PRACTICAL IMPLICATIONS OF DEALING WITH A VARIETY OF ... · Cost effective solutions for whole chain traceability is in place • Implementation has been lagging, but demand from retailers

1 | Copyright © 2009 Strictly Confidential

PRACTICAL IMPLICATIONS OF DEALING WITH A VARIETY OF STANDARDS ALONG THE FISHERIES VALUE CHAIN

Ole-Henning Fredriksen, CEO

Round Table on Eco-labeling and certification in the fisheries sector. 22. – 23. April 2009

2 | Copyright © 2009

What’s on…?

• Who is TraceTracker?

• Global traceability in practice; a demo

• Standards, certifications and whole chain

traceability; a nightmare or an opportunity?

• Consumers care; how do we build trust?

• Summary


We are a…

• Leading provider of global traceability solutions• Expert business advisor• Trusted partner

We provide a global information exchange for the food industry

TraceTracker


On 4 December 2008 it was announced that TraceTracker had been selected Technology Pioneer 2009 by

the World Economic Forum.

See more on <www.tracetracker.com>


TraceTracker

Trust is the only global currency

Trust is the only global currency

• Est. in 2000 as a service provider

• GTNet® services enable value chain efficiency

• National network backbone UN, EU

• Global organization

• Franchises in China, Halal, etc

Partners:

Customers:

http://www.ean-int.org/

http://www.nutreco.com/

http://www.bama.no/eway/default.aspx?pid=272

http://www.mustad-autoline.com/index_eng.php


TraceTracker’s mission is to organize the world’s product information and make it universally accessible and useful.

Norway

Canada

USA

Belgium

Singapore

Thailand

Germany

Malaysia

China

East

Africa

Resellers

Offices & Joint Ventures


Application areas for GTNet®

Food We Can Trust

Boost Sales and Streamline Operations

Consumer

DialogueMarket

Access

Sustainability &

Carbon

Emissions

Quality

Sourcing

Shelf Life &

Cold Chain

Authenti-

cation

Global Traceability Network - GTNet®Aggregates data from multiple sources and logically represents it in a secure,

interactive and graphical web application format.

Traceability

Visibility


Demo of Global traceability in practice


The seafood chain

Source: Ecology Action Centre, Canada


Traceability Visibility:

TraceTracker Navigator

http://demo.globaltraceability.net

http://demo.globaltraceability.net


Traceability Visibility:

TraceTracker Navigator


Standards, certifications & traceability;

a nightmare or an opportunity …?


Compliance with major regulators

IUU Seafood

Regulation 2010


Traceability application of

IUU and catch certificate




CCI - Unbroken temperature logs

Traceability can provide full monitoring of unbroken temperature

throughout the supply chain for iced fresh seafood.

Result: Reduced amount of ice 10-30%; hence reduced transportation

costs and reduced CO2 footprint


Halal Net (AlFitrahNet)

Producers Processors Manufacturers

GTNet®

AlFitrah Net

ERP

Retail

Retail POS

Consumers

• GTNet in the global Halal

sector, incorporated in

Malaysia.

• Branded as AlFitrahNet

• Halal Products (food and

non-food) is currently USD

2.1 Trillion annually

• Halal Food food market

USD 590 Bn annually

Retail POS


• TraceTracker

• Traceability enables value creation

• Value creation by decreasing costs and increasing profits

• Case studies

• Summary

Contents

Highlights

•MoU signed in Beijing 24. September

•Shandong Institiute – first valuechain in preparation.

•119 Dairy manufacturers got mandatory supplies to CT

•National (32 province) aspirations, but no national mandat


Customers care; how do we build trust….?



Fighting IUU – a customer driven process

“Herein lies the next phase in the sustainable seafood

movement if IUU fishing will be addressed: traceability. If buyers can accurately determine where a fish was harvested,

they can determine IUU fishing on their own. ….

A decade ago, naysayers said certifying fisheries as

sustainable would be a Herculean task. But look at how far the

industry has come on that front. Once buyers are armed with

more information, their collective voice against IUU fishing will

be that much stronger.”

9.April 2009: Fiona Robinson, Editor-in-Chief SeaFood Business

http://www.seafoodsource.com/newsarticledetail.aspx?id=3104

http://www.seafoodsource.com/newsarticledetail.aspx?id=3104


Retailers – the spoken voice of the consumer

• Will prioritize the seafood suppliers that can PROVE full

traceability (preferably certified), and where COOP is granted

online access to the information all the way back to the catch.

WAL-MART• To improve transparency in the supply chain, Wal-Mart will

require direct import suppliers and suppliers of own-label and

non-branded products to provide the name and location of the

factories they use. A new supplier agreement will require

factories to certify compliance with local laws and regulations

along with 'rigorous social and environmental standards'.


Quality sourcing – the Hermes case

•“With this system we not only save costs and time associated with claims or quality matters, but we also build our reputation with partners and customers which strengthens our position in the market!”

Jan Roger Lerbukt

Hermes AS

Norwegian trawling and freezing company

Try the solution yourself (!) at

www.hermes-as.no/en/traceability/

http://www.hermes-as.no/en/traceability/




The Hermes web solution: www.hermes-as.no

“The transparent

trawler without

secrets””

http://www.hermes-as.no/




Catch information/certificate online available


TraceTracker Food Explorer at Disney

• SimexInter and Disney wanted a

tool to reach consumers of

Disney food products

• Consumers enter product codes

and follow product history

• The portal enables:

– Brand recognition and loyalty

– Consumer education: nutrition

– Cross product marketing

– Competitive differentiation

– In addition, they use the tools

to manage supply chain risk

www.kids-funfood.com

http://www.kids-funfood.com/




Information from the trawler


Demo: Disney consumer solution


Summary


Summary

• Whole chain (online) Traceability will become a key element in

documenting non-IUU. Will ease the handling of catch

certificates, and provide true chain-of-custody

• Cost effective solutions for whole chain traceability is in place

• Implementation has been lagging, but demand from retailers

and consumers is now demanding chain-of-custody based on

chain visibility. Hence; certificates and Traceability will go

hand-in-hand

• Traceability delivers positive ROI through the applications


backup


Documenting Chain Traceability Links with GTNet:

The “Handshake” principle

The Global Traceability Network (GTNet)

Flow of goods

Shipment

information

Shipment

informationShipment

information

Intake

confirmationIntake

confirmation

Intake

confirmation

Producer

of raw

materials

SupplierManu-

facturer

Retail

Food Service


Consumers want seafood they can trust

Is this healthy?

Does it contain any allergens?

Is the packaging

recyclable?

Was this grown organically?

Are the employees treated well and

paid fairly?

Can I trust this brand?Is the farming and harvesting

done in a sustainable fashion?

Is it safe?

Where was it produced?

They ask many questions before making a purchase. Is it legal?

Documents

PRACTICAL IMPLICATIONS OF DEALING WITH A VARIETY OF ... · Cost effective solutions for whole chain traceability is in place • Implementation has been lagging, but demand from retailers