From selected dairy farms...
- November 2004
This Opinion was featured in the November 2004 issue of the the Anglia Farmer
David Walker examines a novel way that one of the big five supermarkets has chosen to promote milk sales.
Marginally enhanced foods that sell, with appropriate promotion, at fancy premiums to the basic products are not a rarity on supermarket shelves. But Sainsbury’s GM-free milk takes this marketing technique to an extreme that seems implausible.
On June 1, 2004, Sainsbury’s announced the launch of a new milk from cows fed on animal feed guaranteed to be free from GM (genetically modified) material. They have branded it "... from Selected Dairy Farms" and sell it at a 13 percent premium to regular milk.
Towards the end of August they announced plans to extend the trial from 105 to 190 of their 500 odd stores by Christmas. Interestingly in a "note to editors" at the foot of their August 26 news release, they openly admitted GM material has never been found in milk, meat or eggs and that, by inference, their "new" milk was physically and chemically no different from their regular milk - no dicing, peeling, chilling, deboning or fancy wrapping, but just what in the final analysis is a rather meaningless certificate of origin and nondescript title.
The issue of labelling food either containing genetically modified material, or derived directly or indirectly from it, has been a fertile one for debate since the GM issue first emerged. Those who oppose genetically modified crops claim all such material should be so labelled by law. And, whether justified or not in their concerns, people should have the choice which legislated labelling would provide.
The argument against doing this is that it is implicitly misleading - indicating that GM material is of some significance to human nutrition or health. And further that, as the food industry has tended not to produce and to label voluntarily GM-free foods, demand for them was of no consequence.
North Americans have been happily consuming unlabelled GM food for many years, with those who are truly concerned having the option of organically grown food certified to be GM free. As might be expected, the European Union choose the route of regulation, with any food that contains more than adventitious levels of GM material, or is derived directly from it, having to be labelled.
But even Brussels drew a line on regulating labelling of animal derived food products. As no GM material has ever been found in such foods, this would clearly be difficult to police. Hence, it was left open to private sector initiative. And it was just six weeks after the EU’s GM labelling regulations were implemented that Sainsburys got in on the act with their From Selected Dairy Farms milk.
But what extra costs need to be covered by the 13 percent premium for this milk? Certified GM-free soyameal, the only likely GM dairy feed, currently sells at about a £5 per tonne, three percent, premium to the regular stuff. There are, no doubt, some forms to fill in and logistics to organize between the farm gate and the supermarket shelf. But this is much less than for organic milk which is sold at a 2p per litre premium to the new product and which has many additional attributes favoured by organic adherents.
It has been suggested that all this is simply an attempt by Sainsburys, perhaps the weakest of the supermarket chain herd, to deflect attention from the eco-terrorists pack. But, if the trial is a success from a sales perspective, Sainsbury may have a money spinner. And it might even be a trend setter.
Perhaps we can expect to see carbohydrate-free vegetable oil for "low carb" dieters and protein-free sugar for the vegetarians.
November 2004
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