Stakeholder Advisory Group on Evaluation has continued this year with representation from key stakeholders and provides an overview of the Evaluation Strategy and associated activities.

Stakeholder engagement and networks

Shared Outcomes

The ‘whole of government’ approach to policy development and service delivery is an issue of increasing importance across the Australian Public Service. It is defi ned as formal or informal work across portfolio boundaries undertaken to achieve shared goals and an integrated government response through policy development, program management and service delivery.

An internal audit report into the preparation of last year’s annual report recommended that we should provide clear, concise and meaningful analysis on the agency’s contribution and infl uence towards shared outcomes. As an initial step, we contacted a number of consumer, industry and government stakeholders to obtain feedback on our annual report and specifi cally how our stakeholders view our contributions.

We recognise the importance of good whole of government behaviours. We are a partner in the delivery of a safe food environment for all people in Australia and New Zealand. We do not do this by ourselves. We are but one element of an integrated food regulatory system.

For example, we work with the Department of Foreign Affairs and Trade and with AusAid in delivering capacity building to countries in our region. We work with the Australian Quarantine Inspection Service in managing the food import program. And we work with the Australian Pesticides and Veterinary Medicine Authority to adopt maximum residue limits into the Code.

Finally, while we are not responsible for implementing the food standards we develop, we are increasingly called upon to assist States and Territories in providing advice on implementation procedures and measures. ANNUAL REPORT 2004 - 2005 77

OUR STAKEHOLDERS

Industry

The agrifood and food manufacturing industry, whose activities are regulated by FSANZ, are actively involved in our processes. The size and scope of the food industry is signifi cant, with a large number of individual companies and industry associations interested in food regulation matters. Our standards setting responsibility covers all areas of the food industry, including primary production (in Australia), and manufacturing, retailing and catering.

We maintain close working relationships with industry both on a company-by-company basis and through peak bodies such as the Australian Food and Grocery Council (AFGC), the New Zealand Food and Grocery Council and the Australian Chamber of Commerce and Industry (ACCI). Industry representatives participate on working groups, advisory panels and on our Standard Development Committees (SDCs).

Organisation Shared Outcome Activity

Australian Food and Grocery • Industry seeks a food • Standards setting is subject Council (AFGC) standard system that is to regulatory impact analysis fl exible, that accords with to ensure that our proposals New Zealand Food and the objective of protecting meet the criteria of minimum Grocery Council (NZFGC) public health and safety, effective regulation. while being the minimum • 100% of the regulatory necessary to allow industry impact statements submitted to innovate and grow. met the Offi ce of Regulation Review’s guidelines.

Retailers and Manufacturers • Improved information • Maintained an ongoing Liaison Committee sharing on issues of dialogue with and common concern. between food retailers and manufacturers. The Committee met twice and discussed specifi c issues such as health claims, fortifi cation and evaluation activities.

Imported Foods Consultative • Compliance (of imported • With the Australian Committee foods) with Australian public Quarantine Inspection health and food standards. Service (AQIS), considered risk assessments of imported foods. The Committee met twice 78 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Consumers

A broad range of consumer-based organisations have demonstrated interest in food standard matters in recent years.

The key consumer organisation in Australia is the Australian Consumers’ Association (ACA). ACA publishes ‘Choice’ magazine and has been vocal over a long period of time about key food standards issues, such as nutrition, health and related claims.

Its equivalent in New Zealand is the Consumers’ Institute, which is the primary consumer- based organisation interested in food standards issues. The Consumers’ Institute also receives funding from the New Zealand Government to bring together consumer-based organisations to discuss and prepare submissions to FSANZ on food standards matters. We seek to work collaboratively with both agencies.

Organisation Shared Outcome Activity Australian Consumers’ • Consumers want • Identifi ed opportunities for consumers to Association (ACA) a safe food supply participate in our standard development and information processes. Increased the use of Standards Consumers’ Institute of on which to base Development Advisory Committees (SDAC) New Zealand informed choices. with consumer representation.

• Improving • FSANZ and the ACA are both on the information to Executive of the Food Safety Information consumers Council whose role is to educate consumers on safe food handling.

Government partners

FSANZ operates in a regulatory environment built upon a partnership of ten governments and several portfolio areas in each jurisdiction.

Effective engagement with the jurisdictions is important to achieving appropriate standards outcomes. We work actively through the various intergovernmental structures, such as the Food Regulation Standing Committee (FRSC), the Implementation Standing Committee (ISC) and the Technical Advisory Group (TAG) to achieve this.

We also provide technical advice to FRSC and participate in the committee established by FRSC to consider the role, structure and operations of ISC and TAG.

Food Regulation Standing Committee (FRSC)

FRSC comprises heads of Departments, or their delegates, for which the respective members of the Ministerial Council have responsibility, as well as the Australian Local Government Association. The Standing Committee provides advice to the Ministerial Council ANNUAL REPORT 2004 - 2005 79

OUR STAKEHOLDERS

on the development of policy relating to the regulation of food. FRSC is chaired by the Secretary of the Australian Government Department of Health and Ageing. FSANZ is an observer on FRSC.

Implementation Sub Committee (ISC)

An important component of the food regulatory system in Australia is the Implementation Sub Committee of the Food Regulation Standing Committee, in which FSANZ is an active participant. FSANZ’s participation is important given our statutory responsibility for coordinating food recalls, monitoring and surveillance of food in Australia and also because of our interests in developing practical and enforceable food standards.

ISC comprises heads, or their delegates, of the appropriate Australian (Commonwealth and State/Territory) and New Zealand inspection and enforcement agencies. FSANZ has a representative on ISC. Local government is also represented through the Australian Local Government Association.

ISC is responsible for developing implementation policy and oversees the development and implementation of a consistent approach across jurisdictions to enforcing food regulation and standards, regardless of whether food is sourced from domestic producers, export- registered establishments or from imports.

We chair a key ISC Working Group tasked with developing a comprehensive framework for consistent national implementation and enforcement of food regulation in Australia. This umbrella agreement will provide the foundation for the development of specifi c detailed operational protocols and arrangements. Two of the fi rst of these protocols are a National Surveillance and Monitoring Policy and Protocol, and a National Food Safety Incident Management Protocol.

FSANZ liaises closely with the State and Territory jurisdictions to ensure that the food standards it develops can be effectively and consistently implemented and enforced.

Technical Advisory Group (TAG)

The Technical Advisory Group (TAG) was a group of Senior Food Offi cers from the jurisdictions and representatives from other portfolios and was chaired by FSANZ. To date TAG has provided technical advice to FSANZ to assist in the development of food standards and assist in the coordination, surveillance and uniform interpretation of the Food Standards Code. 80 FOOD STANDARDS AUSTRALIA NEW ZEALAND

TAG provided a forum for the jurisdictions to share information concerning topical enforcement and compliance issues, interpretation of the Food Standards Code, media communication, surveillance and monitoring activities.

FSANZ facilitated a review of the role and functions of TAG in 2004-2005. Because of the potential for overlap with the role of ISC, We have disbanded TAG and will work with the jurisdictions to set up an alternative group to advise on food standards issues.

Collaboration with Jurisdictions

FSANZ’s Chief Executive Offi cer participates in an informal network of state and territory regulators. We have collaborated with the States and Territories on a number of initiatives.

We coordinate the Food Surveillance Network, which facilitates the planning and coordination of the food surveillance and monitoring activities undertaken by government health agencies in Australia and New Zealand. The Network comprises representatives from most State and Territory jurisdictions, and the Australian and New Zealand governments and meets regularly.

We also commenced a process with State and Territory regulatory agencies to consider the development of a nationally consistent implementation strategy which has been formally endorsed by FRSC.

We have a shared outcome with a number of government agencies and our partners in New Zealand and the jurisdictions, to protect the health and safety of Australians and New Zealanders.

Organisation Shared Outcomes Activities

New Zealand • Protects and FSANZ has regular interaction with NZFSA across a Food Safety promotes public range of activities, including: Authority (NZFSA) health and safety. • Consulted on food standards activities. NZFSA participated in standards development advisory committees (SDACs) and technical working groups;

• Cooperated and shared data relating to food standards development (mandatory fortifi cation with iodine; implications of repealing the NZ Dietary Supplements Act);

• Participated in post market operations and surveillance programs aimed at sharing information and knowledge, and sharing the cost burden of obtaining information; and

• Provided post-Board briefi ngs to NZFSA, as part of the partnership Agreement. ANNUAL REPORT 2004 - 2005 81

OUR STAKEHOLDERS

Organisation Shared Outcomes Activities

Department of • Promotion of • Participated as a member of the steering committee Health & Ageing the health of all overseeing a consultancy preparing a framework Australians and and business case for a national food and nutrition (in Australia the the minimisation monitoring system. Department of the incidence takes the lead • Maintained a strong association with OzFoodNet of preventable role in food policy network which aims to enhance the surveillance mortality, illness, development at and investigation of food borne illness. FSANZ is a injury and the Australian member of OzFoodNet and we are represented on disability. Government level.) both the Management Committee and we chair the Scientifi c Review Panel.

• Contributed to the policy review on implementation of the food standard specifying requirements for BSE in meat and meat products.

• Participated in the interdepartmental committee process reviewing arrangements for managing BSE in relation to food. We chaired the Technical Working Group which reconvened to update scientifi c and technical information related to managing BSE and food.

• Participated in the interdepartmental committee that considered the revision of the WHO’s International Health Regulations. The revision aimed to expand the scope of hazards to be addressed by the Regulations.

• A draft BSE food incident safety plan was developed.

Therapeutic Goods • Improved • Participated in TGA complaints committee Administration health and (TGA) environmental outcomes is a (In addition shared objective to its primary of both agencies. responsibility The availability of for regulating risk assessment therapeutic goods, information to the TGA advises support the safe other regulatory use of industrial authorities on chemicals potential public provides an health risks posed important input by agricultural, to our own veterinary and scientifi c risk industrial chemicals assessments. used in the community.) 82 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Organisation Shared Outcomes Activities

Offi ce of the • Our shared • Provided input into the regulation of gene Gene Technology outcome is to technology in Australia. We are one of the Regulator (OGTR) protect the health prescribed agencies that the Gene Technology and safety of Regulator must consult with for applications for (OGTR is Australians. research and commercial release of genetically responsible for modifi ed organisms (GMO). We have a the regulation Memorandum of Understanding with OGTR and we of genetically comment on applications sent to OGTR, particularly modifi ed organisms when the application is for a GMO that may enter in Australia in order the food supply. to protect the health and safety • Engaged in ongoing dialogue with OGTR in relation of Australians and to the scientifi c assessments on applications. the Australian We endeavour to harmonise our assessment environment.) approaches as much as possible.

• Participated on the OGTR Inter Departmental Committee that considers issues of common concern regarding GMOs across all the Australian Government agencies. We cooperate to inform the public and stakeholders on GMO issues of common interest by participating at national and international forums on gene technology. ANNUAL REPORT 2004 - 2005 83

OUR STAKEHOLDERS

Organisation Shared Outcomes Activities

Department • An effi cient and • Worked closely through an Inter Agency of Agriculture, internationally Committee (IAC) chaired by DAFF and comprising Fisheries and competitive food representatives from the Department of Health and Forestry (DAFF) industry. Ageing and the Australian Pesticides and Veterinary Medicines Authority to consider future options for ( DAFF seeks the management of the MRL process. Details of the to increase the proposed integrated MRL setting system have been profi tability, provided elsewhere in this report. competitiveness and sustainability • Continued our representation on the National of Australian Cadmium Management Committee which meets agriculture, under the auspices of the Primary Industry Standing fi sheries, food and Committee (PISC). Committee members are drawn forestry industries. from the Australian Government (DAFF as well as It assists the ourselves) and senior staff from the Departments of development of Primary Industry of the States and Territories and Australia’s food also from CSIRO. supply chain, • Met regularly with the Department on specifi c issues from producer during the year. Discussions have been held on to processor to issues concerning imported food, the management consumer, to build of maximum residue limits and preparation for competitiveness in international meetings such as Codex. the global market.) • The Australian Government Codex Policy Committee is an important cross agency forum for developing Australia’s position on key issues under discussion in Codex. We are represented on this important committee in view of our signifi cant contribution to Codex activities.

• Improved inter-government and inter-agency response planning for a possible case of BSE in Australia. 84 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Organisation Shared Outcomes Activities

Australian • The protection of FSANZ and AQIS jointly manage the Imported Food Quarantine Australia’s human Program (IFP). and Inspection health status. • Reviewed the frequency of inspection applied Service (AQIS) to imported foods under the IFP. Amended (The Australian the inspection frequency for mercury testing of Quarantine and barramundi, prawns, herbs, spices and dried Inspection Service vegetable seasonings. (AQIS) contributes • In consultation with AQIS and State and Territory to the protection enforcement agencies and the New Zealand Food of Australia’s Safety Authority (NZFSA) further progressed the plant and human review of the inspection undertaken for foods in the health status and random surveillance category (low risk) under the maintains market IFP. access through the delivery of • Cooperated to establish a risk-based import quarantine and system for the primary production and processing export services.) standards.

• Embarked on a joint project to explore options for more effective implementation at the border of outcomes based standards. Given our commitment to non-prescriptive food standards, this matter will be a major challenge for FSANZ to address.

• Actively involved with AQIS in developing new and revised food inspection arrangements as AQIS moves to implement changes to its legislation. We are revising our recommended inspection profi les to facilitate implementation of more fl exible border inspection arrangements.

• The Imported Foods Consultative Committee met twice a year and provides a forum to discuss new government initiatives and risk assessments for imported foods. During the year we revised a Memorandum of Understanding with AQIS setting out our respective roles in relation to imported food. ANNUAL REPORT 2004 - 2005 85

OUR STAKEHOLDERS

Organisation Shared Outcomes Activities

Australian • To protect the • Worked with the APVMA on the development of Pesticides health and safety appropriate administrative and legislative changes and Veterinary of people, trade for the harmonised MRL assessment process. Medicines and support • Worked with APVMA, DAFF and DoHA in Authority Australian developing regulatory approaches to managing low (APVMA) agriculture. level contaminants in food. (In Australia, APVMA is responsible for registering agricultural and veterinary chemical products, granting permits for use of chemical products and regulating the sale of agricultural and veterinary chemical products.)

Australian • To protect • Provided recommendations to ACCC on labelling Competition consumers terms requiring defi nitions in order to prevent & Consumer from misleading consumers from being misled. Commission and deceptive (ACCC) conduct.

(The ACCC promotes competition and fair trade in the market place to benefi t consumers, business and the community. The ACCC aims to promote vigorous and lawful competition, to encourage fair business dealings and to protect consumers from misleading and deceptive conduct.) 86 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Organisation Shared Outcomes Activities

Department of • Both our • Consulted with DFAT on international trade issues Foreign Affairs agencies have a in the development its standards and into import shared outcome inspection measures. During the year this has and Trade in seeking to included consultation on BSE, frozen oysters (DFAT) advance our imported by Japan, and Roquefort cheese. national interest • Liaised closely with DFAT when developing training through global initiatives in the Asia-Pacifi c region; contributed cooperation, advice on food related issues during negotiations to and to promote develop the Australia Singapore and Australia USA Australia to the free trade agreements. We anticipate increased region. inter-agency cooperation as agri-food trade initiatives develop further.

• With DFAT and AusAID pursued the opportunity to develop an APEC food safety cooperative framework.

Public health professionals

Public health professionals provide considerable input to our role of protecting of public health and safety through the food supply. We actively engage with representatives from this sector and participate in forums such as the Strategic Intergovernmental Nutrition Alliance (SIGNAL), a sub-committee of the National Public Health Partnership, established to coordinate action to improve the nutritional health of Australians.

Organisation Shared outcomes Activities

Strategic Intergovernmental • To improve consistency, • Engaged SIGNAL on key Nutrition Alliance (SIGNAL) collaboration and public health projects such coordination on public as fortifi cation and health health nutrition initiatives in claims. Australia. • SIGNAL also has representation of the fortifi cation SDAC.

Communication

The FSANZ Communication Strategy was updated during the year to refl ect the priorities identifi ed through our internal planning processes.

We took a lead role in establishing a Government Food Communicators Group with the jurisdictions to share information on issues and communication strategies as well as to develop risk communication practices further. We successfully implemented major education ANNUAL REPORT 2004 - 2005 87

OUR STAKEHOLDERS

campaigns for and for Listeria. The Food Safety Conference attracted over 300 registrations and resulted in positive media coverage, on radio and television and in print, to an audience of almost 900 000.

We managed Food Safety Week in November and Christmas messages on food safety. Evaluation showed a total audience reach of over 16 million.

Our priorities during the year included:

• Assisting jurisdictions and industry to better understand the requirements of the Food Standards Code through an outreach program of seminars and conference attendances, particularly in the labelling area following results from the labelling monitoring survey. This initiative was delayed due to changed staffi ng arrangements.

• Taking a lead role in driving risk communication within the organisation, especially for major projects such as health claims, fortifi cation, food safety programs, country of origin labelling, and primary production and processing standards.

• Expanding links on food safety emergencies with other government communicator groups in health, agriculture, biosecurity and emergency management as well as with overseas regulators. We participated, for example, in the Emergency Animal Disease (EAD) Crisis Communication training.

Government Food Communicators Group

FSANZ chairs the Government Food Communicators Group which was established in August 2004. The group consists of communicators from food and health agencies in all the jurisdictions, including New Zealand and Australian Government agencies.

The group met face-to-face in Queensland in October 2004 and Canberra in April 2005, with teleconferences held in September and December 2004 and July 2005. During the year the group worked on a number of communication strategies for food emergencies, Food Safety Week and the new Seafood Primary Production and Processing Standard.

Industry and consumer advice

The FSANZ Advice Line was established in 2001 as a short-term service to assist the food industry (mainly small businesses) and the jurisdictions to navigate their way through the Food Standards Code. No additional funding was provided for this service. The Advice Line was reviewed in 2003 and it was decided that the service should continue. During the year the Advice Line answered a total of 9,867 enquiries by email or phone, which included 60,740 questions, that is an average of 6.2 questions an enquiry. While the number of enquiries has remained reasonably constant through the year, the number of questions per enquiry has 88 FOOD STANDARDS AUSTRALIA NEW ZEALAND

decreased. This may be due to increasing knowledge of the Food Standards Code among stakeholders.

Advice line - number of enquires and questions asked

10000

8000

6000 Questions

4000 Enquiries

2000

0

The majority of enquiries were from the food industry (51.7%), followed by lawyers or consultants (23.8%) then government agencies (16.3%), consumers (6.7%) and community organisations (1.5%). In addition the Information Offi cer handled a large number of enquiries from consumers and industry mainly concerning standard development issues and publications.

Advice line enquiries – by Stakeholders

Consumers

Community groups

Govt/jurisdiction

Lawyers/consultants

Industry ANNUAL REPORT 2004 - 2005 89

OUR STAKEHOLDERS

Website

FSANZ uses a number of communication tools to reach stakeholders, the principal one being the website. During the year visits to the website increased from 1,774 visits a day in July 2004 to 3,688 visits a day in June 2005. The most popular pages accessed were the Food Standards Code, media releases, the Nutrition Panel Calculator, the What’s in food consumer advice, food additives, Standards Development, About FSANZ and food recalls.

FSANZ website visits 2004 - 2005

4000

3000 Visits 2000

1000

0

During the same period the average time spent on each visit decreased from 12.50 minutes in June 2004 to 8.09 minutes in July 2005, possibly due to users being able to better navigate their way around the site.

FSANZ website average time

14.00

12.00

10.00

8.00

6.00

4.00

2.00

0.00 90 FOOD STANDARDS AUSTRALIA NEW ZEALAND

A few changes were made to the website during the year, including the addition of separate pages for major issues such as health claims and fortifi cation. Compared with previous years there were few web-comments emailed to us, those comments sent to us related to the need for an improved search engine and diffi culties logging on to our subscription services. Both these issues should be resolved early in 2005-06.

Food Standards News and electronic updates

Editions of Food Standards News moved from bimonthly to quarterly during the year as subscribers to our electronic email update service increased from 10,000 to 11,000. Thirty- eight of these updates were sent out during the year. The update service allows media releases, fact sheets and information on consultation to be emailed out in a rapid and timely way, leaving Food Standards News for lengthier articles. Less than 100 people now request hard copies of Food Standards News, which is mainly sent out electronically.

Media relations

FSANZ issued 22 media releases during the year compared to 29 in 2003-04 and we answered a total of 731 media enquires compared with over 900 the previous year. Media issues included country of origin labelling, transfats, fi sh mislabelling, sudan dyes, GM food (especially GM corn), juice bars, Food Safety Week, food safety at Christmas, hijiki seaweed, iodine fortifi cation, folate fortifi cation, organic foods, pesticide residues, Health Claims, lead in cornfl our, the intense sweetener Tagatose and the food additive calcium proprionate.

Food Safety Conference, October 2004

We played a signifi cant role in promoting and managing the inaugural Food Safety Conference, held on the Gold Coast in October 2004.

The purpose of this conference was to facilitate discussion and information sharing by regulators and other stakeholders interested in food safety. It provided an excellent opportunity for FSANZ and other agencies to present to key stakeholders on several current and topical issues relating to the future directions of food safety. It also served to provide an opportunity for informal relationship building.

The CEO was part of a CEO’s Steering Committee and FSANZ provided liaison and management of the organisation of the conference in partnership with other agencies, primarily Safe Food Queensland.

Evaluation demonstrated high levels of support for the conference, which will be run again in 2007 in NSW. ANNUAL REPORT 2004 - 2005 91

OUR STAKEHOLDERS

Food Safety Information Council

FSANZ is a founding member of, and active participator in, the Food Safety Information Council, whose role is to educate Australian consumers on safe food handling. The Council is a not-for-profi t organisation with members from government agencies in all the states and territories and the Australian Government as well as community, consumer, professional and industry organisations. The Food Safety Information Council works closely with the New Zealand Foodsafe Partnership that has a similar role in New Zealand.

The 2004 Food Safety Week and Christmas Food Safety campaigns were very successful and reached an estimated audience of 16,996,292. This compared with an audience of just under 15 million in 2003. During the year 43,667 people visited the Food Safety Information Council website, www.foodsafety.asn.au . The theme for Food Safety Week in November 2004 was ‘Protecting tiny tummies and sensitive systems’ and the information was aimed at vulnerable populations: the very young, the immuno compromised and the elderly. A particularly successful document was a fact sheet on food safety for people taking food to relatives and friends in aged care facilities. Over 140,000 of these fact sheets have been distributed. The theme for Food Safety Week 2005 is ‘Food on the move’ and will focus on food safety for travellers and campers in Australia and Australians travelling overseas. 92 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Our People

Objectives

• Enhance organisational capability and capacity

• Foster an encouraging and rewarding work environment

Photos from the top: FSANZ Chairman Rob Knowles presents Robyn Rowntree with a staff achievement award. The Hon Annette King, New Zealand Minister for Food Safety (third from the right), meets with FSANZ staff at the opening of the new Wellington Offi ce. Dr Katrina Roper, FSANZ senior food scientist, visits MacFarlane Hill Goat Dairy South Australia. ANNUAL REPORT 2004 - 2005 93

OUR PEOPLE

Highlights

• Establishment of Staff Forum.

