Animal Feed & Animal Nutrition News
Universities benefit from vitamin scam

// 20 dec 2006

The Universities of Alberta, Guelph and British Columbia have been awarded millions of dollars to compensate for financial damages resulting from an 8 year price fix on vitamins and food additives sold in Canada.

The University of Alberta, Guelph and British Colombia received $2.5 million (US $2.26m), $4.8 million (US$4.15m) and $3.5 million (US$3.02m) respectively. The University of Toronto and Ontario Agri-Food Education also received each $2.4 million (US$2.07m). The funds must be used for research on vitamins as they relate to the health of people and animals.

Penalty for price fixing
The money is the universities’ share of a $132-million penalty against 14 international vitamin giants accused of price fixing on 10 bulk vitamins and food additives sold in Canada from 1990 to 1998. The countrywide conspiracy involved, amongst others, F. Hoffman-LaRoche of Switzerland, BASF of Germany, Rhone-Poulenc of France and two Japanese corporations, Eisai and Daiichi Pharmaceutical, of which most of the companies involved have pleaded guilty . Gross sales of the bulk vitamins during the time of the conspiracy are estimated to have totalled about $950 million (US$822m) in Canada. It was estimated some vitamins, including vitamin E which is used primarily in animal feed, were marked up by 20%.

GMP: Critical in feed-to-food chain

Hinner Köster: Feed safety parameters as part of food safety is nowadays the highest priority when we evaluate feed quality. Nutritional, technical and emotional quality of feed used to be the highest priority and remains important for common industry policy, however, it is now of lesser importance then feed safety. Even developing countries are no longer isolated but part of a global world and are therefore partially regulated by universally established control systems at all stages of production and in all sectors of their industry.Read more...

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