Wal-Marts Surprising Role in the Food Safety Crisis: An Editorial Comment on the Nations Largest Grocer
By Larry Mitchell, Chief Executive, American Corn Growers Association
With an ongoing food safety crisis involving everything from the recall
of melamine-infused pet food to the quarantine of contaminated
livestock to the tainting of frozen catfish fillets, glaring
inadequacies are being found in Americas import and food system
inadequacies that are putting the health of consumers, the safety of
the American food system and the vitality of Americas heartland at
risk.
As a system severely altered by the global economy,
it has grown farther removed not only from our heartland, but from USDA
and FDA food safety standards. Surprisingly, its also a system that is
heavily influenced by Wal-Mart, the worlds largest company and the
nations number one grocer. Through the years, Wal-Mart has quietly
but forcefully opposed additional food safety regulations and port
inspections, as well as country of origin labeling (COOL). It has put
corporate profits over its customers safety time and time again — a
dangerous combination not only to the direction of the American food
system, but to the health and safety of the American consumer.
Most people are not aware of the massive effect that the worlds
largest company has on the American food supply. As noted by Charles
Fishman in his book The Wal-Mart Effect, Wal-Mart is Chinas
eighth largest trading partner. In 2004, almost 10 percent of
everything imported to the United States from China was imported by
Wal-Mart. With the way Wal-Mart pushes their suppliers to do business
at the lowest possible cost, systems are poorly regulated and done on
the cheap.
The role of China in American products extends
beyond pet food and non-perishable goods. The precedent that such
imports set can be felt system-wide. According to the Washington Post,
Chinas agriculture exports to the United States surged to $2.26
billion last year, according to U.S. figures – – more than 20 times the
$133 million of 1980 [China Food Fears go from Pets to People,
Washington Post, 4/25/07].
Both the problem and the solution
are complex, which is what elicits the well-known metaphor of the
3-legged stool. In this case once again the three legs are government,
business and consumers. First, concerning government, the FDA and USDA
must address questions of priorities, resources and budget to improve
and enforce stricter import standards and inspections. Congress has a
significant role to play in applying pressure to these organizations
and addressing the bigger issue of foreign trade standards.
Second, the critical role of business, especially retailers cannot be
overlooked. As the worlds largest retailer, it distributes massive
quantities of imported goods. Wal-Mart should use its significant
clout with China and other importers to demand higher quality standards
and more product testing. On the home front, Wal-Mart should stop
fighting additional inspections and country of origin labeling, which
would allow customers to know whether they are buying beef from Iowa or
China. Wal-Mart should also consider returning to its abandoned Buy
American campaign and support U.S. manufacturers and local farmers
rather than shifting jobs and purchases overseas.
Third, as
American consumers we can use our purchasing power to influence how
business responds to the challenge. Without assurances that imported
goods are subject to rigorous inspections to ensure their safety, we
can opt to buy locally grown and American-made products when we shop
for groceries and other items each week. We can also decide that if we
dont know where a product comes from, maybe we dont need it.
Purchasing in such a manner not only supports local farmers and U.S.
manufacturers, it protects consumers. It also provides the opportunity
to strengthen our farm economy while protecting our food supply.
Wal-Mart is uniquely positioned to restore confidence in our food
supply and make lasting changes. Other companies are usually quick to
follow Wal-Marts lead. With $11 billion in profits last year, maybe
Wal-Mart will fulfill its obligation to do what is right by its
customers and help the country move toward a meaningful solution.