• Draft Values and Capabilities Framework developed.

• Overall staff numbers remain at consistent level.

• Consistent with APS trends, FSANZ’s age profi le is increasing.

Performance

Our performance in meeting Our People goals is measured by:

• the extent to which strategic human resource management plans and policies facilitate achievement of organisational objectives;

• the number and nature of professional development opportunities given to staff as identifi ed in staff professional development plans; and

• the nature of comments from staff surveys.

Overview

Last year we reported that, in common with most other departments and agencies within the Australian Public Service, FSANZ is changing. The State of the Service Report refl ects an older, more senior, and more skilled profi le. We have not avoided the demographic and structural changes that are being experienced across the whole public sector. While the impact of these changes may not be felt as acutely in a small agency such as ours, but they do never the less, have signifi cant workforce implications.

While FSANZ is a relatively young organisation with a median age of around 40, we also are not immune from the ‘ageing’ factor. Some 27% of our staff will be eligible for retirement in fi ve years, with implications for a loss of corporate knowledge and managerial expertise, particularly in the non-science areas.

How do we attract, recruit and keep quality staff in a tight labour market? And how do we deal with skills shortages and the absence of depth at certain levels? As a science-based agency FSANZ (and its predecessors) has always had a strong scientifi c skills base. The challenge is to identify the skills needs of the future. Our planning forums during the year have identifi ed, for example, the need to enhance and increase our skills base in the fi elds of economics, political science, social research and risk communication.

During the year we established a staff consultative forum – the Staff Forum – as a conduit to senior management on issues of interest and concern to staff. It is signifi cant that the 94 FOOD STANDARDS AUSTRALIA NEW ZEALAND

fi rst issues to be addressed by this staff body is the development of a values and capability framework for the organisation that in turn will underpin our approach to learning and development, performance management and succession planning.

Organisational capability and capacity

Attraction, development and retention of an appropriately skilled workforce

Staff numbers and profi le

There is continuing evidence of demographic and structural change within the Australian Public Service (APS). In 2003 the Australian Government’s Management Advisory Committee (MAC) noted that wider demographic trends, notably the ageing of the population and labour force, will impinge signifi cantly on the APS as both an employer and a service provider. The APS State of the Service Report 2003-2004 shows that an older, more senior and more skilled profi le of the public service has been emerging for some time now.

At end June 2005, FSANZ comprised 132 employees (105 ongoing and 27 non-ongoing). 121 work in Canberra and 10 in Wellington as at 30 June 2005. One member of staff is outposted to Tasmania.

Table 1: Distribution of APS employees by level and gender, 30 June 2005

Classifi cation Female Male Total F/T P/T F/T P/T F/T P/T PEO 1 1 SEB2 1 1 SEB1 2 1 3 Exec 2 13 2 14 1 27 3 Exec 1 15 12 15 30 12 APS6 11 5 4 15 5 APS5 7 2 9 0 APS4 11 3 11 3 APS3 4 4 1 1 5 5 APS2 2 2 Total 64 28 38 2 102 30

Authority total:132 ANNUAL REPORT 2004 - 2005 95

OUR PEOPLE

Notes: Included in the above fi gures are 5 employees on long-term leave or undertaking non- ongoing movement to another agency.

Staffi ng numbers have remained remarkably stable over the last fi ve years, as shown in Figuere 1 below:

Figure 1: Staffi ng numbers over the last 5 years Total 2004-2005 Male

2003-2004 Female

2002-2003

2001-2002

2000-2001

1999-2000

0 30 60 90 120 150 Staff Numbers

The median age of our staff remains at between 40 and 44 years. This is the same as in 2003-2004.

Figure 2: Employee profi le by age and gender, 30 June 2005

60+ Female Male 55-59 50-54 45-49 40-44 35-39 30-34 25-29 20-24 Under 20 0 5 10 15 20 Number of staff

Ongoing Non-ongoing Female Male Female Male 71 34 21 6 96 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Academic qualifi cations

As a professional, science-based agency, FSANZ maintains a highly qualifi ed workforce. About 83% of staff (the same as in 2003-2004) hold academic qualifi cations in a range of science and non-science disciplines. Our scientifi c competencies include staff with qualifi cations in agriculture, biology, chemistry, environmental health, food technology, genetics, medical science, microbiology, molecular biology, nutrition, physiology, toxicology and virology.

Non-science disciplines are well represented with staff with qualifi cations in accountancy, business, communication, economics, law, public policy, social sciences, and fi nance.

Figure 3: No. of employees by highest qualifi cation

17% 14% PhD

Masters 13% 10% Other Post Graduate

Bachelor Degree 4%

Other

42% No qualifications

A signifi cant proportion of FSANZ staff (31%) hold post-graduate qualifi cations.

Some 73% of all staff have a Bachelor degree or higher qualifi cation, while 74% of staff with Bachelor degrees or higher are held in science; 11% are held in social sciences and public policy; 5% in law and 9% in other disciplines.

Graduate recruitment

When circumstances have permitted, FSANZ has participated in the graduate placement program and recruited graduates under the G(APS) scheme. Graduate placements are an important feeder group for FSANZ, providing us with access to skilled staff. Due to fi nancial constraints / budget priorities FSANZ was not in a position during the year to take on a graduate placement. ANNUAL REPORT 2004 - 2005 97

OUR PEOPLE

Workforce planning

FSANZ’s ability to maintain its highly skilled workforce and to ensure the recruitment, retention and training of competent and outward looking scientifi c staff will be critical to future operations. We are developing internal systems that allow us to monitor existing and future needs for scientifi c competencies and adjust our skills base, as necessary, over time.

Last year we noted the need to engage in more strategic systematic workforce planning if we are to effectively meet the challenges of the changing environment in which we have to operate. We acknowledged the need to identify our current and future capability requirements and implement an integrated human resource management strategy to ensure the required capabilities are met. It is particularly important that our workforce planning aligns the organisational skills base with our priorities and strategic objectives. Our planning forums have identifi ed the need for an increased focus on our risk management capabilities, particularly in the areas of social and consumer research.

Table 2: Employee commencements and cessations

Male Female Total Commencements 3 17 20 Cessations 5 15 20

Table 3: Representation of EEO Groups by classifi cation

Salary Total Men Women Aboriginal People People People Classifi cation Employees and Torres of non- of non- with a Strait English English disability Islander speaking speaking People back- back- ground (1) ground (2) APS Level 1-6 55 8 47 1 1 Exec Level 1 42 15 27 4 1 Exec Level 2 30 15 15 SES 5 2 3 Totals 132 40 92 4 2 1

(1) includes people born overseas whose fi rst language was not English and who came to Australia after the age of fi ve years.

(2) includes people born overseas who came to Australia before the age of fi ve years and whose fi rst language was not English, or people born in Australia with one or both parents born overseas and whose fi rst language was not English.

Figures do not include data on employees on loan from other agencies.

Of total employees, 54 .8 per cent have EEO records. 98 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Mature aged workers

Some 42% of FSANZ staff are in the category of mature-aged workers (45 and over), a slight increase over the previous year (40%). Consistent with its ageing profi le, the APS is increasingly reliant on mature-aged workers. Mature-aged workers have extensive experience, both within and external to the APS. The extent to which the retention of mature-aged workers is of signifi cance to FSANZ will be addressed in the HR Strategy being developed.

Development of skills and systems to complement organisational capacity

Performance management

FSANZ’s performance management system is linked to organisational and business goals and the maintenance of APS Values. It provides employees with a statement of performance expectations and an opportunity to comment on those expectations.

We evaluate staff performance and development twice-yearly (mid-year and end-of-year) through the FSANZ performance management model – the Performance Enhancement Scheme (PES). All staff in the agency use the PES. Its importance is recognised in the Certifi ed Agreement and specifi c policies govern its operation.

Despite previous attempts at reviewing the scheme, we recognise that there is scope for improvement in aligning the performance management system with agency goals and strategic priorities and by securing credibility through transparency, fairness and simplicity. We also recognise that the PES needs to be part of the overall management structure of the agency to ensure a clear understanding between staff responsibilities and the objectives of the organisation.

With this in mind the PES system is being reviewed by the Staff Forum as part of the process of developing an Integrated Values and Capability Framework for the agency. The review commenced in June 2005. We have also identifi ed performance management as an issue in our 2005-2006 Strategic Plan.

Details of the performance measurement tools and the signifi cance of performance in our integrated planning framework are reported in more detail in the section on Our Accountability.

Learning and development

Learning and development opportunities are an integral component of our PES. This process assists staff and managers to identify and deliver key training and development needs for all staff. We reported last year that, in light of the fi ndings of the Strategic Review, and changing ANNUAL REPORT 2004 - 2005 99

OUR PEOPLE

workforce needs identifi ed by the Australian Public Service, we may need to review our approach to learning and development to ensure a greater focus on key requirements.

This review commenced during the year under the auspices of the work requested by The Staff Forum to develop an Integrated Values and Capability Framework. This, once developed, will provide the framework for our approach to learning and development and for succession management.

We need to make a signifi cant effort to ensure that learning and development strategies are better aligned with the business needs identifi ed in our planning documents. There needs to be a better alignment between the development needs of individual staff and the capability requirements of the agency as a whole. Currently learning and development needs appear to be most commonly identifi ed at the work-unit level.

Currently, we lack a performance information system that enables us to analyse the level and cost of learning and development across the agency. As part of our performance enhancement measures for 2005-2006 we propose to implement a system that will allow us to explore trends and assess the value of these programs.

Encouraging and rewarding work environment

Agreement making

The APS environment has, in recent years, provided a more fl exible employment framework in which agencies can structure their workforce strategies. Certifi ed Agreements and Australian Workplace Agreements made under the Workplace Relations Act 1996 enable workforce strategies to be tailored to develop capabilities and to address particular attraction and retention issues.

The Certifi ed Agreement

FSANZ’s 2004-2007 Certifi ed Agreement came into force on 29 July 2004 and has a nominal expiry date of 30 June 2007. The Agreement covers all staff other than Senior Executive Service and some senior management staff. The current s170 LJ Agreement provided for pay increases of 4.65% in each of the three years until June 2007 and provided a range of employment fl exibilities around leave, part-time work, and home-based work and other family friendly policies. Improvements in pay and conditions are linked to organisational productivity and performance and are funded from within the agency’s budget. 100 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Australian Workplace Agreements

28 senior staff (21% of total) have negotiated individual Australian Workplace Agreements (AWA) and are eligible for bonus payments depending on performance levels. This compares with 26 (20% of total staff) last year.

The Staff Forum

During the year, we established a new staff consultative committee, called the Staff Forum. It comprises staff representatives and operates as a consultative forum on issues and recommendations emanating from our ‘Expanding Our Capability’ initiative. It may also consider emerging issues of interest and concern to staff. The Executive is also represented on the committee.

The focus of the Staff Forum’s activities during the year has been the development of an Integrated Values and Capability Framework for the agency. We anticipate that the framework will guide the development of policies and procedures for our approach to learning and development, performance management, and for succession management.

Occupational Health and Safety

FSANZ’s Occupational Health and Safety Committee meets quarterly, or more often if necessary. All issues are considered and dealt with promptly. To date there are no outstanding issues.

There have been a total of six incidents since August 2004, fi ve of which have submitted Comcare claims. Three of these have been determined as “Accepted liability”.

Commonwealth Disability Strategy

As a regulatory agency we are aware of our interaction with individuals and groups. FSANZ is committed to protecting, in collaboration with others, the health and safety of people in Australia and New Zealand through the maintenance of a safe food supply.

To ensure equity, FSANZ has established a consultative framework to communicate effectively with any individual or stakeholder group that wishes to provide input for their particular situation or view. To this end, FSANZ has specifi cally established a Maori Reference Group. Accessibility and open consultation is a major issue for consideration by FSANZ when it performs any of its functions.

In providing access to the public and stakeholder groups, FSANZ endeavours to be mindful of people with disabilities. As an example, redevelopment of the FSANZ website has ensured compliance with HREOC and W3C accessibility standards. ANNUAL REPORT 2004 - 2005 101

OUR PEOPLE

Assistance measures for staff

In keeping with our objective of providing a rewarding working environment we provide a number of assistance measures to staff. These are as diverse as support for eyesight testing and OH&S workplace assessments to problem resolution procedures and an Employee Assistance Program (EAP).

Flexible working patterns

As a ‘family friendly’ organisation, we have endeavoured to be responsive to employee needs and circumstances through the provision of fl exible working arrangements. Staff may make part-time work arrangements, extend maternity leave on half pay and access the 48/52 provisions that allows for additional unpaid leave while averaging salary payments over the year. We have a high proportion of part-time staff and the importance of work/life balance is recognised through our support for fl exible working arrangements 102 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Our Accountibility

Objectives

• Ensure clear public understanding of our roles and priorities (FSANZ Corporate Plan 2003-2006).

• Strengthen and enhance our corporate governance arrangements (FSANZ Corporate Plan 2003-2006).

• Ensure clear understanding of our responsibilities and accountabilities in delivering statutory obligations (FSANZ Corporate Plan 2003-2006). ANNUAL REPORT 2004 - 2005 103

OUR ACCOUNTABILITY

Highlights

• Development of a new Four Year Financial Plan

• Enhancement of fi nancial reports

• Implementation of quarterly fi nancial and performance reporting

• Development of the FSANZ Strategic Plan 2005-2006

Performance

Our performance in meeting Our Accountability goals is measured by

• the level of compliance with external reporting requirements, including departmental fi nancial reporting;

• the extent to which our management reporting and planning processes track progress against agency priorities;

• the level of cooperation between ourselves and our jurisdictional partners stakeholder response to our Strategic Review;

• the effectiveness of our strategic issues management; and

• the extent to which staff performance agreements are directly linked to corporate priorities.

Overview

We continued to focus on developing our corporate governance environment during the year particularly with respect to our performance and our accountability. There is an increasing interest in how well public sector agencies such as FSANZ perform, how well we achieve value for money and how accountable we are to our stakeholders.

We reported last year that one of our major challenges is to improve our internal management information systems in order to provide the Executive and managers with appropriate information to manage more effectively what is an increasingly complicated and rapidly changing environment. We placed considerable effort in developing systems that allow us to provide a level of fi nancial analysis that is more useful and informative to internal management and external stakeholders.

FSANZ faces considerable cost pressures over the next few years. It has become apparent that we need to start making some changes to our fi nancial arrangements to address the competing pressures of fi xed future annual revenues and increasing workloads and costs. In particular, we are trying to achieve an appropriate ratio between staff costs and 104 FOOD STANDARDS AUSTRALIA NEW ZEALAND

operating costs. Accordingly, we undertook a major review of our forward fi nancial plans and developed a new Four Year Financial Plan with assistance from fi nancial consultants, Deloittes. This involved setting some revised fi nancial targets, including a target equity level and a working capital level.

During the year we continued to focus on improvements to our governance and administrative practices. A rolling program of internal audits ensured that our processes and procedures followed, where practical, better practice guidelines.

The effective management of agency performance continues to be a challenge but considerable groundwork was put in place to develop an appropriate performance regime and we expect to obtain dividends from our efforts in 2005-2006 and in 2006-2007.

Our Corporate Plan highlights the four key areas that we plan to demonstrate our results, lists the strategies that we think will get us there, and indicates how we plan to measure our progress. Our annual report is structured to focus on those four key result areas.

Ensure clear public understanding of our roles and priorities

Our structure, roles and responsibilities within the food regulatory system were established in 2002. We clarify and communicate these roles as they relate to other agencies in New Zealand and the States and Territories.

Our performance in this regard is measured by the level of cooperation between ourselves and our jurisdictional partners and the response of our stakeholders to our Strategic Review.

The establishment of Food Standards Australia New Zealand (FSANZ)

Food Standards Australia New Zealand is an Australian Government Statutory Authority established under section 6 of the FSANZ Act effective from 1 July 2002.

Membership of the Board changed at that time from that of the former Australia New Zealand Food Authority (ANZFA), as did the way FSANZ develops standards. These changes were part of a broader package of reforms to the food regulatory system in Australia as a result of a COAG decision in November 2000 following consideration of the Food Regulation Review (Blair Report) that was presented to Government in August 1998.

Structures for the regulatory partnership

The Australia and New Zealand Food Regulation Ministerial Council (Ministerial Council) decides on policy guidelines based on advice from the Food Regulation Standing Committee, comprising senior government offi cials from New Zealand and the Australian, State and Territory governments. ANNUAL REPORT 2004 - 2005 105

OUR ACCOUNTABILITY

FSANZ must have regard to the Ministerial Policy Guidelines when it develops or reviews food standards. We also provide technical advice during the development of the policy guidelines. FSANZ is responsible for developing food standards for the whole food chain. FSANZ has responsibility for approving and varying standards, which it then notifi es to the Ministerial Council. The Ministerial Council may then seek a review of any standard notifi ed to it by FSANZ otherwise standards become law in each State, Territory and New Zealand once gazetted.

Organisation structure

An independent, external review in 2003 identifi ed a number changes to enable FSANZ to best fulfi l its role in the changed food regulatory environment. As reported last year, changes were made to FSANZ’s structure and to some of its operational arrangements. These have been largely implemented.

A key feature of the restructure was the separation of the scientifi c risk assessment and risk management functions. The Authority comprises four Branches, with a Food Standards Branch in both Canberra and Wellington largely responsible for risk management in relation to the Standards in Chapters 1 and 2 of the Code. The New Zealand offi ce has an expanded role with increased responsibility for labelling standards. The Food Safety & Services Branch manages FSANZ’s responsibilities for the development of standards for the primary production sector and food safety standards.

FSANZ’s science function was strengthened with the establishment of a Scientifi c Risk Assessment & Evaluation Branch, with responsibility for scientifi c risk assessment. The arrangements provided for an enhanced role for the Chief Scientist and increased line management responsibility for science functions within the organisation.

We fi ne-tuned our organisational structure in late 2004-2005 by transferring the Secretariat function to the Offi ce of Legal Counsel, within the Food Standards Branch, Canberra.

The Chief Executive Offi cer is the head of the organisation and works closely with the other members of the Executive who are the Chief Scientist (Scientifi c Risk Assessment & Evaluation Branch), the General Manager (Food Standards Canberra Branch), the General Manager (Food Standards Wellington Branch), and the General Manager (Food Safety and Services Branch).

We introduced a fl atter organisational structure in 2003-2004, with fi fteen sections reporting directly to a General Manager. In 2004-2005 we created a discrete planning and capability function reporting directly to the General Manager, Food Standards Canberra. At 30 June 2005 the sections are:

• Product Safety Standards. 106 FOOD STANDARDS AUSTRALIA NEW ZEALAND

• Public Health Nutrition Standards.

• Labelling and Information Standards.

• Offi ce of Legal Counsel and Secretariat.

• Economic, Social Analysis & International.

• Communication.

• Planning & Capability.

• Strategic Science Unit.

• Risk Assessment - Chemical Safety.

• Risk Assessment - Microbiology.

• Risk Assessment - Public Health Nutrition.

• Modelling, Evaluation & Surveillance.

• Primary Production & Food Safety.

• Post Market Operations.

• Corporate.

• Finance.

Partnership with States and Territories

Under a 1991 Inter Governmental Agreement (IGA) between all Australian governments, the States and Territories adopt, without variation, food standards recommended by the National Food Authority (now FSANZ). The purpose of the 1991 agreement was to consolidate responsibility for developing food standards in one specialist agency and to ensure the uniformity of food standards across all States and Territories, which continue to have primary responsibility for enforcing food laws.

On 3 November 2000, COAG signed an Inter Governmental Agreement for a new food regulatory system. The Australian Government and the States and Territories are signatories to the Agreement. The new arrangements required a renegotiation of the Treaty with New Zealand prior to full implementation.

The Australian Parliament passed an amendment Act setting up these new arrangements. The Act came into force on 1 July 2002, following the fi nalisation of the amendments. ANNUAL REPORT 2004 - 2005 107

OUR ACCOUNTABILITY

Partnership with New Zealand

On 1 July 1996, an Agreement to establish one joint food standards system between Australia and New Zealand came into force. The joint arrangement aims to harmonise food standards between the two countries, reduce compliance costs for industry and help remove regulatory barriers to trade in food.

The Agreement does not cover maximum residue limits, food hygiene provisions and export requirements relating to third country trade. It also contains provisions that allow New Zealand to opt out of a joint standard for exceptional reasons relating to health, safety, environmental concerns or cultural issues. In such cases, FSANZ may be asked to prepare a variation to a standard to apply only in New Zealand.

The Agreement between Australia and New Zealand to develop joint food standards requires that FSANZ and the New Zealand Minister of Health conclude a funding and performance agreement. This agreement details the services FSANZ is to provide and includes quarterly performance reporting, details of New Zealand’s contribution and the payment schedule. A new Partnership Agreement for 2004-2007 was negotiated during the year.

Advisory Groups and Committees

FSANZ works closely with the key bodies established under the intergovernmental Food Regulation Agreement. Details of our involvement are reported in more detail in the section of the report under ‘Our Stakeholders’.

Service Charter

FSANZ’s Service Charter sets out our roles and responsibilities and those of other food agencies and industry bodies. The Service Charter also provides details on the nature of services we provide, our statutory obligations with regard to food standards setting and our commitment to perform our functions in an open and transparent manner. The Charter is also a way of assisting people to participate in the food standards system.

Information on our Service Charter and complaints handling mechanism may be found on our website. No formal complaints were referred for action through our offi cial processes during the year.

Strengthen and enhance our corporate governance arrangements

We seek to do this by reviewing and amending or supplementing, as necessary, our corporate governance policies and practices. 108 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Our performance is measured by the level of compliance with external reporting requirements (including departmental fi nancial reporting), the extent to which our management reporting and planning processes track progress against agency priorities, and the effectiveness of our strategic issues management.

Our Accountabilities

FSANZ is a statutory authority. It is accountable to the Australian people through the Australian Government.

FSANZ is subject to the Commonwealth Authorities and Companies (CAC) Act 1997 which provides specifi c levels of accountability as well as a planning and reporting framework.

As an Australian Public Service agency, our relationship with the Australiam Government and the Parliament is a key element of our accountability and governance framework.

The Government and Parliament

We have a number of policies and practices in place to manage the interaction with Ministers and their offi ces in order to ensure quality services, to manage the workload effi ciently and to meet our statutory obligations. As to be expected, the level of contact with the Ministerial Offi ce increased during the year with the appointment of a new Parliamentary Secretary, the Hon Christopher Pyne, and new ministerial advisers.

The majority of contact with the Parliamentary Secretary’s offi ce concerns the provision of program related information, parliamentary related functions, and the provision of public affairs support to the Parliamentary Secretary. We provide the Parliamentary Secretary’s Offi ce with a weekly ‘Hot Issues’ report.

We use a number of quality control and evaluation measures in meeting our obligations to responsiveness to Ministers. Our quality control measures include:

• a central coordination function for the quality assurance of material to and from the Minister’s and Parliamentary Secretary’s offi ce;

• policies and protocols on the minimum classifi cation level for signing off Ministerial briefs;

• a policy and protocol on the minimum classifi cation level for phone contact with Ministerial advisers; and

• policies on record keeping in relation to interactions with ministerial offi ces.

