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Standardization and Grading

Standardization and Grading. Standards, grades, and regulations Indications of food quality Content and labeling requirements Grading. Indicators of Food Quality. RETAILER ENDORSEMENT. BRANDING. GOVERNMENT REGULATIONS. GOVERNMENT FOOD NAMING CRITERIA. INGREDIENT LIST. PACKAGING.

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Standardization and Grading

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  1. Standardization and Grading • Standards, grades, and regulations • Indications of food quality • Content and labeling requirements • Grading

  2. Indicators of Food Quality RETAILER ENDORSEMENT BRANDING GOVERNMENT REGULATIONS GOVERNMENT FOOD NAMING CRITERIA INGREDIENT LIST PACKAGING PERCEIVED PRODUCT QUALITY FEDERAL, STATE, REGIONAL, OR TRADE GRADING

  3. Food Standards • Regulations (e.g., additives) • Sanitation standards • Labeling • Product qualification requirements: criteria that products must meet in order to use a food term—e.g., • Pizza • Mayonnaise • Specifications for Government purchases

  4. Some Labeling Examples • Fat content • Framing: “80% lean” sounds leaner than “20% fat” • Possible new category of “trans fatty acids” • Calorie content • Carbohydrate • “Net” or “impact” carbs • Fortification (e.g., Vitamin C)

  5. Some Content Standards Examples • Beef stew • Chili con carne • Hamburger, ground beef • Pizza with sausage • Chicken soup

  6. Grading • Dividing disparate products within a product category into uniform sub-categories—e.g., • Butter: AA, A, B C • Eggs: AA, A, B • Beef: USDA Prime, USDA Choice, USDA Select, USDA Standard • Potatoes: U.S. Extra No. 1, U.S. No. 1 • Benefits • Consumer information • Clear commercial transactions • Futures contracts • Poolability of products in shipments • 235 Federal grades

  7. Milk Grades Source: http://www.fda.gov/fdac/features/1998/198_milk.html

  8. Types of Standards • Mandatory • Interstate vs. intrastate transactions • Permissive (recommendations) • Tentative

  9. Use of Federal grading is usually not required Tradition Cost (under some circumstances) Redundancy with other grading standards Possible inhibition of innovation Criteria: Importance of characteristics to consumers Accurate and uniform measurement Meaningful terminology that clearly describes Meaningful distribution of product between grades Reasonable cost Grading: Requirements and Standards

  10. Problems and Implementation • Harvest years may yield varying proportions of different grades • Perishabililty and its impact on grades • Inspection requirements may not be incorporated into grading • Conflicting interests of retail chain and meat packers • Lack of consumer awareness of grades and criteria

  11. Limitations on Claims that Can Be Made • “Light:” • Fewer than 50% of calories from fat • 50% reduction in sodium content if applicable • Calories reduced by at least 1/3 • “Fat free:” >0.5 grams of fat per reference unit • “Low Fat”

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