By Matthieu Favas. Agri Investor, 14 August 2017.
Poor food safety standards and breakneck growth at Chinese mega-farms could impact companies’ bottom lines and cause reputational damage, an investor group warns. The global agri supply chain risks “financial food poisoning” if nothing is done to address safety issues and the environmental impact of booming meat production in Asia, according to the Farm Animal Investment Risk and Return initiative.
In a report released today, the investor-led group suggests the rampant use of antibiotics in China’s livestock industry is undermining efforts to reduce their consumption worldwide, facilitating the emergence of antibiotic-resistant “superbugs”. China consumes nearly half of the world’s antibiotics, FAIRR said, predicting that their use for Asian chickens and pigs will rise by more than 120 percent by 2030.
Lauren Compere, a managing director of Boston Common Asset Management, told Agri Investor that traces of antibiotics “of last resort” had been found in humans and suggested that such medicine was not being used solely for sickness prevention but also for growth promotion, a model she qualified as “not sustainable”.