Regular feedback from Ministers and their staff is highly desirable and there are a number of mechanisms in place that provide feedback. Our evaluation includes: ANNUAL REPORT 2004 - 2005 109

OUR ACCOUNTABILITY

• internal peer review of written briefi ng material; and

• formal Ministerial feedback is provided through the Department’s Parliamentary and Public Affairs unit.

FSANZ Performance – Ministerial Briefi ngs and Correspondence

Ministerial Replies

On Time 1 Day 2 Days <=4 Days <=7 Days <=14 NFA/ Total Late Late Days INFO

11763332053

21% 13% 11% 6% 6% 6% 37% 100%

All Ministerials On Time 1 Day 2 Days <=4 Days <=7 Days <=14 NFA/INFO Total Late Late Days 367654540103 35% 7% 6% 5% 4% 5% 38% 100%

Minutes Summary Sent to MO Returned from Excellent Good Unsatisfactory Percentage MO satisfactory 14 12 12 100%

Briefi ngs Summary Received Sent to MO Sent Late % Sent Late 64125%

Parliamentary Questions on Notice Received On Time 44

Senior staff appeared before Senate Estimates on two occasions during the year. We took steps to ensure that managers understood their rights and responsibilities and accountability obligations in relation to the Parliament.

Approximately 20 staff attended an in-house training seminar on Parliamentary Procedures provided by the Department of Health and Ageing. In addition, three members of staff attended courses provided by the Department of the House of Representatives. Our legal staff regularly attend seminars organised by the Australian Government Solicitor’s Government Law Group as well as attending the Freedom of Information Practitioners Forum. 110 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Board of Directors

FSANZ has a 12 member Board appointed by the Australian Government Minister for Health and Ageing following consultation with the States and Territory Ministers. Members of the Board have been drawn from specialist areas – public health, food science, human nutrition, consumer affairs, food allergy, medical science, microbiology, food safety, biotechnology, veterinary science, primary food production, the food industry, food processing or retailing, small business, international trade, food regulation, consumer rights and consumer affairs policy, the National Health and Medical Research Council (NHMRC) and government. All members are part-time except the Chief Executive Offi cer. (Refer to Appendix 12 for a list of Board members, their qualifi cations and their attendance at Board meetings).

The Chairman and Board members were appointed on 1 July 2002. Directors are appointed for varying terms. Professor Chris Hudson, Associate Professor Heather Yeatman, Professor Kerin O’Dea and Professor Ken Buckle retired at 30 June 2005.

The Board meets at least fi ve times a year and also convenes through teleconferences to discuss urgent issues. Outcomes of FSANZ Board meetings are published regularly on the FSANZ website.

The Board is supported administratively by the FSANZ Secretariat. During the year this included 5 meetings, 3 teleconferences, and 2 community forums.

FSANZ has well-established procedures in place to ensure that confl icts of interest issues are addressed prior to Board consideration of any issue. A register of interests is maintained and is available for public scrutiny on our website.

Finance, Audit and Risk Management Committee

The Board’s Finance, Audit and Risk Management Committee comprise four Board members. The General Manager, Food Safety & Services is the Secretary. The Committee has principal responsibility for overseeing FSANZ’s corporate governance arrangements, including fi nancial management, internal audit and risk management and compliance systems. It approves an annual internal audit program based on a risk analysis of our corporate arrangements and advises the Board in relation to fi nancial management within FSANZ (Refer Appendix 12 for members of the Finance, Audit and Risk Management Committee and their attendances at meetings this year).

Board Charter

In 1999-2000 ANZFA developed its fi rst Board Charter, in accordance with the Australian National Audit Offi ce (ANAO) better practice guidelines that were current at the time. Since then, corporate governance in Australia has advanced considerably. ANNUAL REPORT 2004 - 2005 111

OUR ACCOUNTABILITY

FSANZ routinely reviews its corporate governance framework and monitors corporate and government advances in this fi eld. In recent years increased emphasis has been placed on the assessment of Board performance. As part of that process and in light of an ANAO Guidance paper on the assessment of Board performance, the Board reviewed its Charter and endorsed a revised document. This is available on our website.

Senior management

Management coordination is undertaken through the Executive and the Management Group (MGM). The Executive, consisting of the Chief Executive Offi cer, the Chief Scientist and General Managers, meets weekly. The Executive’s role is to provide leadership, stewardship and control of the organisation. It manages the implementation of the statutory functions of the organisation consistent with the strategic priorities set by the Board.

The Management Group, comprising Section Managers as well as the Executive, meets weekly. The Management Group provides for a two-way information fl ow between section managers and the Executive on our progress against strategic directions, day-to-day management and the coordination of section activities. It also promotes information fl ow between sections and the co-ordination of cross-section functions.

Section Managers, and their General Managers, are responsible for supervising the activities of Section staff to ensure milestones are met, budgets and staffi ng resources are appropriately utilised and the section outputs contribute effectively to our goals and outcomes.

A multi-disciplinary team manages each application and proposal for varying the Code. The teams are headed by project managers, chosen for their particular expertise and experience. The multi-disciplinary teams typically have scientifi c expertise from a variety of disciplines, and social/economic analysis, legal and communication skills. Other non-standards work is progressed collaboratively through the formation of cross-section teams. 112 FOOD STANDARDS AUSTRALIA NEW ZEALAND

The Senior Executive

FSANZ has a fi ve member Executive team comprising:

Mr Graham Peachey – Chief Executive Offi cer

As Chief Executive Offi cer, Mr Peachey is responsible to the Board for the effi cient administration of FSANZ and, in conjunction with the FSANZ Board, for the corporate and strategic directions of the organisation.

Dr Marion Healy – Chief Scientist

As Chief Scientist, Dr Healy has executive responsibility for FSANZ’s scientifi c work and the risk assessment of hazards affecting public health safety, FSANZ’s data collection activities, development of collaborative relations with scientifi c institutions and the program that evaluates the impact of FSANZ’s standard setting activities.

Ms Melanie Fisher – General Manager

As General Manager, Food Standards (Canberra), Ms Fisher is responsible for the risk management functions associated with the development of food standards that primarily address health and safety matters as well as for the agency’s legal, communication, consultation and regional activities. She is also responsible for coordinating FSANZ’s relations with international food regulatory bodies and for the provision of Board services.

Ms Claire Pontin – General Manager

As General Manager, Food Safety & Services, Ms Pontin is responsible for the development of primary production and processing standards and food safety standards, coordination of enforcement, compliance and recall activities, risk assessment for imported foods and has senior management responsibility for corporate services, fi nancial management and corporate governance arrangements.

Mr Dean Stockwell – General Manager

Mr Stockwell is General Manager, Food Standards (Wellington). He is responsible for the risk management functions associated with the development of food standards that primarily address labelling and information matters. He is the senior FSANZ representative in New Zealand.

Performance bonuses

6 senior executive (SES) staff received performance bonuses totalling $36,165.66 and 23 managers received performance payments totalling $98,032.33 during the year. ANNUAL REPORT 2004 - 2005 113

OUR ACCOUNTABILITY

Financial management

FSANZ prepares accrual accounting fi nancial statements in accordance with the Department of Finance and Administration’s Guidelines for Commonwealth Authorities and Companies. The Australian National Audit Offi ce performs an annual audit of these statements.

All managers are responsible for ensuring appropriate use of resources. During the year senior managers undertook training in fi nancial management. Under FSANZ’s organisational structure, fi nancial reporting and management are coordinated by the Finance section.

Four Year Financial Plan

Each year FSANZ revises its forward fi nancial plan. During the year the Board considered it was timely to undertake a major review and commissioned Deloittes to assist in revising the plan. In particular, it was recognised that there was a need to make some changes to our fi nancial arrangements to address the competing pressures of fi xed future annual revenues and increasing workloads and costs. Details are covered in the Corporate Overview section at the beginning of this report.

Internal and external scrutiny

Our performance in achieving our Accountability goals is measured, in part, by the level of compliance with external reporting requirements. Commonwealth public sector agencies have numerous accountabilities to external agencies, ranging from the Parliament and its many committees to the Auditor General, the Commonwealth Ombudsman, the Administrative Appeals Tribunal and the courts;

FSANZ’s external accountability requirements are acquitted through a variety of means:

• annual report to Parliament;

• the provision of detailed budgetary information through the Portfolio Budget Statements tabled in Parliament;

• monthly reporting of fi nancial performance to the Department of Finance and Administration and to the Department of Health and Ageing;

• the examination of our accounts by the Auditor-General; and

• performance audit reports by the ANAO.

Key elements of FSANZ’s internal corporate governance arrangements include:

• a Board Charter setting out the objectives, roles and powers of the Board;

• internal audit and review processes and functions; 114 FOOD STANDARDS AUSTRALIA NEW ZEALAND

• documentation of the objectives, roles and powers of other committees (e.g. FARMC, Remuneration);

• risk management;

• corporate and business planning arrangements;

• performance planning, monitoring and reporting;

• a statutory compliance register and report;

• fraud controls and processes;

• rules relating to fi nancial and other delegations;

• policies on handling confl icts of interest and standards of professional and ethical behaviour; and

• various internal operating policies and procedures.

FSANZ will continue to work to ensure clarity of roles and clarity of communications about decisions and actions. We recognise that the food regulatory environment is complex and have taken steps during the year to clarify our role and assist our stakeholders in achieving a better understanding of our role and responsibilities.

Internal Audit / Risk Management

The Finance, Audit and Risk Management Committee (FARMC) oversees our fi nancial management, internal audit, risk management practices and our corporate governance arrangements.

Our internal audit activity over a three-year period is based on the risks we face, derived from the risk assessment process (including risk management and fraud prevention) and those audits required to provide assurance over the effectiveness of internal controls.

Walter Turnbull were the contracted suppliers of internal audit services to FSANZ during 2004-2005 and conduct a number of internal audit reports based on the three-year Strategic Internal Audit Plan. Reports are provided to the Board along with management comment. All internal audit recommendations made are tracked, monitored and the Board regularly updated on progress regarding implementation.

During the year Walter Turnbull conducted the following internal audit reports: ANNUAL REPORT 2004 - 2005 115

OUR ACCOUNTABILITY

Internal Audit Report into the Food Recall System

An audit of the Food Recall System was conducted in accordance with the approved Strategic Internal Audit Plan . The report refl ected positively on FSANZ’s current procedures and practices and confi rmed that action being taken met all legislative requirements.

Internal Audit Report on the Standards Management System

An audit of the Standards Management System refl ected positively on the development of the Standards Management System. The system has already reaped cost savings and has the potential to achieve not only additional savings but provide a transparent interface for stakeholders when fully developed.

Internal Audit follow up of the Travel Policy and Arrangements with FSANZ

The internal audit reported positively on FSANZ’s current procedures and processes. The report noted that FSANZ has been proactive with the implementation of the original review completed in 2003.

Annual Report Processes and Procedures

An audit of FSANZ’s Annual Report Processes and Procedures focussed on the preparation of the 2003-2004 Annual Report. The annual report was produced in accordance with the guidelines set out by the Department of Prime Minister and Cabinet and the Australian National Audit Offi ce.

The audit noted that the preparation and content of the 2003-2004 Annual Report was signifi cantly different to the procedures of previous years and that the amendment has signifi cantly enhanced the annual report. However, the audit found that there is not an implicitly clear linkage between the performance measures, the Portfolio Budget Statement and the stated outcomes and outputs of FSANZ. The audit also noted that there was scope for improvement with regard to performance reporting on the contribution FSANZ makes to shared outcomes.

Corporate Governance Processes – Follow Up Review

A follow up audit on FSANZ’s Corporate Governance processes concluded that the corporate governance processes within FSANZ continue to function in an effi cient and effective manner and are largely consistent with what is seen to be better practice throughout Australian government agencies. 116 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Follow up on Information Technology Security Arrangements

A follow up audit of Information Technology Security Arrangements concluded that the IT security function at FSANZ continues to function in an effective and effi cient manner to address the risks faced by the Authority. The review did highlight, however, that there remains scope for further improvement in the documentation of current practices to ensure a robust control framework is governing the function.

Follow Up of Contract Management

The audit formed the view that the contract management function remains governed by an effective control framework and continues to operate in an effi cient and effective manner.

Risk Management Arrangements

The FSANZ Board endorsed a risk management policy for the Authority in April 2000. This policy is currently under review in light of the organisational restructure carried out in 2004 and the recent revision to the Australia/New Zealand Standard on Risk Management 4360:2004.

Comcover undertakes an annual survey of agencies risk management practices in which each agency is measured against a series of key performance indicators. As an incentive to participate agencies are given a discount of up to 5% of their Comcover premiums depending on how well they perform. In 2004-2005, in recognition of the improvements achieved in its risk management practices, FSANZ was awarded a rating of 4 by Comcover. This placed FSANZ in the top group for small agencies and, as a result, received the full 5% discount on its Comcover premiums.

An area in which we performed particularly well was the development and application of our risk assessment/risk management framework introduced for the assessment of Applications and Proposals. FSANZ achieved a maximum score. As a result of this we were invited to make a presentation at the inaugural Comcover Champions Forum on our risk management practices as a way of assisting other agencies to develop their own risk management frameworks.

Following the identifi cation that not all areas of risk management within FSANZ had been handled as well in 2003-2004, we made signifi cant improvements in those areas so that we are now equal to or above other similar agencies. Areas improved include business continuity planning, non-insurance risk transfer (where risks are transferred to a contractor rather than retained by us), the monitoring of resources and the measurement of performance.

Our business continuity planning is well advanced, but not completed, and monitoring of our fi nancial performance is being improved (refer item above). Performance measurement is a ANNUAL REPORT 2004 - 2005 117

OUR ACCOUNTABILITY

key component of our planning focus and is being addressed over the next two planning cycles.

Business Continuity Planning (BCP)

Work on developing a Business Continuity Plan is well advanced and is being progressed utilising existing in-house resources with assistance from the Department of Health and Ageing. We have previously reported to the Department of Industry, Tourism and Resources that, in the context of the vulnerability of Australian Government operations to a disruption in electricity supplies in the ACT, we do not have any critical functions. We do, however, need to ensure that interruptions to key aspects of operations are minimised and business operations restored in a timely and prioritised manner.

In developing a BCP it is anticipated that the focus will be on the key business processes associated with the safety of our people, the availability of appropriate facilities, the retention and access to information and data services, and communication.

We expect work to be completed by the end of calendar year 2005.

Fraud Control Plan

We reported last year that our Fraud Control Plan was under review. Consequently, a new Fraud Control Plan for 2004-2006 was developed in accordance with the Australian/New Zealand Standard for Risk Management 4360:1999, and the Australian Standards on Corporate Governance (AS8000-8004).

The Fraud Control Plan provides an analysis of the Authority’s exposure in relation to fraud risk and involves the identifi cation of current and potential risks and an assessment of the adequacy of the control environment in reducing these risks. This is captured in the Fraud Control Plan in accordance with the requirements set out in the Commonwealth Fraud Control Guidelines and the risk assessment report included in the body of the Fraud Control Plan.

Through the risk assessment process and discussions with key staff, it was determined that FSANZ is operating in a risk averse environment. The control structure was considered in all cases to be suffi ciently robust to mitigate the inherent fraud and information disclosure risks to an acceptable level.

Business Planning & Management

FSANZ’s business planning processes start with the development of the Corporate Plan. FSANZ has adopted a planning approach that links the various elements of the process into an integrated planning framework. Critical and strategic issues are identifi ed through 118 FOOD STANDARDS AUSTRALIA NEW ZEALAND

formalised environmental scanning and analysis and a three-year Corporate Plan developed. Once the Board has approved the Corporate Plan, it forms the basis of our internal business management arrangements.

The key result areas specifi ed in the Corporate Plan are cascaded down through the organisation. This involves the development of Branch business plans addressing each of the key result areas, section level work plans and individual work plans and performance agreements. These work activities are refl ected in our budget and our Chart of Accounts.

The Chief Executive Offi cer regularly reviews performance against Branch business plans and the Chief Scientist and General Managers manage and review performance of section work plans and budgets. At each Board meeting, the Board considers reports from management on the Standards Work Plan, progress against Strategic Directions and expenditure against approved budgets.

Our current Corporate Plan covers the period 2003-2006 and we will need to develop a new Plan for the period 2006-2009. This will be developed in fi nancial year 2005-2006. We worked closely with the Department in the lead up to the preparation of the Portfolio Budget Statement to ensure that our performance indicators were appropriate. A key challenge for us is to ensure that performance targets identifi ed in a new Corporate Plan are integrated with the next Portfolio Budget Statement and with our internal planning processes.

Purchasing (including Assets Management)

We continue to recognise the fraud risks associated with the management of assets and have purchased a new asset management system. This new system will enable the recording of all leased equipment in addition to the attractive and portable items and capitalised assets registers that already exists. In review of our Fraud Control Plan 2004-2006, Ernst & Young assessed that the existing controls were adequately addressing the risk of fraud.

Consultants and competitive tendering and contractors

We spent $760,106 on consultants during the year of which $715,106 was spent on individual consultancies in excess of $10,000. Consultants were used to provide scientifi c or technical advice in support of our standards development work, to facilitate business and organisational planning, and to provide advice on aspects of our fi nancial and accountability measures.

A list of consultants used is at Appendix 10. ANNUAL REPORT 2004 - 2005 119

OUR ACCOUNTABILITY

Performance Measurement Tools

Last year we reported that our previous nine key result areas had been consolidated into four. While this provided a more manageable framework for a range of reporting structures and mechanisms we still have some way to go to better align our internal and external performance measures.

We recognised (as reported last year) that the challenge for us was to ensure that the revised key result areas were effectively implemented throughout all levels of the agency. Our integrated planning system specifi cally links agency objectives and performance with Branch, Section and individual achievements and performance. Particular effort was put into ensuring a tight linkage between the Key Result Areas and individual performance management plans.

Like many other Commonwealth agencies we continue to be challenged by the need to develop and implement appropriate performance management, measurement and reporting mechanisms. The Senate Community Affairs Legislation Committee recently commented (March 2005) that our performance reporting could be improved and the internal audit report into last year’s annual report also highlighted a number of performance measurement and reporting issues that need to be addressed.

We see the development and implementation of a robust performance measurement and management system as one of our key accountability objectives for the year ahead.

Management reporting and planning processes

Progress against our strategic directions is reported at each Board meeting. The Strategic Directions Report provides a progress report on the major activities against each key result area.

Strategic issues management

We use a number of tools to identify and manage strategic issues. We employ environmental scanning to identify a range of socio-economic, political and environmental trends that could impact on our business. These trends are factored into our planning processes at a Board and senior management level. This year we expanded our approach to strategic issues management and now report regularly to the Board on emerging science issues. 120 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Ensure clear understanding of our responsibilities / accountabilities in delivering statutory obligations

We will do this by developing new systems and processes to clarify and strengthen management accountabilities and performance expectations, by strengthening communication and understanding of our direction, accountabilities and performance expectations, and by reinvigorating the staff Performance Enhancement Scheme to ensure personal goals and work plans are effectively linked to corporate goals and work plans. Our performance will be measured by the extent to which staff performance agreements are directly linked to corporate priorities.

New systems and processes

During the year we introduced or modifi ed new systems and processes to clarify and strengthen management accountabilities and performance expectations. This included the implementation of improved fi nancial management systems and reports and the further development of our Standards Management System (SMS).

Improved Financial Management Systems & Reports

During the year we commenced a process of overhauling our fi nancial management systems in three key areas – fi nancial planning, fi nancial management and internal fi nancial reporting. A major review was undertaken of FSANZ’s Four Year Plan. Deloittes assisted in this process. Details are reported under the Corporate Overview section. The fi nancial management framework was strengthened by the development of a set of internal practice manuals to guide the activities of fi nancial staff.

We undertook work to improve the information available to managers to assist in managing their fi nancial resources. New reporting arrangements were developed to ensure that fi nancial information meets the requirements of effectiveness, effi ciency, timeliness and appropriateness.

Our fi nancial reporting was enhanced through the adoption of variance reporting and analysis. Variances between actual and planned fi nancial results are now examined on a monthly basis. Reports now contain more detailed information including commentary on results and the expected impact on future periods.

We commenced work, with the assistance of Maxim Chartered Accountants, in developing a range of non-fi nancial information to complement our existing performance reporting processes. Maxim’s also assisted us in developing a time recording system more aligned to our current requirements. This will facilitate information collection in relation to cost recovery, tied monies and other areas where full time recording is needed. ANNUAL REPORT 2004 - 2005 121

OUR ACCOUNTABILITY

eSystems

Our Standards Workplan Management System (SMS) is a key business application and, as previously reported, is both cost effective and effi cient. Two upgrades to the SMS were completed during the year to provide enhancements or corrections found to be necessary after the roll out. These enhancements have improved the effi ciency of the operation of the database. A further major upgrade is planned in 2005-2006 to take into account staff suggestions for the improvement of the system.

Staff were provided training in the use of SMS and its application in the day-to-day management of standards development. SMS provides quick and easy accessibility to accurate and detailed information about standards development for all staff.

We also took steps during the year to further develop our stakeholders Contacts Database System (CDS) to enhance and extend its capacity. The CDS has over 24,000 stakeholders entered on the system.

We have plans to develop a more integrated eSystems framework to improve electronic access to our standards development data via the FSANZ website. It is envisaged that there will be limited public access to the SMS database as well as public access to submissions and Applications.

Cost Recovery

FSANZ has a number of business operations subject to cost recovery arrangements. We recover costs from applications that have an exclusive capturable commercial benefi t or where applicants have opted to generate priority consideration of their application. Cost recovery arrangements are enshrined in the FSANZ Act and Regulations.

An internal audit report into FSANZ’s current cost recovery arrangements reported positively and that they complied with the Commonwealth’s Regulatory Agency Guidelines for Cost Recovery. The report did make some recommendations for change and these are being addressed in proposed new cost recovery arrangements.

Record Keeping

The maintenance of effective record keeping systems helps us ensure that we are openly accountable for our actions within the framework of ministerial responsibility to the Government, the Parliament, and the public.

We have a Records Management Policy that refl ects the requirements of Commonwealth legislation and other offi cial guidelines. Our records management procedures are based on the records management policy and guidelines approved by the Chief Executive Offi cer in September 2003. 122 FOOD STANDARDS AUSTRALIA NEW ZEALAND

During the year we undertook a review of our record keeping systems using the Designing and Implementing Record Keeping Systems (DIRKS) methodology. Staff were provided with in-house training and also have access to information that enables them to meet their record keeping responsibilities.

Communicating our direction, accountabilities and performance expectations

We have identifi ed the need to strengthen communication and understanding of our direction, accountabilities and performance expectations. The need to improve internal reporting systems and develop new management information systems received some attention during 2004-2005.

Quarterly Review

As part of an initiative to bring a more structured approach to our planning and fi nancial management processes the Executive meets quarterly to review the fi nancial and operational performance of the organisation. The Quarterly Review complements the monthly fi nancial reporting already in place.

Performance Enhancement Scheme

In order to improve our performance we constantly seek to improve the quality and productivity of our processes, products and services. A staff Performance Enhancement Scheme (PES) is part of that process. The scheme applies to all employees.

