
 
		NEWS 
 SNIPS  
 E tū says the  
 sudden and  
 unexpected  
 announcement  
 that Cadbury  
 World is closing  
 has been made  
 by Mondelez  
 because land  
 is needed for  
 Dunedin’s new  
 hospital 
 New Zealanders  
 are the first in the  
 world to try the  
 new Coca-Cola  
 Stevia No Sugar,  
 which is made  
 using a specific  
 part of the stevia  
 leaf 
 Former Frucor  
 Suntory head  
 Kevin Bowler is  
 the new chief  
 executive of My  
 Food Bag and  
 will take the  
 company to new  
 levels in healthy  
 meal solutions 
 Kono NZ chief  
 executive Rachel  
 Taulelei (Ngāti  
 Raukawa, Ngāti  
 Rarua, Ngāti  
 Koata) has been  
 awarded Maori  
 Businesswoman  
 of the Year by  
 the University of  
 Auckland 
 MediaWorks  
 will broadcast  
 New Zealand’s  
 longest running  
 agricultural  
 contest – the  
 50th Young  
 Farmer of the  
 Year – for the  
 first time, with an  
 edited version to  
 be broadcast on  
 ThreeNow. 
 6 JUNE 2018 
 ADVERTISING  
 COMPLAINTS 
 Food and beverage complaints have  
 made up 15% of all Advertising Standards  
 Authority complaints in 2017, with  
 one advertisement for an energy drink  
 topping the list for the year. The organisation’s  
 annual report says a television  
 advertisement for V Energy and its  
 manufacturer Frucor Suntory attracted  
 18 complaints about the safety of nail  
 gun use and the dangers of jumping in  
 wet concrete. ASA says the concrete  
 complaints were upheld because the  
 advertisement depicted a “dangerous  
 practice with the potential to encourage  
 a disregard for safety, in breach of the  
 Code of Ethics. The complaints board  
 agreed the level of exaggeration or  
 fantasy in the ad was not sufficient to  
 save it.” More than half the complaints  
 related to misleading claims in advertisements  
 and just under 20% of complaints  
 were about taste and decency  
 issues. The association reported a 3%  
 increase in complaint numbers to 603;  
 most complaints came from television  
 advertisements; most involved therapeutics  
 and health; 55% were deemed  
 misleading by complainants; and 43%  
 were found to be groundless. 
 SUPPLY CHAIN STUDY 
 KIWI  
 BLOCKCHAIN  
 ADOPTION 
 NEWS 
 New research by Victoria University of  
 Wellington has the potential to transform  
 New Zealand’s dairy industry by  
 improving the traceability of products  
 moving through the supply chain. PhD  
 student Melissa Welsh has developed a  
 model for estimating the value added by  
 traceability systems and, as well as helping  
 companies gauge the overall benefit  
 of improving their products’ traceability,  
 the model also helps them identify the  
 stages in the production chain where  
 these systems have the greatest impact.  
 Welsh says the need for reliable product  
 tracking systems was demonstrated by  
 Fonterra’s botulism scare in 2013, when  
 the discovery of potentially dangerous  
 bacteria in some of the company’s products  
 forced a major product recall. “I  
 worked with Fonterra on developing this  
 model, and tested it by analysing the financial  
 impact on Fonterra of shocks like  
 product recalls, adverse weather events  
 and global demand fluctuations,” she  
 says. Good traceability systems make  
 selective recalls possible in scenarios  
 like that faced by Fonterra, and are crucial  
 to a firm’s ability to limit the size and  
 spread of a recall. However, Welsh says  
 adopting a new traceability system is  
 costly, and it can be difficult to estimate  
 the benefit of such a system - which  
 is where her model can help. Although  
 the model was developed with the dairy  
 industry in mind, it has broader applications, 
  she says. “Understanding where  
 your product has come from, what  
 components or ingredients it contains,  
 and where it has ended up in the world  
 is important regardless of the industry.  
 Traceability is essential for any supply  
 chain, not only to help when things go  
 wrong and a product needs recalling,  
 but to optimise production planning  
 and scheduling.” Welsh’s research has  
 been supported by a GS1 New Zealand  
 PhD Scholarship. GS1 is a global, not  
 for profit organisation specialising in the  
 development and maintenance of standards  
 for use in supply chains—for the  
 identification and exchange of information  
 about goods.  
 Olivia director Jerry Ho, who also  
 heads the New Zealand Green Industry  
 Association, says global depletion of  
 food source and the rising concerns of  
 food authenticity are a major reason for  
 setting up a blockchain system for credibility  
 and sustainability. “We are helping  
 feed an over-populated planet and time  
 is running out unless we start changing  
 things for the better, as we help to feed  
 Asia and other parts of the world,” he  
 says. The five-year-old Auckland oper- 
 Auckland business Olivia  
 believes it is the first small to  
 medium enterprise in Australasia  
 to adopt blockchain in  
 food traceability.