The primary uses of the PES are to identify work expectations, provide feedback and to assist in the planning of individual development consistent with FSANZ’s priorities and corporate vision and values. It is also used to determine entitlements to incremental salary progression within the classifi cation level and to determine the level of performance pay for employees covered by performance pay arrangements. The current scheme is under review in an effort to align it better with our planning documents and with the new values and capabilities framework being developed. ANNUAL REPORT 2004 - 2005 123

APPENDIX 1

Appendix 1 - Finalised projects from 1 July 2004 – 30 June 2005

Gazettal of amendments to the Australia New Zealand Food Standards Code (the Code) occurs throughout the year after the Ministerial Council notifi es FSANZ that it does not need to review its decision on a Standard or a variation to a Standard, or, if after a Second Review by FSANZ, the Ministerial Council accepts or amends a draft variation. Each Gazette is sequentially numbered.

Gazetted amendments to the Code

Gazetted amendments to the Australia New Zealand Food Standards Code relate to the following Applications and Proposals.

Amendment 73 (5 August 2004)

A503 – Collagen, Processing Aids for Wine

To permit the use of collagen as a processing aid during the production of wine.

A510 – MRLs (August, September, October 2003)

Maximum residue limits (MRLs) for certain agricultural and veterinary chemicals in the Code.

P281 – Anomalies in Standard 1.4.2 – Maximum Residue Limits

To amend Standard 1.4.2 – Maximum Residue limits, to correct inadvertent anomalies between the residue limits set for agricultural and veterinary chemicals by the Australian Pesticide and Veterinary Medicines Authority and Standard 1.4.2.

Amendment 74 (Gazetted 14 October 2004)

A491 – Resistant Maltodextrin as Dietary Fibre

To recognise resistant maltodextrin (RMD) as a dietary fi bre and to include a specifi c method of analysis for dietary fi bre in foods containing RMD.

A505 – Diacylglycerol Oil

To approve the use of diacylglycerol oil (DAG –oil) as a novel food under Standard 1.5.1- Novel Foods of the Food Standards Code. 124 FOOD STANDARDS AUSTRALIA NEW ZEALAND

A506 – Maximum Residue Limits-Florfenicol (Antibiotic)

The APVMA applied to FSANZ for the addition of Maximum Residue Limits (MRLs) for cattle and pig commodities, for the antibiotic fl orfenicol into the Code.

A520 – Maximum Residue Limits (November, December 2003)

The APVMA applied to FSANZ to amend Maximum Residue Limits (MRLs) for non-antibiotic agricultural and veterinary chemicals in the Code.

A521 – Maximum Residue Limits – Lasalocid (Antibiotic)

The APVMA applied to FSANZ for the establishment of Maximum Residue Limits (MRLs) for poultry commodities, for the antibiotic lasalocid into the Code.

P264 – Review of Gluten Claims with Specifi c Reference to Oats and Malt

To allow for a ‘gluten free’ claim to be used where the food contains no detectable gluten and no oats or malt in the product and a ‘low gluten’ claim may be used if the food contains less than 20gof gluten per 100g. oats and malt.

P278 – Use of Nicotine and Nicotiana Species in Food

To restrict the addition of nicotine to food.

Amendment 75 (Gazetted 15 December 2004)

A494 – Alpha-Cyclodextrin as a Novel Food

To approve the use of alpha-cyclodextrin as a novel food. Alpha cyclodextrin is a cyclic polysaccharide that performs a number of technological functions (e.g. carrier for natural colours, fl avours and vitamins). The main intended use of alpha-cyclodextrin is as a food ingredient, primarily to replace starch or .

A501 – Phospholipase A2 as a Processing Aid (Enzyme)

To approve the use of a new enzyme phospholipase sourced from the microbe Streptomyces violaceonruber as a processing aid.

Amendment 76 (Gazetted 17 February 2005)

A509 – Food derived from Insect Protected Cotton Line COT 102

To approve food derived from a genetically modifi ed (GM) insect-protected cotton Line COT102. ANNUAL REPORT 2004 - 2005 125

APPENDIX 1

Amendment 77 (Gazetted 28 April 2005)

A518 – Food derived from Insect-protected, Herbicide-tolerant Cotton Line MXB-13

To permit the use in food of a genetically modifi ed (GM) insect-protected, glufosinate ammonium-tolerant cotton. Cotton line MXB-13 has been genetically modifi ed for protection against the cotton bollworm, pink bollworm and tobacco budworm.

A526 – Maximum Residue Limits (January, February 2004)

The APVMA applied to FSANZ for maximum residue limits (MRLs) for certain agricultural and veterinary chemicals in the Code.

A538 – Maximum Residue Limits-Benzocaine (Local Anaesthetic)

To reduce the MRLs for the local anaesthetic benzocaine in Schedule1of Standards 1.4.2.

Amendment 78 (Gazetted 26 May 2005)

A493 – Iodine as a Processing Aid

To permit the use of iodine as a processing aid, specifi cally as a washing agent for foods.

A513 – Octanoic Acid as a Processing Aid

To permit the use of octanoic acid as an antimicrobial agent on red meat and poultry carcasses as well as fresh fruit and vegetables.

A522 – DHA-rich Micro-algal Oil from Ulkenia sp. as a Novel Food

To permit the use of DHA-rich micro-algal oil from Ulkenia sp. as a novel food ingredient.

A534 – Maximum Residue Limits (March, April, May 2004)

The APVMA applied to FSANZ for maximum residue limits (MRLs) for certain agricultural and veterinary chemicals in the Code.

A539 – Maximum Residue Limits-Avilamycin (Antibiotic)

To include MRLs for the antibiotic avilamycin for pig meat and pig offal in Schedule 1 of Standard 1.4.2.

P265 – Primary Production & Processing Standard for Seafood

The development of a single, national food safety standard for the primary production and processing of seafood. 126 FOOD STANDARDS AUSTRALIA NEW ZEALAND

P284 – Minor Amendments Omnibus V

To correct minor errors such as inconsistencies and ambiguities, omissions, misspellings and grammatical errors.

Applications and Proposals notifi ed to the Ministerial Council but not gazetted as at 30 June 2005:

A433 – Phytosterol Esters derived from vegetable Oils in Breakfast Cereals

To approve the use of phytosterol esters derived from vegetable oils as a novel food ingredient in the manufacture of fi bre increased bread and breakfast cereal bars.

A434 – Phytosterol Esters derived from vegetable oils in Low Fat Milk and Yoghurt

To approve the use of phytosterol esters derived from vegetable oils as a novel food ingredient in the manufacture of a low-fat milk product and low-fat yoghurt.

A464 – Defi nition of ‘Wholegrain’

To clarify the defi nition of ‘wholegrain’ in Standard 2.1.1.

A469 – Intense sweetener levels in fl avoured drinks

To increase the maximum permitted levels of and cyclamate in water-based fl avoured drinks.

A508 – Phytosterols derived from Tall Oils

To approve the use of Tall Oil Phytosterols (TOPS) as a novel food ingredient in low-fat milk products.

A525 – Food derived from Herbicide-tolerant Sugar Beet H7-1

To approve food derived from a genetically modifi ed (GM) herbicide-tolerant sugar beet, sugar beet line H7-1.

There is currently no permission to grow sugar beet line H7-1 in Australia and New Zealand but food derived from sugar beet line H7-1 may enter the food supply through imported products.

A535 – Maximum Residue Limits – Neomycin (Antibiotic)

To include MRLs for the antibiotic neomycin in Schedule 1 of Standard 1.4.2. ANNUAL REPORT 2004 - 2005 127

APPENDIX 1

A541 – Maximum Residue Limits (June, July, August 2004)

To amend Schedule 1 of Standard 1.4.2 to allow for maximum residue limits (MRLs) for certain agricultural and veterinary chemicals in the Code.

P297 – Maximum Residue Limit 2,4-D for Grapes

To update the Code to refl ect the proposed use of 2,4-D in vineyards in Australia 128 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Appendix 2 – Applications and Proposals Processed

Section 69 of the Food Standards Australia New Zealand Act 1991 (FSANZ Act) requires FSANZ to report on its processing of applications and proposals in the following manner:

(a) The number of Applications made to FSANZ under section 12 of the FSANZ Act in 2004-2005:

23

(b) The number of Applications so made that were disposed of during 2004-2005 and the manner of their disposal:

(i) 0 were withdrawn by the Applicants;

(ii) 0 were rejected by FSANZ;

(iii) 0 were fi nalised and notifi ed to ANZFRMC;

(iv) 0 were considered after a request for a review and notifi ed to ANZFRMC; and

(v) 23 were either placed on the standards Work Plan as provided under section 10A, or being progressed as at 30 June 2005.

In addition, during 2004-2005, FSANZ progressed 62 Applications received prior to 1 July 2004:

(v) 6 were withdrawn by the Applicant;

(vi) 2 were rejected by FSANZ;

(vii) 24 were fi nalised and notifi ed to ANZFRMC;

(viii) 3 were considered after a request for a review and notifi ed to ANZFRMC; and

(ix) 26 were still being progressed as at 30 June 2005.

(c) The number of Proposals made by FSANZ under section 12AA of the FSANZ Act during 2004-2005:

8

(d) The number of Proposals so made that were disposed of during 2004-2005 and the manner of their disposal:

(i) 0 were abandoned by FSANZ;

(ii) 1 were fi nalised and notifi ed to ANZFRMC; ANNUAL REPORT 2004 - 2005 129

APPENDIX 2

(iii) 0 were considered after a request for a review and notifi ed to ANZFRMC; and

(iv) 7 were still being progressed as at 30 June 2005.

In addition, during 2004-2005, FSANZ progressed 7 Proposals prepared prior to 1 July 2004:

(v) 1 was abandoned by FSANZ;

(vi) 4 were fi nalised and notifi ed to ANZFRMC;

(vii) 1 was considered after a request for a review and notifi ed to ANZFRMC; and

(viii) 14 were still being progressed as at 30 June 2005.

(e) Any occasion during that year that FSANZ, after preparing a draft standard or a draft variation of a standard, failed to make a decision under section 18 of the FSANZ Act within the period required under section 35 and a statement of the reasons for that failure; and

A493 A Final Assessment was made by the Board on 10 March 2005. A combination of factors, causing signifi cant delays in progressing the Application contributed to FSANZ’s failure to complete the assessment of the Application by its due date of 3 February 2005. The most signifi cant contributor to the delay was been the dietary modelling, which had proved to be far more complex than initially anticipated. See (f) below for further detail.

It is proposed that FSANZ undertake a review of the extent of use of iodine as a processing aid three years from the date of gazettal to confi rm that the market share assumptions used in the dietary modelling were valid. This should allow suffi cient time for the technology to become established. Both industry surveys and food composition analysis could be used to inform such a review.

(f) Extensions of time FSANZ granted under subsection 35(2) of the FSANZ Act during 2004-2005 and the reasons for those extensions:

A464 (6 months) A combination of factors caused delays at the Draft Assessment stage for the Application, necessitated the extension to the statutory time required to complete the assessment. These factors included resourcing issues.

A470 (6 months) The extension was required due to the exceptionally large volume of work required to be completed, particularly in relation to the risk 130 FOOD STANDARDS AUSTRALIA NEW ZEALAND

assessment of the 23 vitamins and minerals, and the numerous food additives being requested.

A489 (6 months) The delay in progressing the Application to the Draft Assessment stage arose due to the requirement to prioritise work within the Labelling and Information Standards Section, specifi cally as a result of the exceptionally large workload associated with Proposal P293 – Nutrition, Health and Related Claims.

A493 (6 months) A combination of factors, causing signifi cant delays in progressing the Application, necessitated the extension to the statutory time required to complete assessment. The most signifi cant contributor to the delay was the dietary modelling, which has proved to be far more complex than initially anticipated. A large amount of preliminary work had to be undertaken in order to establish a baseline level for iodine intake. This proved diffi cult because of the dearth of available information on the iodine content of foods in Australia and New Zealand, and several iterations were required as further data was located. Much of the risk assessment work (nutrition and safety) could not be completed until the fi nal results of the dietary modelling were available. The residue data provided by the Applicant was also inadequate.

Because of the delays experienced in progressing this Application, the Draft Assessment ran concurrently with the Draft Assessment of Application A528 – Maximum Iodine Limit in Formulated Supplementary Foods for Young Children. As both Applications potentially involved an increase to dietary iodine intake, additional work had to be undertaken to ensure the dietary modelling for each Application factored in the proposed use of iodine in the other Application.

A499 (6 months) As part of the preparation for the Draft Assessment, Food Science Australia undertook an evaluation of the documentation provided by the French Government in its Application to assess the adequacy of the HACCP plan for Roquefort cheese produced from raw sheep milk in order to establish if a safe product can be consistently produced. This evaluation identifi ed some data gaps and an informal request was forwarded to the French Government for further information.

The French Government was unable to meet the requested deadline due to a combination of the summer holiday period in France and a change of personnel dealing with the Application. After receipt of this ANNUAL REPORT 2004 - 2005 131

APPENDIX 2

information, additional information was required resulting in a further delay in progressing the assessment.

A516 and A517 These two Applications were originally paid Applications and work (6 months) commenced on the date the Initial Assessment fees were received. The Initial Assessment was completed on 29 January 2004, however, the Applicant subsequently requested that the Application be moved from Group 3 (cost-recovered) to Group 2 (non-cost recovered) on the FSANZ Work Plan. Consistent with other Group 2 applications, the 12-month statutory timelines commenced from date the Initial Assessment was made.

In order that FSANZ did not displace other unpaid Applicants in Group 2, work recommenced on both the Applications in 2005. However, as the 12-month statutory time continued to count until the re-commencement of work on the Draft Assessment, the extension was necessary to enable FSANZ suffi cient time to complete the assessment of both Applications.

A525 (6 months) This Application was received in January 2004 during the period of restructure within FSANZ. Due to the workload for similar GM food applications at that time, as well as other non-GM food-related applications work, there were no internal FSANZ staff with the appropriate skills and experience available who could assess the safety of this GM food. The safety assessment for this Application was therefore outsourced to contractors. This process required FSANZ to undertake the normal public tender processes, including developing the terms of reference for the tender, advertising, collating responses, selecting the successful contractors, negotiating the contract and liaising with the contractors to undertake the work. Due to the time delay to complete the tender process, an extension was required.

A528 (6 months) This Application is closely related to Application A493 above and the same reasons for an extension apply.

A533 (6 months) Due to staff illness and a heavy workload for similar GM food applications, in addition to other non-GM food-related applications work, no FSANZ staff were available with the appropriate skills and experience who could assess the safety of this GM food within the required timeframe.

A537 (6 months) At Draft Assessment, FSANZ proposed a reduction in maltitol’s energy factor from the current 16 kJ/g to 12 kJ/g. Two submitters to the Draft 132 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Assessment, one notably from an international expert, challenged the proposed 12 kJ/g value by providing additional scientifi c evidence. This additional information was assessed and FSANZ determined that the comments made by submitters were, in part, justifi able. A recalculation of maltitol’s energy factor was revised downwards.

To ensure procedural fairness, the Applicant was notifi ed of the recalculated energy factor and given an opportunity to provide any countering scientifi c information. The Applicant required several months beyond the original due date for a response to ensure that that the energy factor calculations for maltitol could be properly resolved.

(g) The number of applications made to the Administrative Appeals Tribunal during 2002-2003 for a review of a decision made by FSANZ.

Nil

(h) The results of the applications made to the Administrative Appeals Tribunal that were determined during that year:

Nil

(i) The number of standards made under the FSANZ Act during 2004-2005:

23 (this includes both standards and variations to standards gazetted)

(j) The number of draft standards and draft variations approved during 2004-2005 under:

(i) section 18 of the FSANZ Act; or

29

(ii) subsection 26(1) of the FSANZ Act

(k) The number of occasions during that year when requests were made under section 21 of the FSANZ Act for a review of a draft standard or draft variation:

7

(l) The number of occasions during that year when requests were made under section 22 of the FSANZ Act for a review of a draft standard or draft variation:

1

(m) The number of occasions during that year when a draft standard or draft variation was rejected under section 23 of the FSANZ Act:

Nil ANNUAL REPORT 2004 - 2005 133

APPENDIX 2

(n) The number of occasions during that year when requests were made under section 28A of the FSANZ Act for a review of a standard or variation:

Nil

(o) The number of occasions during that year when requests were made under section 28B of the FSANZ Act for a review of a standard or variation:

Nil

(p) The number of occasions during that year when a standard or variation was revoked or amended under section 28C of the FSANZ Act:

Nil

(q) A summary of policy guidelines notifi ed to FSANZ during 2002-2003 under paragraph 10(2)(e) of the FSANZ Act:

• Nutrition, Health and Related Claims (amendments notifi ed to FSANZ on 2 July 2004)

This Guideline was originally notifi ed to FSANZ on 18 December 2003 and reported in FSANZ’s 2003-2004 Annual Report. The amendment related to a biomarker maintenance claim on food being treated in the same way as an enhancement claim.

• Overarching Policy Guideline on Primary Production and Processing Standards (amendments notifi ed to FSANZ on 2 July 2004)

This Guideline was originally notifi ed to FSANZ on 9 July 2002 and reported in FSANZ’s 2002-2003 Annual Report. Amendments relate to inconsistencies between the Guideline and FSANZ’s statutory requirements and to provide FSANZ the necessary scope to allow for the development of a basic set of food safety provisions for the entire primary production and processing sector.

• Fortifi cation (notifi ed to FSANZ on 2 July 2004)

Ministers have provided guidance on the development of permissions for the addition of vitamins and minerals to food. The Guideline does not apply to special purpose foods, the formulation and presentation of which are governed by specifi c standards in Part 2.9 of the Australia New Zealand Food Standards Code. There is no intention to review the current permissions.

The Guideline does not apply to products that should be or are regulated as therapeutic goods. The Guideline assumes the continuation of a requirement for an explicit permission for the addition of a particular vitamin or mineral to particular categories of foods to be included within the Code, the majority of which are 134 FOOD STANDARDS AUSTRALIA NEW ZEALAND

contained in Standard 1.3.2 – Vitamins and Minerals. The Guideline covers both mandatory and voluntary fortifi cation.

(r) such other matters (if any) as are specifi ed in the regulations:

Not applicable ANNUAL REPORT 2004 - 2005 135

APPENDIX 3

Appendix 3 – FSANZ Processes for Assessing Applications

FSANZ’s process for assessing application

FSANZ’s primary role is developing or amending food standards to ensure the safety of food sold in Australia and New Zealand, to ensure the provision of adequate information to consumers and to prevent misleading or deceptive conduct.

FSANZ work is open for public scrutiny. When developing or changing a food standard, there are generally two rounds of public consultation.

Anyone can make an application to change a current standard or develop a new food standard or code of practice. FSANZ can also initiate the development or review of a standard by raising a proposal. Both follow the same steps (as set out below). Guidelines on how to make an application are available from our Standards Management Offi cer or from the FSANZ web site. Any external application made to FSANZ must be processed within 12 months from date of commencement.

FSANZ continually looks at ways to improve its assessment processes. In recent years a number of changes have been adopted to improve the format of reports and to place greater emphasis on impact or cost/benefi t assessment of regulatory options.

The steps are as follows.

1. Lodging the application

One of the new features of the revised arrangements is the increased level of consideration given to applications and proposals at the early stage to inform interested stakeholders of the issues involved and to provide an opportunity for input into the assessment process prior to the Authority reaching a preferred outcome.

When we fi rst receive an application, preliminary scoping is carried out to determine the complexity or degree of contention of the application and to determine whether the application falls within our area of responsibility. We check the application is not duplicating any other and determine whether or not we have enough information to proceed.

2. Initial Assessment

The Initial Assessment stage (formerly Preliminary Assessment) involves the development of an Initial Assessment Report which, while providing some information to stakeholders, will 136 FOOD STANDARDS AUSTRALIA NEW ZEALAND

be used primarily to stimulate useful input from stakeholders by raising issues and asking questions.

Public submissions are invited through notices in newspapers, Food Standards News, circulars to interested stakeholders and on our website. The newspaper notices appear nationally in The Australian on Wednesdays and in New Zealand, The Dominion, The Press and The New Zealand Herald.

The consultation process is undertaken in line with the Community Involvement Protocol and varied according to the nature of the application.

3. Draft Assessment

After considering any submissions, we make a draft assessment. To do this, we must take into account our statutory objectives under Section 10 of the FSANZ Act and consider any relevant New Zealand standards and any other matters pertinent to the particular standard.

Section 10 Objectives

a. The protection of public health and safety.

b. The provision of adequate information relating to food to enable consumers to make informed choices.

c. The prevention of misleading or deceptive conduct.

In developing or reviewing food standards, the Authority is also required to have regard to the following.

a. The need for standards to be based on risk analysis using the best scientifi c evidence.

b. The promotion of consistency between domestic and international food standards.

c. The desirability of an effi cient and internationally competitive food industry.

d. The promotion of fair trading in food.

e. Any written policy guidelines formulated by the Council and notifi ed to the Authority.

At this stage of the process, FSANZ undertakes most of its standards work. A comprehensive scientifi c risk assessment is undertaken, together with a regulatory impact analysis (incorporating a cost or risk benefi t analysis).

The Board considers the Draft Assessment Report and, if endorsed, it is released as a public document. The report is posted on the web and stakeholders advised of its availability.

The report includes a draft proposed standard when the Board concludes that a new standard or an amendment to a standard is warranted. ANNUAL REPORT 2004 - 2005 137

APPENDIX 3

4. More public consultation

After a standards amendment is drafted, a second round of public consultation usually follows. The proposed amendment is intended to become law, so any problems with the drafting should be notifi ed to us without delay. After considering any further public submissions, we then fi ne-tune our recommendation as necessary and produce and publish a Final Assessment Report.

5. Ministers decide on food standards

The standards, once approved by the Food Standards Australia New Zealand Board are notifi ed to the Ministerial Council. Within 60 days of this notifi cation, any jurisdiction on the Council may ask FSANZ to conduct a fi rst review of the standards.

Alternatively, the Council may inform FSANZ that it does not intend to request a review. In the latter case, the standards become law at the date specifi ed in a public notice. If the Council requests a review, FSANZ must conduct the review within three months and either re-affi rm the decision, with or without amendments to the standard, or withdraw its approval of the standard to the Council.

If FSANZ re-affi rms its decision, it must again notify the Council. The Council, by a majority decision, may then, within 60 days, request a second review or decide a second review is not required. After a second review, the Council may approve, amend or reject the standard. The Council will also be able to direct FSANZ to review any standard.

If the Council adopts the amendment, FSANZ gazettes the amendment and it becomes part of the Food Standards Code, then automatically becomes law in the States, Territories and is gazetted in New Zealand.

Once the amendment becomes law, it is up to the State and Territory governments and the New Zealand Ministry of Health to enforce the standards. AQIS is responsible for enforcing standards relating to imports.

Copies of public documents are available at our Australian and New Zealand offi ces and on our website.

We also regularly send out an Information Circular which updates progress on food standards matters. For more information about the detailed matters to do with food standards contact FSANZ’s Standards Management Offi cer in Canberra on (02) 6271 2258

In 2000-2001, FSANZ took over responsibility from the Commonwealth Department of Finance, for publishing the Food Standards Gazette. This is published on our website and provided electronically to any interested parties. The New Zealand Gazette will continue to be published by the New Zealand Government. 138 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Appendix 4 – Outcomes and Outputs Structure

Indicator 8. Food regulatory measures based on rigorous scientifi c risk assessments, regulatory impact analysis and comprehensive stakeholder input

Target: Information source/reporting frequency:

Improved quality of food regulatory measures. FSANZ Annual Report

Indicator 9. Level of knowledge and understanding of Food Standards Code and Food Safety Standards by industry and consumers

Targets: Information source/reporting frequency: a. Improvement in knowledge, attitude and FSANZ Evaluation Reports and FSANZ Annual behaviour concerning safe food handling Report practices that will promote health and prevent illness over time.

b. Improvement in knowledge and understanding of food labels that will enable consumers to make informed health choices in relation to food.

Indicator 10. Timely and completed implementation of food recalls

Target: Information source/reporting frequency:

All food recalls initiated within 24 hours of formal FSANZ Food Recall Database and FSANZ notifi cation and 100% of recall reports obtained Annual Report. from industry. ANNUAL REPORT 2004 - 2005 139

APPENDIX 4

In terms of the 2003-2004 Portfolio Budget Statement (PBS) we have two outputs that contribute to this outcome:

Output Group 1. Services to the Minister and Parliament

In relation to: • Quality: A high level of satisfaction of the Minister and Parliament with the relevance, • the development and review of food standards quality and timeliness of advice provided. in accordance with legislative requirements; • Quality: Agreed timeframes met for ministerial • Ministerial and Parliamentary briefi ngs and correspondence, Question Time Briefs, reports; and Parliamentary Questions on Notice and • the annual report to Parliament in the ministerial requests for briefi ngs. operation of the Food Standards Australia • Quality: Submission of annual report on the New Zealand Act 1991. operations of the Australia New Zealand Food Authority Act by 31 October 2004

• Quantity: 150 responses to ministerial correspondence, 10 Question Time Briefs, 3 Parliamentary Questions on Notice and 5 ministerial requests for briefi ng.

Output Group 2: Regulatory activity

• Delivering statutory objectives by • Quality: Rigorous scientifi c assessment implementing, managing and monitoring the relating to food regulatory measures. Food Standards Code and other regulatory • Quality: Improved regulatory impact measures. assessment of risk management options. • Effectively managing and enhancing the • Quality: Development and implementation standards development process. of an evaluation strategy to assess the • Providing greater opportunities for community effectiveness and appropriateness of food involvement in food regulatory processes standards and other regulatory measures.

• Establishing and implementing a common • Quality: Enhanced risk management regulatory approach and evaluation strategies outcomes. with other agencies. • Quantity: Assessment of at least 25 • Developing and maintaining the effectiveness Applications. and effi ciency of the organisation. 140 FOOD STANDARDS AUSTRALIA NEW ZEALAND ANNUAL REPORT 2004 - 2005 141

APPENDIX 5 142 FOOD STANDARDS AUSTRALIA NEW ZEALAND ANNUAL REPORT 2004 - 2005 143

APPENDIX 5 144 FOOD STANDARDS AUSTRALIA NEW ZEALAND ANNUAL REPORT 2004 - 2005 145

APPENDIX 5 146 FOOD STANDARDS AUSTRALIA NEW ZEALAND ANNUAL REPORT 2004 - 2005 147

APPENDIX 5 148 FOOD STANDARDS AUSTRALIA NEW ZEALAND ANNUAL REPORT 2004 - 2005 149

APPENDIX 5 150 FOOD STANDARDS AUSTRALIA NEW ZEALAND ANNUAL REPORT 2004 - 2005 151

APPENDIX 5 152 FOOD STANDARDS AUSTRALIA NEW ZEALAND ANNUAL REPORT 2004 - 2005 153

APPENDIX 5 154 FOOD STANDARDS AUSTRALIA NEW ZEALAND ANNUAL REPORT 2004 - 2005 155

APPENDIX 5 156 FOOD STANDARDS AUSTRALIA NEW ZEALAND ANNUAL REPORT 2004 - 2005 157

APPENDIX 5 158 FOOD STANDARDS AUSTRALIA NEW ZEALAND ANNUAL REPORT 2004 - 2005 159

APPENDIX 5 160 FOOD STANDARDS AUSTRALIA NEW ZEALAND ANNUAL REPORT 2004 - 2005 161

APPENDIX 5 162 FOOD STANDARDS AUSTRALIA NEW ZEALAND ANNUAL REPORT 2004 - 2005 163

APPENDIX 5 164 FOOD STANDARDS AUSTRALIA NEW ZEALAND ANNUAL REPORT 2004 - 2005 165

APPENDIX 5 166 FOOD STANDARDS AUSTRALIA NEW ZEALAND ANNUAL REPORT 2004 - 2005 167

APPENDIX 5 168 FOOD STANDARDS AUSTRALIA NEW ZEALAND ANNUAL REPORT 2004 - 2005 169

APPENDIX 5 170 FOOD STANDARDS AUSTRALIA NEW ZEALAND ANNUAL REPORT 2004 - 2005 171

APPENDIX 5 172 FOOD STANDARDS AUSTRALIA NEW ZEALAND ANNUAL REPORT 2004 - 2005 173

APPENDIX 5 174 FOOD STANDARDS AUSTRALIA NEW ZEALAND ANNUAL REPORT 2004 - 2005 175

APPENDIX 5 176 FOOD STANDARDS AUSTRALIA NEW ZEALAND ANNUAL REPORT 2004 - 2005 177

APPENDIX 6

Appendix 6 – Functions and Powers

Food Standards Australia New Zealand is a statutory authority established by section 6 of the Food Standards Australia New Zealand Act 1991. The Act came into effect on 19 August 1991. FSANZ is part of the Health and Ageing portfolio and, on day-to-day matters is accountable to the Parliamentary Secretary to the Minister for Health and Ageing, the Hon Christopher Pyne MP.

Section 7 of the Act states:

Functions

(1) The functions of the Authority are:

(a) in accordance with this Act, to develop standards and variations of standards, and to review standards and variations of standards; and

(b) in accordance with this Act, to develop codes of practice and variations of codes of practice for industry and to review codes of practice; and

(c) to develop guidelines to assist the interpretation of the Australia New Zealand Food Standards Code on its own initiative or in consultation with the States, the Territories and any other body or person that the Authority considers appropriate; and

(d) to promote consistency between standards in Australia and New Zealand with those used internationally, based on the best available scientifi c evidence; and

(e) in consultation with the States and Territories, or on its own initiative, to facilitate the harmonisation of State and Territory laws relating to food; and

(f) in consultation with the States and Territories, or on its own initiative, to coordinate the development of procedures required to implement requirements set out in standards; and

(g) in consultation with the States and Territories, to coordinate the monitoring, surveillance and enforcement of activities relating to food available in Australia; and

(h) in consultation with the States and Territories, or on its own initiative, to conduct research and surveys in relation to any of the matters that may be included in a standard; and

(i) in cooperation with the States and Territories, to develop food education initiatives, including the publication of information to increase public awareness of food standards and food labels; and 178 FOOD STANDARDS AUSTRALIA NEW ZEALAND

(j) in cooperation with the Department administering Division 1A of Part V of the Trade Practices Act 1974, to coordinate the recall of food under that Division; and

(k) at the request of the States and Territories, to coordinate action by the States and Territories to recall food under State and Territory laws; and

(l) to develop assessment policies in relation to food imported into Australia; and

(m) to provide advice to the Minister on matters relating to food; and

(n) to participate in international, regional and bilateral negotiations on matters that may be included in standards; and

(o) to make the Authority’s knowledge, expertise, equipment, facilities and intellectual property available to other persons on a commercial basis; and

(p) at the request of New Zealand, to perform functions for New Zealand similar to the functions that the Authority may perform in relation to the States and Territories; and

(q) at the request of New Zealand, to perform functions for New Zealand similar to the other functions that the Authority may perform; and

(qa) such other functions as are conferred on the Authority by this Act; and

(r) any functions incidental to any of the foregoing functions.

(2) The function conferred by paragraph (1)(o):

(a) can only be exercised:

(i) for a purpose for which the Parliament has power to make laws; or

(ii) to utilise the Authority’s spare capacity; and

(b) does not authorise the Authority to do something that would impede the Authority’s capacity to perform its other functions.

8 Powers

(1) The Authority has power to do all things necessary or convenient to be done in connection with the performance of its functions and, in particular, may:

(a) enter into contracts; and

(b) acquire, hold and dispose of real or personal property; and

(c) occupy, use and control any land or building owned, or held under lease, by the Commonwealth and made available for the purposes of the Authority; and

(d) engage persons to perform services for the Authority; and ANNUAL REPORT 2004 - 2005 179

APPENDIX 6

(e) provide assistance to bodies or persons to prepare submissions:

(i) relating to the development or consideration of draft food regulatory measures or draft variations of food regulatory measures; or

(ii) relating to the performance of any other function of the Authority;

if the Authority determines that such assistance will advance the development or consideration of that draft or the performance of that other function; and

(f) accept gifts, grants, bequests and advances made to the Authority (whether on trust or otherwise) and act as trustee of money or other property vested in the Authority on trust; and

(fa) form, or participate in the formation of, companies; and

(fb) subscribe for or purchase shares in, or debentures and other securities of, companies; and

(fc) participate in partnerships, trusts and unincorporated joint ventures; and

(g) do anything incidental to any of its powers.

(2) The powers of the Authority may be exercised within or outside Australia. 180 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Appendix 7 – Current Publications

All publications are available from the FSANZ website, www.foodstandards.gov.au , and limited hard copies of certain publications are available from the Information Offi cer.

Please note that the hard copy of The Australia New Zealand Food Standards Code and User Guides are available from ANSTAT.

The booklet, ‘The Offi cial Shopper’s Guide to Food Additives and Food Labels’ is available from Murdoch Books or from major booksellers, newsagents or supermarkets.

Title Description

1994 – 95 Survey of the microbiological status of This publication aims to provide information foods on the microbiological status of selected foods to assist in the development or review of microbiological specifi cations and codes of hygiene practice. Published 1995. A guide to meeting the standard drink-labeling This guide is to assist alcoholic beverage requirement for alcoholic beverages. manufacturers and importers meet the requirement to label each container with the number of standard drinks in the container. This includes bottles, cans, and casks. Published 1995, still current. Annual Report A report to the Australian Parliament on FSANZ’s activities for the year. Annual publication AUSNUT CD-ROM Australian Food and Nutrient Database. AUSNUT is FSANZ’s fi rst ever data release on CD Rom. The AUSNUT CD contains a set of 7 inter-related data fi les and explanatory notes that contain a wealth of descriptive and numerical data on the food and nutrient composition of Australian foods. First published 1999. Available from the Information Offi cer, FSANZ $A434.50 including GST Australian Total Diet Study This study monitors pesticide and contaminant (formerly the Australian Market Basket Survey) residues present in food and estimates their intake in the diets of Australians. FSANZ uses this information when developing food standards. 19th ATDS published April 2001 20th ADTS published January 2003 21st ATDS latest edition released August 2005 ANNUAL REPORT 2004 - 2005 181

APPENDIX 7

Title Description

Code of practice on nutrient claims in food labels The code of practice provides ensure provision and in advertisements (CoPoNC) of consistent and accurate information about Nutrient content of foods. It provides a basis for self-regulation of nutrient claims by the food Industry. Published January 1995. Under review and available from website only. Community Involvement Policy and Protocol A protocol aimed at ensuring that people interested in food standards matters know how to be involved, is involved and can see how issues are considered. Published September 2001 Community Involvement Strategy A report outlining FSANZ’s actions to ensure community involvement in standards development and food standards issues. Published June 2000 Corporate Plan The corporate plan sets out FSANZ’s direction for the year ahead. Latest edition 2003 – 2006. Printed April 2004 Development of a Consultation Strategy for Outlines the results of workshops to seek Aboriginal and Torres Strait Islander Peoples in the views of Indigenous people on how to Australia - Report from Barbara Flick develop a relationship and ongoing consultation arrangement with FSANZ. Published July 2001 Equivalence: Guidelines for determining the Guidelines drafted by FSANZ for determining equivalence of food safety measures the equivalence of food safety measures in a consistent and transparent manner. Published May 2002. Updated and published November 2003 Evaluating benefi ts and costs of food regulation: a A study examining the feasibility of developing scoping study an econometric model that would quantify the impact of food regulation on the economy. Published March 2002 Evaluating the Folate – Neural Tube Defect Health An evaluation of the health claim that Claim Pilot communicates the link between increased maternal folate consumption and a reduction in the incidence of neural tube defects. Published September 2000 182 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Title Description

Fact sheets for industry: These fact sheets provide an overview of Wine and the labelling of certain substances that the Code’ s requirements and related food may cause adverse reactions information. Microbiological limits Published – Range of dates and updated accordingly. Country of Origin labelling Alcoholic Beverages and Food Containing Alcohol Representations about Food Legibility Requirements Ingredient Labelling Percentage labelling of characterising food ingredients and components Surface area of a small package Stock in Trade provisions Food Additives: How are food additives regulated? Dairy Products Food requiring pre-market clearance: GM food, irradiated food and novel food Overview of food labelling Non-alcoholic Beverages General information on the new Code Date Marking requirements for food Mandatory warning and advisory statements and declarations: extended food labelling for people with food allergies, sensitivies or intolerances Cereals, fruits, vegetables and edible oils Meat, eggs and fi sh New nutrition information requirements on food labels ANNUAL REPORT 2004 - 2005 183

APPENDIX 7

Title Description

Food Safety General Fact Sheets For business and enforcement agencies. • New Food Safety Standards for Australia Published May 2001. Updated June 2004. • Food Safety Standard 3.1.1 Interpretation and Also available from States and Territories. Application • Food Safety Standard 3.2.1 Food Safety Programs • Food Safety Standard 3.2.2 Food Safety Practices and General Requirements • Food Safety Standard 3.2.3 Food Premises and Equipment • Food Safety Standards – Defi nitions • State & Territory enforcement of the Food Safety Standards • Food Safety Standards – Sources of information & advice Food Safety Facts Sheets for Charities and Easy to use fact sheets for charities and Community Organisations community organizations to help explain the new • An introduction to new Food Safety Standards food safety requirements • Notifi cation Published August 2002 • Skills and knowledge • Labelling • Temperature control • Sausage sizzles and barbecues • Preparing and cooking food • Transporting food • Camping • Health and hygiene for food handlers Feedback and Complaints A brochure explaining our feedback and complaints process. Published April 2001 Food industry recall protocol This booklet is a step-by-step guide to carrying out food recalls. It explains what must be done when food products have to be recalled from shops or consumers for health and safety reasons. First published June 1994. Latest edition 5th September 2002 and print rerun June 2004 Food Labelling Issues: Qualitative Research with A report outlining qualitative research on labelling Stakeholders issues. Published June 2002 184 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Title Description

Food labels: What do they mean? (Poster) A full colour A2 poster explaining the changes to food labels. First published October 2001. Print reruns 2002, 2003, 2004 Food Safety Standards – costs and benefi ts A report of the regulatory impact of the proposed national food safety reforms on the food industry and state, territory and local government. Published 1999. Food Safety Standards 3.1.1, 3.2.2, 3.2.3 Booklet Chapter 3 of the Australia New Zealand Food Standards Code (Australia only) including 3.1.1 Interpretation and Application; 3.2.2 Food Safety Practices and General requirements; 3.2.3 Food Premises and Equipment. Published March 2001 Available from Anstat at cost Food Safety Standards Food Safety programs Booklet. Chapter 3 of the Australia New Zealand Food Standards Code (Australia only) Standard 3.2.1 Food Safety Programs. Published March 2001 Food Safety Standards for Food Businesses in Brochure outlining the three food safety Australia standards that apply to food businesses in Australia. Published April 2001 Food Safety: Framework for the Development of A guide to the production of practical, easy-to- Food Safety Program Tools use tools for food businesses. Published July 2001 Food Safety: An Audit System. An information paper outlining an audit system developed for the purpose of auditing food safety programs Published January 2001 Food Safety: Guidance for food safety auditors Information on compliance assessment of Food Safety Programs and Food Safety Standards. Published October 2001 Food Safety: Guidelines for the microbiological This document provides assistance in the examination of ready-to-eat foods interpretation of microbiological analyses of foods. Published December 2001 Food Safety: Skills and knowledge for food Booklet on skills and knowledge requirement of businesses Food Safety Standard 3.2.2. Published March 2002 ANNUAL REPORT 2004 - 2005 185

APPENDIX 7

Title Description

Food Safety: Temperature control of potentially Booklet on the temperature control requirements hazardous foods of standard 3.2.2. Published April 2002 Food Safety: The priority classifi cation system for A risk based system designed to classify food food businesses businesses into priority ratings based on the risk they present to public health and safety. This information paper outlines the system and describes how to apply it to food businesses. Published January 2001 Food Standards News A Bi monthly newsletter about the key issues and (formerly known as ANZFA News) signifi cant projects undertaken by FSANZ. First published as ANZFA News May 1998. Published as Food Standards News from Feb 2001. Available by email, limited hard copies. Food Surveillance (formerly Foodwatch) A twice yearly publication co-coordinating microbiological and other food safety studies from the States and Territories First published Spring 2001. Available by email. For asthma sufferers the facts about sulphites in This is a fact sheet, which sets out information on food what are sulphites, why are they added to foods and who should be alerted to sulphites in foods. Updated Sept 2001 FSANZ/ANZFA Evaluation Strategy 2001– 2003 A scientifi c and technical evaluation to measure the impact of implementing the new joint Australia New Zealand Food Standards Code. Published November 2001 FSANZ Evaluation Strategy 2004 – 2008 Outlines the strategy for undertaking a scientifi c and technical evaluation of new key food regulatory measures developed by Food Standards Australia New Zealand (FSANZ). Published May 2004 General Fact sheets: Fact sheets on particular food issues relevant to 2000 - 2005 the year. Available on website only. Genetically Modifi ed Foods Brochure about the labelling of genetically modifi ed foods Published November 2001 GM Foods FSANZ’s safety assessment process for genetically modifi ed foods. Replaces previous publication ‘GM foods and the Consumer’ (2000) Published June 2005; Released August 2005 186 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Title Description

Involving Maori in ANZFA - A framework for action Report on how FSANZ seeks to ensure that the based on the Treaty of Waitangi guarantees contained in the Treaty of Waitangi are considered and accorded an appropriate priority. Published May 2002 Listeria and Food brochure. An easy-to-read brochure which explains how to reduce the risk of contracting the Listeria infection – specifi cally advice for people at risk – pregnant women, their unborn and newborn children, older people (65 years and older), or the immuno-compromised. The brochure sets out foods which are safe and those at ‘higher risk’ of Listeria contamination . This brochure replaces the Listeria and Pregnancy brochure released in June 2001. Printed July 2004 Reprinted June 2005. Listeria Recall Guidelines for Packaged Ready-to- Recall Guidelines for Packaged Ready-to-eat Eat foods foods found to contain L. monocytogenes. Published April 2001 National Competition Policy review of the Food Report on reviewed of the Food Standards Code Standards Code under National Competition Policy Published February 2002. National Competition Policy review of the Food Reports the Government’s response to the Standards Code: The Government’s Response National Competition Policy review of the old Australian Food Standards Code. Published April 2002 Australia New Zealand Food Standards Code This document is Volume 2 of the Australia New Zealand Food Standards Code, published as the Food Standards Code as adopted by the Australia New Zealand Food Standards Council on 24 November 2000 Available in loose-leaf form by subscription from Anstat and from website free-of-charge. Nutrition information panel calculator A database to allow industry to calculate NIPs. Released August 2001 Report on Aboriginal & Torres Strait Islander A report on a one day community meeting Consultation in Melbourne in Melbourne for Indigenous community organisations and its members together with relevant government departments. Published September 2002 ANNUAL REPORT 2004 - 2005 187

APPENDIX 7

Title Description

Safe Food Australia 2nd Edition January 2001 (A This book contains Chapter 3 of the Australia Guide to the Food Safety Standards) New Zealand Food Standards Code (Applies to Australia only). The guide had been prepared to assist with the interpretation of three of the food safety standards in Chapter 3 of the Australia New Zealand Food Standards Code. They are: 3.1.1 Interpretation and Application; 3.2.2 Food Safety Practices and General requirements; 3.2.3 Food Premises and Equipment Available from Anstat at cost and from the website free-of-charge. Safety Aspects of Dietary Caffeine – Report from Report on examination on the wider aspects of the Expert Working Group the safety of dietary sources of caffeine. Published June 2000. Service Charter A pamphlet to describing ANZFA/FSANZ’s role and commitment to service. Published May 2001 Standards Decision Making Framework A Report to ANZFSC Published November 2001 Submission to the NZ Royal Commission on Submission provides factual background Genetic Modifi cation information on FSANZ, its statutory processes and the regulation of genetically modifi ed foods in Australia and New Zealand. Published November 2001 Food Safety Technical Fact Sheets A series of fact sheets for food businesses. • Food handling skills and knowledge Food The Food Safety Fact Sheets are also available business notifi cation requirement Health and (website only) in the following languages: Arabic, hygiene: Responsibilities of food handlers Cambodian, Chinese, Croatian, Greek, Hindi, • Health and hygiene: Responsibilities of food Italian, Indonesian, Macedonian, Serbian, businesses Spanish, Filipino/Tagalog, Thai, Turkish and Vietnamese . • Receiving food safely Published May 2001 • Food recall systems for unsafe foods • Thermometers and using them with potentially hazardous food • Temperature control requirements 188 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Title Description

Technical Report Series (x27) A series of scientifi c and technical papers. 1. Phomopins in Food: Toxicological Review Technical Series 1 – 14, published March 2002. and Risk Assessment Technical Series 15 - 27, published June 2003 2. Pyrrolizidine Alkaloids in Food: A Technical Series 27 – 34, published July 2004 Toxicological Review and Risk Assessment Technical Series 35, published December 2004 3. Lupin Alkaloids in Food: A Toxicological Review and Risk Assessment 4. Food Derived from High Oleic Acid Soy Bean Lines G94-1, G94-19 and G168: A Toxicological Review and Risk Assessment 5. Food derived from Insect Protected Corn Line MON810: A Safety Assessment 6. Food Derived from Glyphosate-Tolerant Cotton Line1445: A Safety Assessment 7. Food Derived from Glyphosate-tolerant Corn Line GA21: A Safety Assessment 8. Food Derived from Glyphosate-tolerant Corn Line GT73: A Safety Assessment 9. Food Produced from Insect-Protected Bt- 176 Corn: A Safety Assessment 10. Food Derived from Insect-Protected, Herbicide Tolerant Corn Bt-11: A Safety Assessment 11. Food Derived from Insect-Protected (New leaf R) Potato Lines BT-06, ATBT- 04, ATBT04-36, SPBT02-05: A Safety Assessment 12. Food Derived from Insect and Potato Leafroll Virus Protected (New leaf R plus) Potato Lines RBMT21-129, RBMT21-350, RBMT22-83: A Safety Assessment 13. Food Derived from Insect and Potato Virus Y-Protected (New Leaf R Y) Potato Lines RBMT15-101, SEMT15-02, SEMT15-16: A Safety Assessment 14. Shellfi sh in Food: A Toxicological Review and Risk Assessment 15. Chloropropanols in food - An analysis of the public health risk 16. Oil derived from glufosinate-ammonium tolerant and pollination controlled canola - A Safety Assessment 17. Food derived from bromoxynil-tolerant cotton transformation events 10211 and 10222 - A Safety Assessment ANNUAL REPORT 2004 - 2005 189

APPENDIX 7

Title Description

Technical Report Series (x27) - continued 18. Food derived from insect-protected and glufosinate ammonium-tolerant DBT418 corn - A Safety Assessment 19. Food derived from bromoxynil-tolerant canola line Westar-oxy-235 - A Safety Assessment 20. (MSG) - A Safety Assessment 21. Erucic acid in Food - A Toxicological Review and Risk Assessment 22. DHASCO and ARASCO oils as sources of long-chain polyunsaturated fatty acids in infant formula - A Safety Assessment 23. Food derived from glufosinate ammonium tolerant corn line T25 - A Safety Assessment 24. Food produced from glyphosate-tolerant sugar beet Line 77 - A Safety Assessment 25. Listeria monocytogenes in cooked prawns - A Microbiological Survey report 26. Dioxins in food:Dietary Exposure Assessment and Risk Characterisation 27. Cyanogenic Glycosides in Cassava and Bamboo Shoots: A Human Health Risk 28. D-Tagatose: A Human Health Risk Assessment 29. Kava: A Human Health Risk Assessment 30. Nitrofurans in Prawns: A Toxicological Review and Risk Assessment 31. Food derived from Insect-Protected and Glufosinate-Ammonium tolerant Corn Line 1507: A Safety Assessment 32. Food derived from Glufosinate Ammonium Tolerant Soybean Lines A2704 -12 and A5547-127: A Safety Assessment 33. Food derived from Glufosinate Ammonium Tolerant Soybean Lines A2704 -12 and A5547-127: A Safety Assessment 34. Food derived from Insect-Protected Mon863 Corn: A Safety Assessment 35. Association between Johne’s Disease and Crohn’s Disease: A Microbiological 190 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Title Description

The National Food Business Notifi cation System A paper developed by the National Food – Information for State and Local Governments Business Notifi cation System Working Group, coordinated by ANZFA/FSANZ. Published June 2001 The National Food Business Notifi cation System: A paper developed by the National Food Information for State and Local Governments Business Notifi cation System Working Group, coordinated by the ANZFA/FSANZ. Published June 2001 The Offi cial shopper’s guide to food additives and A quick and easy guide to Australian food labels food labels and additive code numbers in a handy pocketsize format. This guide is a convenient way to check food labels as you shop, to let you know what the additive is and what it does. Additives are substances added to food such as colour, thickeners and fl avours. Published September 2002 Available from Murdoch Books or from major booksellers, newsagents or supermarkets. RRP A$4.95. User guides: FSANZ Guidelines to assist industry and 1. Overview of Food Labelling enforcement agencies with the interpretation and application of the joint code. 2. Legibility Requirements for Food Labels Published July 2001 3. Information Requirements for Foods Exempt from Bearing a Label Available in loose-leaf form by subscription from Anstat 4. Warning and Advisory Declarations 5. Ingredient Labelling 6. Food Additives 7. Microbiological Limits for Foods (with additional guideline criteria) 8. Generally Expected Levels (GELs) for Metal Contaminants 9. Methods of Analysis for Food 10. Percentage labelling 11. Nutrition Information labelling 12. Date marking 13. Meat and meat products 14. Labelling Genetically Modifi ed (GM) Food 15. Flavourings and fl avouring enhancers 16. Representations about Food 17. Safe Food Australia ANNUAL REPORT 2004 - 2005 191

APPENDIX 7

Title Description

Evaluation Report Series No. 1. Documents research on the awareness and National Food Handling Benchmark Survey knowledge of safe food handling practices and actual food handling practices by food businesses within Australia. Published December 2001 Evaluation Report Series No. 2 Qualitative research on labelling issues. Survey Report: Food Labelling Issues: Qualitative Published December 2001 Research with Consumers Evaluation Report Series No. 3 Qualitative research on labelling issues Food Labelling Issues: Qualitative research with Published June 2002 stakeholders other than consumers Evaluation Report Series No. 4 Quantitative research on labelling issues, Includes Consumer Food Labelling survey CD with PowerPoint presentation of results Printed June 2003 Evaluation Report Series No. 5 A study conducted to gain qualitative information Food Labelling Issues: Qualitative consumer study on food-type dietary supplement labelling from related to food-type dietary supplement labelling consumers to assist FSANZ in the future development and review of food labelling standards, codes of practice and guidelines. Published July 2003 Evaluation Report Series No. 6 A study conducted to gain qualitative information Food Labelling Issues: Qualitative consumer study on nutrient content claims on food labels from related to nutrition content claims on food labels consumers to assist FSANZ in the future development and review of food labelling standards, codes of practice and guidelines. Published July 2003 Evaluation Report Series No. 7 Allergen Labelling Standard, an assessment of Food Labelling Issues: Quantitative consumer the impact on consumers. survey related to allergen labelling on food Published February 2004. products Evaluation Report Series No. 8 Food Additive Standards, an assessment of the Quantitative research into the consumption of impact on consumers. intense sweeteners in the Australian and New Published February 2004 Zealand Populations 192 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Title Description

Evaluation Report Series No. 9 Food Standards Australia New Zealand (FSANZ) Food Labelling Issues: Qualitative consumer study has undertook a review (Proposal P274) of the related to food labelling of infant foods minimum age labelling so that infant food labelling refl ects the revised Australian guidelines, and also takes into account New Zealand policy. Published February 2004

Safe Food for all A2 Poster / brochure on the clearance processes in the food industry from producer to consumer. Includes contact details of organisations involved in Australia. Printed 2004

Safe Seafood Australia A Guide to the Primary Production and Processing Standard for Seafood (Australia only) - Standard 4.2.1 1st Edition Published June 2005

Fact Sheets Fact sheets on particular food issues relevant to • Lupin products and allergies the year. Available on website only. • Fish mislabelling survey – commonly asked questions • Milk – part of a balanced diet • Lead contamination of Cornfl our • Intolerance to food additives • Information about Tagatose for Individuals with Disorders in Fructose • GM canola safety assessments • Dioxins in food: Questions and Answers • Semicarbazide used as a sealant in jar lids not a food safety risk • Nitrofurans in imported honey and prawns (Australia only) • Bottled wine labelled with a vintage date of 2002 or earlier • Mecury in Fish - Updated Information • New advice for the preparation of raw cassava and bamboo shoots ANNUAL REPORT 2004 - 2005 193

APPENDIX 7

Title Description

Fact Sheets (continued) • Aged Related Macular Degeneration and Diet • Aluminium in food and water • Monsanto MON863 corn safety assessment • Lupin products and allergies • Fish mislabelling survey - commonly asked questions • MILK - Part of a balanced diet • Lead Contamination in Cornfl our • Intolerance to food additives • Information about Tagatose for Individuals with Disorders in Fructose Metabolism • GM Canola safety assessments • Benzoates, sulphites and sorbates in the food supply • Primary Production and Processing Standard for Seafood • Codex Guidelines to Vitamin and Mineral Supplements • What are food additives • Update: MON863 corn safety assessment • Country of Origin Labelling • Release of unapproved genetically modifi ed (GM) corn • Trans Fatty Acids • Update - Acrylamide in food • Update - Sudan red food dyes in Australia • Sudan Red food dyes in Australia • Antibiotics in the food supply • Dioxins in food:Questions and Answers • Semicarbazide used as a sealant in jar lids not a food safety risk • Nitrofurans in imported honey and prawns (Australia only) 194 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Appendix 8 - Categories of Documents Held

Administration

Documents relating to administration include personnel, fi nance, property and resource management records.

Agreements

FSANZ holds copies of the following agreements

• The Agreement between the Commonwealth of Australia, the States, the Northern Territory of Australia and the Australian Capital Territory in relation to the adoption of uniform food standards (2000).

• The Agreement between the Commonwealth of Australia and New Zealand establishing a system for the development of joint food standards which was signed in 1995 and came into effect in 1996. (This document can be found on the Internet under the Australian Treaty Series 1996 Number 12. This link is available from the FSANZ website, www.foodstandards.gov.au together with Links to all relevant legislation).

Application formats and forms

We make available, free of charge, the following application formats and forms.

• Format for applying to amend the Australian Food Standards Code — general.

• Format for applying to amend the Australian Food Standards Code — labelling provisions.

• Format for applying to amend the Australian Food Standards Code — food produced using gene technology.

• Format for applying to amend the Australian Food Standards Code — State, Territory and New Zealand Food Inspectorates.

• Format for applying to amend the Australian Food Standards Code — Food Additives.

• Guidelines for establishing the toxicological profi le of food additives, food processing aids, contaminants and material. ANNUAL REPORT 2004 - 2005 195

APPENDIX 8

Food recalls

A full list of the products involved and the reasons for each recall are given in an end-of-year food recall report.

Briefs, submissions and reports

We prepare and hold copies of briefi ng papers, submissions and reports relevant to specifi c functions. Briefi ng papers and submissions include those prepared for ministers, ANZFRMC, FRSC, DISC and TAG and other committees and conferences. Reports include information reports made to Authority meetings.

Databases

We maintain a wide range of computer databases to support our information and processing needs, including the Australian Nutrient Databank, the AMBS and the Dietary Modelling (DIAMOND). All are held in our Canberra offi ce.

Files

Both paper-based and computer-based records are maintained on the range of FSANZ activities. They primarily relate to the processing of applications or proposals in respect of a draft standard or a draft variation to a standard. While most of these records are held in our Canberra offi ce, some are held in the Wellington (NZ) offi ce.

Finance documents

We maintain a series of documents relating to FSANZ fi nancial management. The series includes our chart of accounts, expenditure and revenue ledgers and appropriation ledger.

Freedom of information enquiries

Initial enquiries concerning access to documents under the Freedom of Information Act 1982 should be directed to the general Manager (Safety, Legal and Evaluation) on (02) 62271 2222

Mailing lists

We maintain, for our own use, mailing lists to disseminate information to key stakeholders, and interested individuals. Documents so distributed include FSANZ annual reports, Food Standards News, food standards, Food Surveillance Australia New Zealand, information circulars, information summaries, Explanatory Notes and Statement of Reasons. 196 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Maps and plans

Maps and plans held are mainly working drawings, plans and specifi cations for our offi ces.

Public register

We maintain a public register for all applications and proposals. All submissions and other information we receive in relation to an application or proposal, together with relevant FSANZ documents, are placed on our public register fi le for that application or proposal except for commercial-in-confi dence information.

The public may inspect all such public register fi les at our offi ces in Canberra and Wellington (NZ) for which there is an administrative fee of Aus$22. The charge is waived for community and non-profi t organisations.

Review and research

Documents relating to policy review, dietary surveys, labelling research and organisational and communications reviews are held in our Canberra offi ce.

Media Releases

All media releases are available on request. Those issued in the current year are available on FSANZ’s website.

Publications

See Appendix 7 for a list of current publications. ANNUAL REPORT 2004 - 2005 197

APPENDIX 9

Appendix 9 - Consultants

Consultant Nature of Consultancy Amount - Reason Selection Section Excl GST for Use Process

H & R Recruitment Service $2,803 1 Publicly LSI Consulting for Section Manager advertised NZ

Laurie Business plan $2,037 1 Part of LSI Wharemate- development for the existing Keung MRG contract

Paewhenua Facilitation service $1,390 1,6,5 Preferred LSI Hou -MRG Planning Day provider for Kahui

N M Baker Facilitation Service $2,746 6 Preferred LSI - MRG Hui provider for Kahui

NZIER CBA of Mandatory $27,590 1,5 Selective LSI Country of Origin Tender Labelling

Biotext Scientifi c Risk Analysis $11,175 1 Selective SSU of Foods Tender

Biotext Report for Sugar Beet $12,000 4 Preferred PSS Provider

Elias & Green Report on dietary $3,990 1,5 Selective RA-PHN folate & neural tube Tender defects

Ian R Reid Diet-Disease $7,000 1,5 Selective RA-PHN Relationship Review Tender

Keenan Facilitation Service $4,407 6 Part of LSI Consulting - Strategic Planning Existing Group Contract

Ernst & Young Fraud Control Plan $14,160 1,4 Part of Existing contract - Sole Provider

Walter Follow-up review of $3,411 1,5 Selective Turnbull Travel Tender

Walter Review of Standards $7,819 1,5 Selective Turnbull Management System Tender 198 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Consultant Nature of Consultancy Amount - Reason Selection Section Excl GST for Use Process

Kevin Patrick Facilitation Service - $3,000 6 Part of Board Consultants Board Planning Day Existing contract

Kevin Patrick Workshop Facilitation $1,755 6 Part of FSANZ Existing Contract

MP Advice on Fortifi cation $21,390 4 Sole Provider PHN Consulting Workplan

MP Report on Nutrition, $1,725 4 Sole Provider LSI Consulting Health & Related Claims

Allen Cost Analysis of $12,600 1,5 Selective LSI Consulting Nutritional Claims Tender Group

Institute of Scientifi c Assessment $3,276 1 Sole Provider RA-M Environmental of Public Health & Science & Safety of Poultry Meat Research

Total for $144,273 2004-2005 ANNUAL REPORT 2004 - 2005 199

APPENDIX 10

Appendix 10 – FSANZ Representation

International forums attended Codex Alimentarius Commission/WTO

Date International Who Attended Country Committee Meeting

July 2004 Codex Alimentarius Rob Knowles Switzerland Commission Marion Healy

8-11 August 2004 Annual Meeting of Jenny Williams USA the International Deon Mahoney Association of Food Protection

12-15 September ISOPOL XV Narelle Marro Sweden 2004 XV International Symposium on Problems of Listeriosis

13-17 September WHO Expert Marion Healy Switzerland 2004 Consultation on Dose- Response Modelling for Risk Assessment of Chemicals

3-5 October 2004 3rd Scientifi c Peter Abbott Spain Roundtable on Thresholds for Allergenic Foods

11-13 October 2004 OECD Task Force for Peter Abbott France the Safety of Novel Foods and Feeds

12-14 October 2004 2nd FAO/WHO Global Scott Crerar Thailand Forum of Food Safety Regulators

19-22 October 2004 8th Session – Merrilyn O’Sullivan Samoa

Co-ordinating Committee for North America & the South West Pacifi c 200 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Date International Who Attended Country Committee Meeting

1-5 November 2004 26th Session – Codex Janine Lewis Germany Committee on Jane Allen Nutrition and Foods for Special Dietary Uses

6 November 2004 Workshop on Risk Jane Allen France Analysis for Codex Committee on General Principles

8-12 November 2004 21st Session – Codex Jane Allen France Committee on General Principles

6-10 December 2004 13th Session - Codex Claire Pontin Australia Committee on Food Elizabeth Dean Import and Export Scott Crerar Inspection and Clare Stynes Certifi cation Systems Rob Solomon Melinda Rodwell

8-17 February 2005 64th Session – Joint Tracy Hambridge Italy Expert Committee on Food Additives

14-18 February 2005 11th Session – Codex Amanda Hill New Zealand Committee on Meat Hygiene

14-19 March 2005 37th Session - Codex Marion Healy Argentina Committee on Food Elizabeth Dean Hygiene

11-15 April 2005 22nd Session – Codex Hikmat Hayder France Committee on General Principles

13-15 April 2005 7th OCEANIAFOODS Judy Cunningham New Zealand Conference Greg Milligan

21-23 April 2005 IPCS Cancer Peter Abbott United Kingdom Risk Assessment Framework Workshop ANNUAL REPORT 2004 - 2005 201

APPENDIX 10

Date International Who Attended Country Committee Meeting

25-29 April 2005 37th Session – Codex Paul Brent Netherlands Committee on Glenn Stanley Food Additives and Contaminants

2-6 May 2005 FAO/WHO Workshop Janis Baines USA on Dietary Exposure Assessments

9-13 May 2005 33rd Session – Codex Melanie Fisher Malaysia Committee on Food Dean McCullum Labelling

18-19 May 2005 Workshop on Leanne Laajoki Denmark Principles for Risk Assessment of Novel Fruits and Vegetables – Nordic Council Project

7-19 June 2005 65th Joint FAO/WHO Peter Abbott Switzerland Expert Committee on Food Additives

Speaking engagements

Date Event Presenters Title

28 July 2004 37th Annual Marion Healy A Framework Conference of the for the Scientifi c Australian Institute Substantiation of of Food Science and Health, Nutrition and Technology (AIFST), Related Claims Brisbane Janine Lewis Regulation of Vitamin and Minerals Fortifi cation

Margaret Curran Regulation for Nutrition and Health Claims – Where to from Here?

Scott Crerar Trends in Australian and International Food Recalls 202 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Date Event Presenters Title

29 July 2004 Biochemistry and Lynda Graf Safety Assessment of Molecular Biology, Bronwyn Dixon GM Foods ANU, Canberra

August 2004 Codex Australia Marion Healy The Relationship Stakeholder Forum, Between Codex and Sydney Australian Domestic Standards

13 August 2004 International Congress Bob Boyd Regulating Health of , Claims in Australia and Brisbane New Zealand

24 August 2004 Comcover Inaugural Tony Singer Risk Management in Risk Management FSANZ Seminar Series, Canberra

27 August 2004 Guest Lecturer, Scott Crerar The food Regulatory University of Sydney System and Food Safety Risk Analysis Principles

31 August 2004 AIFST (NSW Branch) Hong Jin Methods of Analysis Conference on in the food Standards Methods Validation, Code - Microbiology Sydney

September 2004 Dietetic Training Vicky Scott Food Labelling from Programme, Otago a Non-Nutritionist University, NZ Perspective

September 2004 2nd Australian New Marion Healy Introducing foods from Crops Conference, New Crops into the Queensland Food Supply

14-15 September 2nd Innovative Foods Hikmat Hayder Regulatory Framework 2004 Centre Conference, for Innovative Foods: Sydney a Bridge to the Future

28 September 2004 Australian Society for Mark Salter Salmonella in Sesame Microbiology National Seed Products – an Conference, Sydney Emerging Problem

29 September 2004 NZFSA Conference, Dean Stockwell Regulation for Wellington Nutrition, Health and Related Claims P293 ANNUAL REPORT 2004 - 2005 203

APPENDIX 10

Date Event Presenters Title

October 2004 3rd FARRP Peter Abbott Australia/New Zealand Conference on Approach to Food Thresholds for Allergies Allergenic Foods, Spain

October 2004 Food Safety Marion Healy Emerging Issues: Conference, Gold Managing Scientifi c Coast Uncertainty 21 October 2004 Guest Lecturer, James Lynda Graf Framework for the Cook University, safety assessment of Townsville GM Foods 4 November 2004 Functional Food Bob Boyd Nutrition, Health and Symposium, University Related Claims of Auckland 17 November 2004 OzFoodNet Meeting, Deon Mahoney Poultry Meat Risk Hobart Assessment 18 November 2004 Global Food Safety Graham Peachey New Approaches Forum, Beijing to Food Safety: The Australian Experience 23 November 2004 Integrated Farm Jenny Williams Primary Production and Assurance Conference, Processing Standards Hobart 24 November 2004 IDF World Dairy Graham Peachey Dairy: A Safe Food Summit, Melbourne Made Safer by National Regulation 7-11 January 2005 31st Annual Paul Brent Biotechnology Derived Conference of the Animals: the Australian International Embryo Regulations Transfer Society, Copenhagen 9 February 2005 Australian Veterinary Duncan Craig Feeding Scientifi c Poultry Association Data into the Poultry Conference, Sydney Standard – Outcomes of a Scientifi c Assessment 18 February 2005 Bureau of Rural Amanda Hill Assessing Food Safety Sciences, Canberra Risks in Australian Food Businesses 204 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Date Event Presenters Title 1 March 2005 ABARE Outlook Rob Knowles Session Chair Conference 2005, Canberra Graham Peachey National Standards for Food Safety Marion Healy FSANZ’s Risk Analysis Process 1&7 March 2005 Guest Lecturer, Scott Crerar Food Safety Risk Master of Applied Assessment and Epidemiology Program, Management ANU, Canberra Food Safety Risk Communication 14 March 2005 Lexis Nexis Food Dean Stockwell Food Standards and Beverage Law Development, 2005 Conference, NZ Update 23 March 2005 Workshop on Scott Crerar Current and Emerging Risk Analysis/Risk Issues in Chemical Communication Hazards – Australia’s Related to Emerging Risk Analysis Approach Chemicals in Food, Ottawa 6 April 2005 Confectionary Dean Stockwell Innovation and Manufacturers Regulation – Finding Australasia, NZ the Sweet Spot 8 April 2005 Otago University (Food Dean Stockwell Introduction to FSANZ Product Development), and Nutrition, Health NZ and Related Claims 19 April 2005 Public Health Nutrition Melanie Fisher Regulating Our Way to Symposium, Canberra Better Nutrition 28 April 2005 Australian Honey Rob Keane Imported Food Bee Industry Council Program Food Safety and Prevention of Residues Committee, Brisbane May 2005 DFAT Workshop on the Marion Healy The FSANZ Risk Risk Analysis Process Analysis Process May 2005 Guest Lecturer, Marion Healy Practical Applications University of of Risk Analysis Queensland May 2005 Guest Lecturer, Paul Brent Regulation of Food, Newcastle Medical Medicines and School Chemicals ANNUAL REPORT 2004 - 2005 205

APPENDIX 10

Date Event Presenters Title 4 May 2005 Australian Beverages Dean McCullum Overview of FSANZ Council’s Technical and Food Standard School Setting 18 May 2005 NSW Farmers Rob Keane Imported Food Association Exotic Program Diseases Committee 28 May 2005 23rd National Graham Peachey We Are What We Eat Conference of the – We Eat What We Dietitians Association of Know Australia, Perth Jane Allen Consumer Perceptions and Use of Keywords and Graphics on Food Products Leanne Laajoki Role of Novel Food Regulation in a Diverse Food Supply 31 May 2005 Tea Industry Forum, Rob Keane Imported Food Sydney Program 31 May 2005 Food Safety Summit, Dean Stockwell Food Standards Auckland Update 2005 2 June 2005 Standards Australia John Davies Implications for Workshop on the Australian Standards Australia/United States and their Development Free Trade Agreement 28 June 2005 NZIFST Conference, Bob Boyd Substantiating Health Christchurch Claims

206 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Appendix 11 – Published Works

Allen, J.L., Abbott, P.J., Campion, S.L., Lewis, J.L. and Healy, M.J. (2005). Functional Foods: Australia/New Zealand. In Hasler, C.M., ed. Regulation of Functional Foods and Nutraceuticals: A Global Perspective. Blackwell Publishing, Iowa, USA, pp 321-336.

Croft, M., Tong, P., Fuentes, D. and Hambridge, T. (2004). Australian survey of acrylamide in carbohydrate-based foods. Food Additives and Contaminants, 21(8): 721-736.

Cunningham, J. Review of Greenfi eld, H. and Southgate, D. – Production, Management and Use, Second Edition, (2003). Food & Agriculture Organization of the United Nations. In Food Australia, 56 (12), 2004, p. 604.

Healy, M., Marro, N. and Mahoney, D. (2004) ‘Raw Milk - Blessing or Curse’ - A discussion on the safety of raw milk and its products. In Conference Proceedings ‘Australian Veterinarians in Public Health’. AVA Annual Conference, 7-May 2004.

Kelly, L. (2005). The safety assessment of foods from transgenic and cloned animals using the comparative approach. Revue Scientifi que et Technique (International Offi ce of Epizootics), 24 (1), (in press, accepted 14 January 2005). ANNUAL REPORT 2004 - 2005 207

APPENDIX 12

Appendix 12 - FSANZ Board Members Qualifi cations, Experience and Attendance, Audit Committee Members and Attendance

Food Standards Australia New Zealand

Board Attendance Meetings Teleconferences

The Hon Rob Knowles (Chairman) 5/5 3/3

Mrs Elaine Attwood 5/5 3/3

Professor Ken Buckle 5/5 2/3

Dr John Craven 5/5 2/3

Dr Laurence Eyres 4/5 3/3

Professor Chris Hudson 5/5 0/3

Mr Peter Milne 5/5 3/3

Professor Kerin O’Dea 1/5 1/3

Mr Graham Peachey 5/5 3/3

Ms Hikihiki Pihema 5/5 3/3

Mr Owen Symmans 5/5 2/3

Ass Professor Heather Yeatman 5/5 2/3

Observer

Ms Barbara Wilson 5/5 1/3

Finance and Audit Committee Attendance

Mr Peter Milne (Chairman) 3/3

Mr Owen Symmans 2/3

Professor Ken Buckle 3/3

The Hon Rob Knowles 3/3 208 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Food Standards Australia New Zealand Board expertise and experience (2004-2005)

The Hon Rob Knowles (Chairman)

The Hon Rob Knowles [s.40(1)(a)], Chair of the Board, is a consultant /adviser in the health sector and is currently the Commissioner for Complaints for the Commonwealth Government’s Aged Care Program. Mr Knowles has a very high level of expertise in the fi eld of public administration, having been a senior Minister in the Victorian Government for seven years, and has extensive knowledge of food regulation through his experience as Minister for Health

Mrs Elaine Attwood

Mrs Elaine Attwood [s.40(1)(d)] has a strong background in the fi eld of consumer advocacy where she has served voluntarily for over twenty-fi ve years, initially in a personal capacity and later with a number of consumer organisations. These include peak consumer groups such as the Consumers’ Federation of Australia, (formerly AFCO), Consumers’ Health Forum and The National Council of Women of Australia at the national level, and with the Consumers’ Association, The National Council of Women of South Australia and the Department of Human Services at state level. She is also an associate member of the Public Health Association of Australia. Her particular consumer interests have centred around food, health and safety issues.

Dr John Craven

Dr John Craven BVSc (Hons) MVSc PhD MACVSc [s.40(1)(f)] is a veterinarian with post- graduate qualifi cations in microbiology and pathology. His research interests have primarily been in the areas of identifying the causes of neonatal diarrhoea in animals and in preventing spread of food poisoning organisms from animals to people. He has been Director of the central Victorian veterinary diagnostic and research laboratory and held other senior positions in the Victorian Department of Agriculture and Rural Affairs (now Department of Primary Industries). Dr Craven was, for seven years, a Portfolio Manager for the Dairy Research and Development Corporation and is currently Director of Terip Solutions Pty Ltd. He has considerable experience in working with rural communities to improve agricultural productivity and sustainability by development and subsequent adoption of technology. ANNUAL REPORT 2004 - 2005 209

APPENDIX 12

Dr Laurence Eyres

Dr Eyres has expertise in food science and his present research and professional speciality is quality assurance and research and development of food products, particularly oils and fats. He has worked in industry for over 30 years and brings a food technology, industry and New Zealand perspective to the Board.

Mr Peter Milne

Mr Peter Milne [s.40(1)(g)] has worked all his life in the Australia cattle industry and managed Cracow Station in Central Queensland for many years. He has been active in rural industry organisations and involved in training, industrial relations, on-farm QA , R & D and marketing. He was Chairman of the Red Meat Advisory Council in 2001, on the Executive of the National Farmers_ Federation for four years and President of the Cattle Council of Australia until November 2001. He is a member of the National Institute of Accountants, a Fellow of The Taxation Institute of Australia and a member of the Australian Institute of Company Directors.

Graham Peachey

Graham Peachey [s.40(1)(b)] is the Chief Executive Offi cer of Food Standards Australia New Zealand. He has a strong record of achievement as a senior executive in several regulatory bodies in both the health and agriculture portfolios.

The Chief Executive Offi cer of FSANZ is an ex-offi cio member of the Board.

Ms Hikihiki Pihema

Ms Hikihiki Pihema RD Dip H Sc [s.40(1)(ca)] is currently the Senior Dietitian at Gisborne Hospital, Tairawhiti District Health, Gisborne, New Zealand. She is a Maori dietitian with 25 years experience in a range of clinical, administration, management, community, public health, Maori health, education and policy settings within New Zealand. In 1994, Ms Pihema was awarded the New Zealand Dietetic Association’ s (NZDA’s) highest honour, the Award of Excellence in Nutrition Education for her involvement in the provision of nutrition education to Maori. Ms Pihema is also a past President of the NZDA and has assisted in the strengthening of collaborative links between the NZDA and the Dietitians’ Association of Australia. 210 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Mr Owen Symmans

Mr Symmans is currently Chief Executive Offi cer of the New Zealand Seafood Industry Council Ltd. He has a varied background, having worked for Federated Farmers of New Zealand, Government and the dairy and meat industry.

Dr Michele Allan

Dr Allan has strong leadership experience across many facets of the food industry. Her areas of expertise included food science, food allergy, medical science, food safety, and biotechnology.

Dr Katrine Baghurst

Over the past 30 years, Dr Baghurst has been involved in research and in translation of research to practice in the nutrition fi eld in both Australia and New Zealand. Her extensive experience make her a specialist in relation to determining food choice, consumer needs, current dietary patterns in the community and nutritional and food education.

Mr Peter Boyden

Peter Boyden is an internationally experienced CEO with extensive general management and marketing experience gained in consumer foods businesses in Australia, UK, Netherlands and Greece. His most recent role was Managing Director and regional Board member of the Unilever Australasian foods business and a Board member of the Australian Food and Grocery Council. He currently acts as a business mentor for senior executives. His areas of responsibility have included the management of consumer marketing, product and packaging development, food production and general management, where he has focused on strategy development and portfolio management.

Dr Peter Williams

Dr Williams brings to the Board a strong background in public health, food science, food allergy, human nutrition and food safety. Dr Peter Williams is a Senior Lecturer in Nutrition and Dietetics in the Department of Biomedical Science at Wollongong University and leads the regulatory affairs work of the National Centre of Excellence in Functional Foods. Before his employment at Wollongong, Peter was the Director of Scientifi c and Consumer Affairs at Kelloggs for three years, and previously worked as the Chief Dietitian and Food Services Manager at Royal Prince Alfred Hospital. Peter served a two year term as President of the Dietitians Association of Australia from 2001 and has served on NH&MRC working parties for the review of Dietary Guidelines for Australia and the review of recommended nutrient intakes, as well as a member of the steering committee for the Heart Foundation’s Pick the Tick program. ANNUAL REPORT 2004 - 2005 211

ACRONYMS AND ABBREVIATIONS

ACRONYMS AND ABBREVIATIONS

AAT Administrative Appeals Tribunal ABS Australian Bureau of Statistics ACCC Australian Competition and Consumer Commission ADI Acceptable daily intake AFFA Agriculture, Fisheries and Forestry — Australia AFGC Australian Food and Grocery Council AFTA ASEAN Free Trade Area; AGAL Australian Government Analytical Laboratory ALGA Australian Local Government Association ANAO Australian National Audit Offi ce ANZFA Australia New Zealand Food Authority ANZFA Act Australia New Zealand Food Authority Act 1991 ANZFAAC Australia New Zealand Food Authority Advisory Committee ANZFRMC Australia and New Zealand Food Regulation Ministerial Council APEC Asia-Pacifi c Economic Cooperation (Forum) APVMA Australian Pesticides and Veterinary Medicines Authority AQIS Australian Quarantine and Inspection Service ASEAN Association of South-East Asian Nations ATDS Australian Total Diet Study AusAID Australian Agency for International Development ATO Australian Taxation Offi ce AWAs Australian Workplace Agreements BRS Bureau of Rural Sciences BSE Bovine Spongiform Encephalopathy CCPR Codex Committee on Pesticide Residues CEP Closer Economic Partnership CER Australia New Zealand Closer Economic Relations Agreement CJD Creutzfeld-Jacob Disease COAG Council of Australian Governments Codex Codex Alimentarius Commission and its Committees CPSU Community and Public Sector Union DAFF Department of Agriculture, Fisheries and Forestry DFAT Department of Foreign Affairs and Trade DHA docosahexaenoic acid DIAMOND Dietary Modelling of Nutritional Data DISC Food Standards Development and Implementation sub Committee 212 FOOD STANDARDS AUSTRALIA NEW ZEALAND

DoHA Department of Health and Ageing ERLs Extraneous Residue Limits ERMA Environmental Risk Management Authority (NZ) ESR New Zealand Institute of Environmental Science and Research Limited EU European Union EC European Commission FANO Federation of Australian Nutrition Organisations FAO Food and Agriculture Organization FDA U.S. Food and Drug Administration FOI Freedom of Information FRSC Food Regulation Standing Committee FSA Food Science Australia FSANZ Food Standards Australia New Zealand FSANZ Act Food Standards Australia New Zealand Act 1991 FSC Australia New Zealand Food Standards Code FSIC Food Safety Information Council GELs Generally expected levels for metal contaminants GM Genetically Modifi ed GMAC Genetic Manipulation Advisory Committee GMF Genetically Modifi ed Food GMO Genetically Modifi ed Organism HACCP hazard analysis critical control point HREOC Human Rights and Equal Opportunity Commission HSNO Hazardous Substances and New Organisms Act (NZ) IFAC Imported Food Advisory Committee IFP Imported Food Program IGA Inter-Government Agreement ISC Implementation Sub Committee IT Information Technology IWG Senior Food Offi cer Implementation Working Group JECFA Joint FAO/WHO Expert Committee on Food Additives LDP Leadership Development Program MAIF Marketing in Australia of Infant formula Agreement MEAA Media Entertainment and Arts Alliance MOU Memorandum of Understanding MRLs Maximum Residue Limits NHMRC National Health and Medical Research Council NZODA New Zealand Offi cial Development Assistance Program NZFSA New Zealand Food Safety Authority ANNUAL REPORT 2004 - 2005 213

ACRONYMS AND ABBREVIATIONS

NICNAS National Industrial Chemicals Notifi cation and Assessment Scheme NRA National Registration Authority for Agricultural and veterinary Chemicals NTD Neural Tube Defects NUTTAB Nutrient Composition Database OECD Organization for Economic Cooperation and Development OGTR Offi ce of the Gene Technology Regulator OH&S Occupational Health and Safety ORR Offi ce of Regulation Review PBS Portfolio Budget Statement PRP Project Review Panel RIS Regulatory Impact Statement SDC Standards Development Committee SFOs Senior Food Offi cers SIGNAL Strategic Intergovernmental Nutrition Alliance SOWG Senior Offi cials’ Working Group on Food Regulation SPS Agreement Agreement on the Application of Sanitary and Phytosanitary Measures STAMEQ Directorate of Standards and Quality (Vietnam) TAG Technical Advisory Group TBT Agreement Agreement on Technical Barriers to Trade TGA Therapeutic Goods Administration THC Tetrahydrocannabinol TILF Trade and Investment Liberalisation and Facilitation USFDA United States Food and Drug Administration WHO World Health Organization WTO World Trade Organization 214 FOOD STANDARDS AUSTRALIA NEW ZEALAND

AAT, see Administrative Appeals Tribunal Abbott, Peter, 17, 199, 200, 201, 203 acceptable daily intake (ADI), 39 accountability, 25, 102–22 acronyms and abbreviations, 211–13 acrylamides, 28, 49 Ad Hoc Intergovernmental Task Force on Foods Derived from Biotechnology, 63 additives, 40, 48, 55 Administrative Appeals Tribunal (AAT), 113, 132 Advice Line, 72, 87–8 advisory groups and committees, 32, 35, 75, 107 aged community, 91 see also vulnerable populations Agreement on Technical Barriers to Trade (TBT), 62, 63, 64 Agreement on the Application of Sanitary and Phytosanitary Measures (SPS), 61–2, 63, 64 agreements, 9 Australian Government/States and Territories, 13 Australia–New Zealand, 13, 19, 107 free trade, 69 international, 9, 61–2, 63–4 US–Australia Confi dentiality, 65 agricultural and veterinary chemicals, 37, 123, 124, 125, 126 AIFST Conference, 201 Allan, Michele, 210 allergenic foods, 58, 59 experts, 65 food recalls, 50–1, 65 thresholds, 59 allergies, 47, 59 alpha–cyclodextrin, 124 Angus, Laura, 17 animals, cloned, 47, 48 annual report processes and procedures, 115, 119 ANZFA, see Australia New Zealand Food Authority ANZFRMC, see Australia and New Zealand Food Regulation Ministerial Council APEC, see Asia–Pacifi c Economic Cooperation (Forum) applications and proposals, 29–30 assessment, 14 gazetted, 31, 123–5 GM foods, 39, 40–1 number of, 28, 29, 30 processes, 11, 15, 58–9, 135–7 processed, 128–34 Public register, 74, 196 risk assessment/risk management framework, 116 timeliness, 28, 29 workload, 27 APVMA, see Australian Pesticides and Veterinary Medicines Authority AQIS, see Australian Quarantine and Inspection Service aquaculture, 52 artifi cial sweeteners, 39, 126 ASEAN, see Association of South East Asian Nations ASEAN/ILSI Training Workshop on Safety and Risk Assessment of Agriculture–Related GMOs, 68 Asia Pacifi c, 68–9 ANNUAL REPORT 2004 - 2005 215

INDEX

Asia–Pacifi c Economic Cooperation (APEC), 9, 69, 86 Senior Offi cials Meeting, 69 assessment of applications/proposals, 14 processes, 15, 58–9, 135–7 assets management, 118 assistance for industry (on website), 54 Association of South East Asian Nations (ASEAN), 9 /ILSI Training Workshop on Risk Assessment of Agriculture–Related GMOs, 68 ATDS, see Australian Total Diet Study Attwood, Elaine, 207, 208 audits, 76, 113–17, 119 AusAID, 68, 69, 76, 86 AUSNUT, 180 Australia and New Zealand Food Regulation Ministerial Council (ANZFRMC), 9, 10, 14, 27, 28, 30, 37, 38, 78, 123 applications, 126–34 process, 137 policy, 34, 104–5 representation, 31 reviews, 30–1, 38–9, 41 Australia New Zealand Food Authority (ANZFA), 104 Australia New Zealand Food Authority Act 2001, 139 Australia New Zealand Food Standards Code, see Food Standards Code Australia–New Zealand food regulatory partnership, 107 Australia–New Zealand Treaty, 46 Australia/New Zealand Standard on Risk Management, 116 Australia–Japan Trade and Economic Framework, 69 Australian Agency for International Development (AusAID), 68, 69, 76, 86 Australian Chamber of Commerce and Industry (ACCI), 77 Australian Competition and Consumer Commission (ACCC), 51, 85 Australian Consumers Association, 78 Australian Food and Grocery Council (AFGC), 77 Australian Food and Nutrient Database, 180 Australian Food Safety Centre of Excellence, 57 Australian Food Standards Code, see Food Standards Code Australian Government Codex Policy committee, 83 Australian Government Department of Agriculture, Fisheries and Forestry (DAFF), 37, 59, 63, 64, 69, 83, 85 Australian Government Department of Finance and Administration (DFA), 113 Australian Government Department of Foreign Affairs and Trade (DFAT), 69, 76, 86 Australian Government Department of Health and Ageing, (DoHA), 14, 18, 37, 54, 55, 68, 69, 79, 80, 81, 85, 109 Australian Government Department of Primary Industry, 83 Australian Government Department of Prime Minister and Cabinet, (DPMC), 69, 115 Australian Government Management Advisory Committee (MAC), 94 Australian Government Solicitor, 109 Australian Institute of Food Science and Technology (AIFST), 201 Australian Local Government Association (ALGA), 78 Australian Maximum Residue Limits (MRLs), 37, 124 Australian National Audit Offi ce (ANAO), 110, 111, 113, 115 Australian Pesticides and Veterinary Medicines Authority (APVMA), 37, 55, 76, 85, 123, 124, 125 Australian Public Service, 76, 93, 94, 98, 99, 108 State of the Service report, 93, 94 Australian Quarantine and Inspection Service (AQIS), 48, 49–50, 76, 84 Australian Total Diet Study (ATDS), 28, 47, 52 Australian Workplace Agreements, 99 avilamycin, 125 216 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Baghurst, Dr Katrine, 210 Baines, Janis, 17 beef and beef products, see BSE; cattle; meat benzoates, 40, 52 benzocaine, 125 best practice, 60 bilateral relationship, 65 bioactive ingredients, 47 biotechnology, see genetically modifi ed foods biotechnology, Ad Hoc Intergovernmental Task Force on Foods Derived from, 63 biotoxin contamination, 50 Blair Report, 104 blood serum, 47 Board, see FSANZ Board Borland, Professor Jeff, 55 Bovine Spongiform Encephalopathy, see BSE Boyd, Dr Bob, 17, 202, 203 Boyden, Peter, 210 Brent, Paul, 17, 204 Brown, Kent, 17 BSE, 56, 81, 83, 86 Buchtmann, Lydia, 17 Buckle, Professor Ken, 12, 110 Business Continuity Plan, 117 business continuity planning, 116–17 Byes, Professor Julie, 55

CA, see Certifi ed Agreement caffeine, 38 calcium, 38, 43 proprionate, 90 Canada, 32, 62, 64, 65 Food Inspection Agency, 46, 74 Health Canada, 32, 65, 68 Memorandum of Understanding, 64 cancer, 49, 57, 59 canola seed, genetically modifi ed, 40 carbon monoxide, 47 cardiovascular disease, 57 Carey, Professor John, 55 catering organisations, 33 cattle, 47, 124 cereal based beverages, 43 cereals, breakfast, 43, 125 Certifi ed Agreement (CA), 99–100 Chairman, FSANZ Board, 12, 62, 208 cheeses, 45, 46, 86, 130 Chemical Risk Analysis workshop, 68 chemicals, 54 compounds, 47 residues, 37, 42, 52, 76 risk assessment, 59 Chief Executive Offi cer (CEO), 68, 90, 105, 111, 112, 118, 122 review by, 9–11 ANNUAL REPORT 2004 - 2005 217

INDEX

Chief Medical Adviser, 53 Chief Scientist, 46, 55, 62, 111, 118 children, 41, 42, 43, 47, 55 see also infant foods China, 68, 69 chloramphenicol, 65 Christmas Food Safety campaigns, 91 claims, nutrition, health and related, 32–3, 72, 73, 130, 133 Clostridium botulinum, 65 COAG, see Council of Australian Governments code of practice, 135, 181 Codex Ad Hoc Intergovernmental Task Force on Foods Derived from Biotechnology, 63 Codex Alimentarius Commission (Codex), 9, 58, 61–3, 199 Codex Committee on Food Additives and Contaminants (CCFAC), 63 Codex Committee on Food Hygiene, 63 Codex Committee on Food Import and Export Inspection and Certifi cation Systems, 63 Codex Committee on Food Labelling, 63 Codex Committee on General Principles, 62 Codex Committee on Nutrition and Foods for Special Dietary Uses, 62, 63 Codex committees, 9 Codex guidelines, 63 Codex Policy Committee, Australian Government, 83 cola drinks, 38 Cole, Dr Martin, 55 collaboration, 64–5, 80 collagen, 123 Comcare, 100 Comcover, 116 Commonwealth Authorities and Companies (CAC) Act 1997, 108 Commonwealth Disability Strategy, 100–1 Commonwealth Fraud Control Guidelines, 117 communicable diseases, 58 communication, 86–91 internal, 122 Communication Section, 106 Communication strategy, 86 community education, 86–7, 90 forums, 74 involvement in processes, 73–6 Involvement Policy and Protocol, 73 competitive tendering and contractors, 118 complaints handling, 81, 107 composition of food, 54 computing, see information technology conferences, 87 Food Safety, 87, 90 see also presentations and workshops; seminars; speaking engagements consultants, 48, 118, 197–8 consultation, community, 29, 36, 74, 137 forums, 74 policy, 73 public briefi ngs, 74 targeted, 74 218 FOOD STANDARDS AUSTRALIA NEW ZEALAND

consumers, 36, 78 research on infant food labelling, 36 research on perceptions, 60, 61 see also stakeholders and partners Consumers’ Institute of New Zealand, 78 contact offi cer for additional information, 8 Contacts Database System (CDS), 121 contaminants, 52, 85, 123, 180 contract management, 116 CoOL, see Country of Origin Labeling Coordinated Food Survey Plan, 51, 52 corn, 40 corporate governance, 103, 107–8 follow up review, 115 corporate overview, 13–21, 120 Corporate Plan, 17, 26, 117–18 Corporate Section, 106 cost recovery, 121 Council of Australian Governments (COAG), 60, 104, 106 country of origin labelling (CoOL), 10, 33, 63 Cowling, Dr Anne, 55 Craven, Dr John, 208 Crerar, Scott, 17, 199, 200, 202, 204 Crohn’s Disease, 47 Crossley, Steve, 17 CSIRO, 83 cyclamate, 39, 126 cyclic polysaccharide, 124

dairy industry, 10, 45 dairy products, 38, 43, 45 data collection, 28, 112 databases, 66, 121, 138, 180, 186, 195 Deloittes, 120 Department of Agriculture, Fisheries and Forestry (DAFF), 37, 59, 63, 64, 69, 83, 85 Department of Finance and Administration, 113 Department of Foreign Affairs and Trade (DFAT), 69, 76, 86 Department of Health and Ageing (DoHA), 14, 18, 37, 54, 55, 68, 69, 79, 80, 81, 85, 109 Department of Primary Industry, 83 Department of Prime Minister and Cabinet, 69, 115 Development and Implementation of Record Keeping System (DIRKS), 122 DFAT, see Department of Foreign Affairs and Trade DHA–rich Micro–algal oil, 125 diacylglycerol oil, 123 DIAMOND (Dietary Modelling of Nutritional Data), 55 diet related illness, 32, 47, 48, 57–8 dietary exposure assessments, 38, 54 workshop, 59 dietary fi bre, 63, 123 dietary guidelines, 36, 210 dietary modelling, 41, 47, 52, 54, 55, 129, 130 Dietary Modelling of Nutritional Data (DIAMOND), 55 dietary supplements, 28, 41, 43 diet–disease relationship, 32, 47, 48, 57–8 ANNUAL REPORT 2004 - 2005 219

INDEX

Dietitians Association of Australia, 209, 210 DIRKS, see Development and Implementation of Record Keeping System disability strategy, 100–1 disability, people with staff, 97 stakeholder groups, 100 document management, 121–2 documents held, categories, 194–6 draft assessment reports, 136 draft standards, 15, 38, 63 ecologically sustainable development, 83 Economic, Social Analysis & International Section, 106 eggs, 45, 59, 63 electronic information, see website emergencies, 28, 46, 48, 65, 87 Emergency Animal Disease Crisis Communication training, 87 emergency protocol, 46 emerging issues, 64 food, 28, 46–7 public health, 10–11 science, 119 Employee Assistance Program, 101 employees, see staff enforcement offi cers, 61, 75 environmental scanning, 119 enzymes, 39, 124 equal employment opportunity (EEO), 97 Ernst & Young, 118 esystems, 121 Europe, 64 European Food Safety Authority (EFSA), 40, 65 European Union (EU), 66 evaluation, 53, 55 communication, 87, 90, 108–9 food regulatory measures, 60–1 Stakeholder Advisory Group, 76 Evaluation Strategy, 60, 76, 139 evidence base, 11, 53–60 Executive, 111, 112 Expert Advisory Group on Antimicrobial Resistance (EAGAR), 56 external expertise, 53, 55–8 scrutiny, 113–14 Eyres, Laurence, 207, 209

Fact Sheets, see publications FAO, see Food and Agriculture Organization FAO/WHO Co–ordinating Committee for North America and South West Pacifi c (CCNASWP), 62 FAO/WHO Global Forum of Food Safety Regulators, 62 fellows, 53, 55 fermented meat products, see UCFM Final Assessment Report, 15, 137 220 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Finance and Audit Committee, 207 fi nance and fi nancial management, 103–4, 113 cost recovery, 121 improvements, 117 Finance Section, 106 Finance, Audit and Risk Management Committee (FARMC), 110, 114 Finance, Audit and Risk Management Committee, 110 fi nancial outcomes, 19–21 fi nancial performance summary, 19 variance reporting and analysis, 120 Financial Plan, Four–Year, 20–1, 104, 113, 120 fi nancial statements, 141–76 fi sh products, see seafood Fisher, Melanie, 17, 112, 201, 204 Fladun, John, 17 FOI requests, 195 folate, 10–11, 54, 65 folic acid, 35, 54 food additives, 40, 48, 55 allergy, 47, 59 businesses, 33 composition, 54 contaminants, 52, 85, 123, 180 emergencies, 28, 46, 48, 65, 87 emergency protocol, 46 handling, 61, 78, 91 imports, 49–50 industry, 35, 54 intolerances, 47, 48 labelling, 10, 28, 36, 60, 63, 87 recalls, 28, 50–1, 65 regulation, 10 regulation system, 10 related illness, 32, 47, 48, 57–8 safety, 36, 50 special purpose, 31 supply chain, 35, 43, 44, 45, 105 standards development, 32, 33 surveys, 51–2 trade, 61 Food and Agriculture Organization, UN (FAO), 47, 49, 59, 62 food consumption data, 54 Food Recall System, internal audit, 115 Food Regulation Agreement, 13, 107 Food Regulation Discussion Paper, 72 Food Regulation Review (Blair) Report, 104 Food Regulation Standing Committee (FRSC), 11, 37, 38, 72, 78–9 review of processes, 29, 73 Food Safety & Services, Branch, 16 food safety and primary production, 59–60 Food Safety Conference, 87, 90 Food Safety Information Council (FSIC), 91 food safety objectives, 57, 62 ANNUAL REPORT 2004 - 2005 221

INDEX

food safety programs, mandatory, 33 Food Safety Quadrilaterals, 64, 65 food safety standards, 10 Food Safety Week, 87 Food Safety, International Authorities Network (INFOSAN), 62 Food Science Australia (FSA), 130 Food Standards Australia New Zealand (FSANZ), see FSANZ Food Standards Australia New Zealand Act 1991, 7, 13, 14, 104, 128, 129, 132, 133, 177–9 Food Standards (Canberra), 2, 16, 195, 196 Food Standards Code, 9, 14, 87 Advice Line, 72, 87–8 chemicals, 37, 42 gazetted amendments, 31, 123–5 review, 31, 39–40 user guides, 34, 180, 190 variations to, 14, 31, 48 wine, 33, 123 see also applications and proposals Food Standards Gazette, 123–5, 137 Food Standards News, 90 Food Standards (Wellington), 2, 16, 195, 196 Food Surveillance Network, 52, 80 Food Surveillance News, 52 food–borne illness, 10 foreign matter recalls, 50 formulated beverages, 42 fortifi cation, 28, 30, 34–5, 36, 41, 43, 54, 56, 133–4 Fortifi cation Standards Development Advisory committee, 35, 86 forum, international, 62 France, 46, 65, 130–1 fraud control, 117 Fraud Control Plan, 118 Free Trade Agreements, 69 freedom of information (FOI) requests, 195 Freedom of Information Practitioners forum, 109 FRSC, see Food Regulation Standing Committee FSANZ establishment, 13, 104 objectives, 22, 23, 24 role and functions, 13–14 structure, 16–17, 105–6 FSANZ Act 1991 section 6, 104 section 7, 177–9 section 18, 129, 132 section 12AA, 128–9 section 21, 132 section 22, 132 section 23, 132 section 26(1), 132 section 28, 133 section 35, 129 subsection 35(2), 129–32 222 FOOD STANDARDS AUSTRALIA NEW ZEALAND

FSANZ Board, 10, 14, 33, 46 Chairman, 12, 62, 208 Charter, 110–11, 113 functions, 14 members, 110, 207–10 FSANZ Fellows Program, 53, 55 membership, 55 FSANZ Primary Production and Processing Standard for Seafood, 10, 33, 43, 75, 87, 125 FSANZ Primary Production and Processing Standards, 43 FSANZ Secretariat, 110 functional foods, 57 functions and powers, 13–14, 177–9

Gene Technology Act 2000, 48 General Managers, 105, 111, 118 Claire Pontin, 17, 112 Dean Stockwell, 17, 112 Melanie Fisher, 17, 112 genetically modifi ed (GM) foods (gene technology), 30, 39, 64, 68, 131 applications and proposals, 39, 40–1 herbicide–tolerant sugar beet, 126 insect–protected cotton line, 124 labelling, 63 glufosinate–ammonium–tolerant, 39, 125 glyphosate–tolerant canola line, 40 unapproved, 40 Gidley, Dr Mike, 55 gluten, 124 governance, 103, 107–8, 115 Government Food Communicators Group, 86, 87 government partners, 48, 78–86 graduate recruitment, 96 grapes, 127 guarana, 38 guide to the report, 7 guidelines, 32, 31–6, 60, 63, 121, 133

Hare, John, 17 harmonisation, 35, 64, 67, 68, 69 MRLs, 37 Hazelton, Jenny, 17 Health Canada, 32, 65, 68 health claims, 10, 28, 32–3, 48, 54, 57–8, 60, 63, 72, 73, 130, 133 Healy, Dr Marion, 17, 112, 199, 200, 201, 202, 203, 204 heart disease, 57 herbs, 49, 84 Hill, Amanda, 17, 200, 203 Huckerby, Dr John, 55 Hudson, Professor Chris, 12, 110 human resources, 92–101 see also staff ANNUAL REPORT 2004 - 2005 223

INDEX

implementation, 76 national strategy, 80 Implementation Sub Committee (ISC), 51, 79, 80 Working Group, 79 imported food, 49–50 Imported Food Program (IFP), 49–50, 84 Imported Foods Consultative Committee (IFCC), 77, 84 industry, 35, 77 advice line, 72, 87–8 assistance (on web site), 54 industry emergency protocol, 46 infant foods, 36, 63 infant formula, 63 information technology (IT) security arrangements, 116 website, 89–90, 100 INFOSAN (International Food Safety Authorities Network, 62 ingredient labelling, see labelling Initial Assessment Reports, 73 process, 135–6 insect–protected cotton line, 39, 124 Interdepartmental Advisory committee, 37 Intergovernmental Food Regulation Agreement, 13, 106, 107 internal audit, 76, 113–17, 119 internal processes, 69 internal scrutiny, 11, 76, 114–17 international activities, 61–9 agencies and organization, 91 agreements, 9, 61–2, 63–4 forums, 199–201 guidelines, 59, 63 issues, 47 networks, 61–9 projects, 67–8 standards, 35 trade, 37, 61 training, 62, 68, 69, 113 visitors, 66–7 see also Codex Alimentarius Commission International Life Science Institute (ILSI), 56 Internet electronic email update service, 90 Food Safety, International Authorities Network (INFOSAN), 62 see also website iodine, 35, 41, 43, 52, 54, 125, 129 Ireland Food Standards Agency, 65 ISC, see Implementation Sub Committee

Japan–Australia Trade and Economic Framework, 69 Johne’s disease, 47 Joint FAO/WHO Expert Committee on Food Additives (JECFA), 47, 49, 59 juice bars, 48 224 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Kahui Kounga Kai, 74–5 Knowles, the Hon Rob, 12, 208 Korea, 69, 74

label monitoring project, 60–1 Labelling and Information Standards Section, 106 labelling, 10, 28 genetically modifi ed foods, 63 infant foods, 36 monitoring, 60–1, 87 quantitative, 63 recalls, 50 survey, 60 lactose intolerance, 48 lasalocid, 124 legislation, enabling, 13 legumes, 43 letter of transmission, 3 Lewis, Janine, 17 listeria, 87 Loblay, Dr Rob, 55

mad cow disease, see BSE Mahoney, Deon, 17, 199, 203 mailing lists, 195 Malaysia, 69 malt, 124 maltrodextrin (RMD), 123 Management Group, 111 management systems, 98, 103 Mann, Professor Jim, 55 Maori consultation, 74–5, 100 Maori Reference Group, 74, 100 Maximum Residue Limits (MRLs), 37, 42, 56, 123, 124, 125, 126, 127 McMeekin, Professor Tom, 55 McNeil, Professor John, 55 meat products, 33, 34 red, 45, 125 retail, packaged, 47 see also beef and beef products; cattle; pigs; poultry media, 90 medicine, 47 see also Chief Medical Adviser; special medical purposes Memorandums of Understanding (MOU), 46, 64, 69, 72, 74, 84 mercury, 47, 49, 87 microbiological recalls, 50, 65 milk and milk products, 43, 45, 46, 59, 126 human milk food, 47 Milne, Peter, 209 minerals and vitamins, 34–5, 42, 63, 133 ministerial briefi ngs and correspondence, 109 Ministerial Council, see Australia and New Zealand Food Regulation Ministerial Council Ministerial policy guidelines, 31–6 ANNUAL REPORT 2004 - 2005 225

INDEX

ministerial responsibility, 14 Ministry of Health (NZ), 137 mission, 13 modelling, 41, 52 Modelling, Evaluation & Surveillance Section, 106 monitoring and surveillance, 51–2 Morris, Professor Roger, 55 MOU, see Memorandums of Understanding MRLs, see Maximum Residue Limits mushrooms, 65

National Centre of Excellence in Functional Foods (NCEFF), 57 National Food Authority (NFA), 106 National Food Industry Strategy, 57 National Food Safety Incident Protocol, 46, 79 National Health and Medical Research (NHMRC), 56 Dietary Guidelines for Children and Adolescents, 36 National Nutrition Survey (NNS), 54 National Surveillance and Monitoring Policy and Protocol, 79 neomycin, 126 neural tube defects, 35 New Zealand Dietetic Association, 209 New Zealand Food and Grocery Council, 77 New Zealand Food and Nutrition Guidelines for Healthy Infants and Toddlers, 36 New Zealand Food Regulation, 9, 13, 14, 27, 36, 39, 104 New Zealand Food Safety Authority (NZFSA), 49, 80, 84 New Zealand Foodsafe Partnership, 91 New Zealand Ministry of Health, 137 New Zealand National Children’s Nutrition Survey, 55 New Zealand National Nutrition Survey, 55 New Zealand beverages, 42 infant feeding guidelines, 36 primary production, 43 NHMRC, see National Health and Medical Research nicotine, 124 nitrofurans, 37 non–English speaking background, staff from, 97 norovirus, 28 novel foods, 34, 41, 64, 123, 124, 125 nutrient claims, 32, 54 Nutrient Data Table, see AUSNUT nutrients, risk assessment, 59 nutrition content, 54 nutrition, health and related claims, 32, 54, 60, 63, 72, 73, 130, 133 Nutrition Panel Calculator, 54 NZFSA, see New Zealand Food Safety Authority oats, 124 O’Dea, Professor Kerin, 12, 110 Occupational Health and Safety (OH&S), 100 octanoic acid, 125 OECD Task Force for the Safety of Novel Foods and Feeds, 64 226 FOOD STANDARDS AUSTRALIA NEW ZEALAND

Offi ce of Chemical Safety (OCS), 55 Offi ce of Legal Counsel, 105, 106 Offi ce of the Gene Technology Regulator (OGTR), 82 Offi cial Shopper’s Guide to Food Additives and Labels, 180 OGTR, see Offi ce of the Gene Technology Regulator omnibus amendments, 30, 126 online services, see website organisation chart, 17 organisational structure, 16, 105–6 Organization for Economic Cooperation and Development (OECD), 64 outcomes and outputs structure, 18, 138–9 overseas visitors, 66–7 oysters, 28, 33, 86

paprika, 48, 49 para red food dyes, 48–9 partners and stakeholders, 23, 44, 45, 48 communication with, 86–91, 121 New Zealand, 73 partnership agreements, 106–7 partnerships, 106–7 PBS, see Portfolio Budget Statement Peachey, Graham, 112, 203, 204, 205, 209 peanuts, 59 performance agreements, 17, 25 bonus payments, 100, 112, 122 fi nancial, summary, 19 highlights, 27, 71, 93, 103 indicators, 18–19, 22, 23, 24, 71, 118, 138–9 management, 99 measurement tools, 119 non–fi nancial information, 120 Performance Enhancement Scheme (PES), 98, 120, 122 pesticides and pesticide contaminants, 52, 123 phospholipase A2, 124 phytosterols, 30, 38, 126 tall oil, 39, 126 pigs, 124 Pihema, Hikihiki, 74, 209 Planning & Capability Section, 106 plant and plant products, 45 policy guidelines, 31–6, 133–4 polybrominated diphenyl ethers (PBDEs), 47 Pontin, Claire, 17, 112, 200 Portfolio Budget Statement (PBS), 17, 18, 26, 27, 115, 118 Post Market Operations Section, 106 poultry industry, 10, 44 poultry meat, 44–5, 60, 61, 124, 125 powers, 13–14, 177–9 prawns, 48 pregnant women, 47 presentations and workshops, 59, 65, 68 see also conferences; seminars; speaking engagements ANNUAL REPORT 2004 - 2005 227

INDEX

preservatives, 52 Primary Industry Standing Committee (PISC), 83 Primary Production & Food Safety Section, 106 Primary Production and Processing Standards, 43–5, 72, 75 dairy, 10, 45, 58 imported food, 49–50 policy guideline, 133 poultry, 10, 44–5 seafood, 10, 33, 43–4, 75, 125 primary production work, 35–6 Principles and Guidelines for National Standard Setting and Regulatory Action by Ministerial Councils and Standard–Setting Bodies, 60 process for applications, 15 processing aids, 30, 39, 41, 55, 124, 124 procymidone, 47 Product Safety Standards, 105 Productivity Commission, 60 proposals and applications, 14 Protocol and Strategy for the Establishment and Operation of a Coordinated Food Survey Plan, 51 Protocol for the Development of Primary Production and Processing Standards, 36 public briefi ngs, 74 public contact, 74 public health, 28 professionals, 86 standards, 42–51 Public Health Nutrition Standards Section, 106 public interest, see public health public register, 74, 196 publications, 180–93 COAG, 60 fact sheets, general, 183, 192–3 fact sheets for industry, 182 fact sheets for charities and community organisations, 183 fact sheets, technical, 187–90 FSANZ staff contributions to, 206 research reports, 191–2 Safe Seafood Australia, 44 Shopper’s Guide, 180 user guides, 190 purchasing, 118 Pyne MP, the Hon Christopher, 14, 44, 108, 177

Quadrilateral Food Safety meeting, 64, 65 raw milk cheese, 45, 46 recalls, 28, 50–1, 65 recommended dietary intakes (RDI), 56 record keeping, 121–2 Records Management Policy, 121 red food dyes, 28, 48–9 regional projects, 65–8 228 FOOD STANDARDS AUSTRALIA NEW ZEALAND

regulatory convergence, 10, 11 impact statement (RIS), 15, 18, 27, 55, 60 measures, 22, 27–69 Regulatory Agency Guidelines for Cost Recovery, 121 representation, 199–10 Retailers and Manufacturers Liaison Committee, 77 reviews, Ministerial Council, 30–1, 38–9, 41 RIS, see Regulatory Impact Statement risk analysis, 62 assessment, 53, 58, 59, 69 communication, 86, 87 management, 10–11, 58, 105, 114, 116–17 training, 87 risk analysis, food safety, 62, 63 Risk Assessment – Chemical Safety, 106 Risk Assessment – Microbiology, 106 Risk Assessment – Public Health Nutrition, 106 Roquefort cheese, 46, 86, 130

saccharin, 126 Sanitary and Phytosanitory (SPS) Agreement, 61–2, 63 Scientifi c Advisory Group, 53, 55 scientifi c expert committees, 57–8 Scientifi c Fellows, 55 scientifi c network, 55, 56 scientifi c risk analysis, 53, 58, 62 Scientifi c Risk Analysis Framework, 58 scientifi c risk assessment, 53, 58, 59, 105 Scientifi c Risk Assessment & Evaluation Branch, 16 SDCs, see standards development committees seafood, 65 chemical residues, 45, 52 seafood industry, 33, 44, 47–8 Seafood Standard Development Committee (SDC), 10 seafood standards, 10, 28, 33, 43–4, 87 Secretariat, 110 seminars food safety standard cooperation, 69 parliamentary procedures, 109 social science, 55 see also conferences; presentations and workshops; speaking engagements Senate Community Affairs Legislation committee, 119 Senate Estimates Committees, 109 senior management, 111 Service Charter, 107 Shopper’s Guide to Food Additives and Labels, 180 SIGNAL, see Strategic Intergovernmental Nutrition Alliance sorbates, 52 soy, 43 speaking engagements, 201–5 see also conferences; presentations and workshops; seminars Special Expert Committee on Transmissible Spongiform Encephalopathies (SECTSE), 56 ANNUAL REPORT 2004 - 2005 229

INDEX

special medical purposes, 32, 42 spices, 48–9, 49, 65 sports foods, 28 review, 32 SPS Agreement, 61–2, 63, 64 staff assistance, 101 Staff Forum, 93–4, 98, 100 staff, 24, 92–101 assistance, 101 cessations, 97 disability, 97 fl exible working arrangements, 99, 101 gender, 95, 97 learning and development, 98–9 mature age, 98 median age, 95 non–English speaking background, 97 numbers, 94, 95 profi le, 94 qualifi cations, 96 recruitment, 93, 97 graduate, 96 skills base, 93 training, 98–9, 109, 122 stakeholders and partners, 23, 58, 61, 80–101 communication with, 86–91, 121 diagram illustrating, 73 New Zealand, 73 standards development advisory committees (SDACs), 72, 75, 86 development committees (SDCs), 35, 43, 44 Standards Australia, 74 Standards Development Advisory Group, 32 Standards Management System, 120 internal audit, 115 Standards Workplan Management System (SMS), 121 Standing Committee, see Food Regulation Standing Committee (FRSC) statutory objectives, 22 Stockwell, Dean, 17, 112, 202, 204, 205 Strategic Intergovernmental Nutrition Alliance (SIGNAL), 54, 86 strategic issues, 119 Strategic Science Unit, 53, 106 structure, 16, 105–6 subscription services, 90 sudan red food dyes, 48 sulphites, 40, 52 surveillance and monitoring, 79 surveys, 51–2, 54–5 sweeteners, 126 artifi cial, 39 intense, 126 Symmans, Owen, 210 230 FOOD STANDARDS AUSTRALIA NEW ZEALAND

TAG, see Technical Advisory Group Tagatose, 90 Technical Advisory Group (TAG), 79–80 review of role and functions, 80 technical assistance projects, 68–9 Technical Barriers to Trade (TBT Agreement), 62, 63, 64 technical reports, 187–90 Thailand, 69 Therapeutic Goods Administration (TGA), 55, 81 Total Diet Study, 28, 47, 52 training, 69 international, 62, 68, 69 staff, 98–9, 109, 122 trans fatty acids, 47, 63 Trans Tasman Mutual Recognition Arrangement (TTMRA), 42, 46 Transmissible Spongiform Encephalopathies (TSE), 48 Travel Policy and Arrangements, internal audit, 115 treaty, Australia–New Zealand, 46 Tsunami affected areas, 65 TTMRA, see Trans Tasman Mutual Recognition Arrangement 2,4–D, 37, 127

UCFM (uncooked comminuted fermented meat) products, 33 United Arab Emirates, 69 United Kingdom (UK) Food Standards Agency (UK FSA), 48–9, 65 Joint Health Claims Initiative, 33 University of Queensland, Centre for Nutrition and Food Science, 57 United States of America (USA), 62 Food and Drug Administration, 32–3, 40, 46, 65 Food and Safety Inspection Service, 58 user guides, 34, 180, 190 Uzbekistan, 49

vegetables, dried, 49 Vietnam, 69 vision, 13 vitamins and minerals, 34–5, 42, 63, 133 vulnerable populations, 33, 34, 38, 91

Walter Turnbull, 114 Warren, Julie, 17 washing agent, 125 website, 44, 89–90 address, 2 changes to, 90, 100 future improvements, 121 visits, 89 Wellington, Leigh, 17 wheat, 40 WHO, see World Health Organization whole of government approach, 31, 48, 67, 69, 76 ANNUAL REPORT 2004 - 2005 231

INDEX

wholegrain, 38, 126 Williams, Dr Peter, 210 wine and winemaking, 33, 123 work plan, 27 workforce planning, 98 workplace diversity, 97 Workplace Relations Act 1996, 99, 100 workshops and presentations, 59, 65, 68 World Health Organization (WHO), 47, 49, 59, 62 World Trade Organization (WTO), 63–4 Worsley, Professor Tony, 55

Yeatman, Associate Professor Heather, 12, 110

Annual Report 2004- 2005 FOOD STANDARDS Australia New Zealand

Annual Report 2004–2005

Australia New Zealand

PO Box 7186 PO Box 10559 Canberra BC The Terrace ACT 2610 Wellington 6036 Australia New Zealand Tel: +61 2 6271 2241 Tel: +64 4 473 9942 Fax: +61 2 6271 2278 Fax: +64 4 473 9855 [email protected] [email protected] www.foodstandards.gov.au www.foodstandards.govt.nz Food Standards Australia New Zealand