AMERICAN MEAT INSTITUTE

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1 Animal Welfare in the United States Meat Industry FMI-GMA Sustainability Summit September 14, 2011

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3 Unique Operating Environment More than 8,000 INSPECTORS oversee 6,200 plants That process 152 million ANIMALS every year cattle, pigs and sheep That are handled by more than tens of thousands of EMPLOYEES Inspectors, Employees and Livestock all have personalities Livestock are not created equally From timid to wild with some accustomed to people and some that are not Can be affected by weather Regulations must be met by plants without fail and applied by regulators consistently

4 Federal Oversight Humane Slaughter Act of 1958 Humane Slaughter Act of 1978 Vets present during every minute of operation in slaughter plants All livestock inspected by on-site federal vets Religious slaughter exempt from certain procedures Poultry is not covered, but regulations say they must abide by best commercial practices Special District Veterinary Medical Specialist is dedicated to each district for animal welfare evaluation

5 Daily Operations Half a million livestock travel to meat plants every day Once trucks enter our plants, they are our responsibility Federal oversight begins at the plant Our goal: Low stress handling on and off trucks and in plants Dignified treatment of animals through the process Working with our producer partners in collaborative fashion to ensure that the livestock we receive are humanely raised

6 History of Voluntary Efforts 1991 Partnered with Temple Grandin, published first Recommended Animal Handling Guidelines for the Meat Packing Industry 1996 USDA retains Grandin to audit plants 1997 AMI asks Grandin to write audit 1999 McDonald s begins using audit; AMI launches conference

7 2002 Non-Competitive Issue 2002 vote by AMI Board Open exchange of information Annual Animal Welfare Committee Meetings at plants Animal Welfare Assistance Program Annual Conference Professionalize the role of the animal handler October 19-20, 2011 in Kansas City

8 History of Voluntary Efforts, Cont Launched Hallmark Westland drove need to connect chain even further 2010 Transportation audit added to guidelines Dr. Grandin will now detail our animal welfare approach, past and present and our audit

9 Connecting The Beef and Dairy Livestock Welfare Chain The national Beef Quality Assurance (BQA) program provides cattle and dairy producers on America s farms and ranches with the principles and tools used every day to ensure animals are given proper care. The National Dairy FARM (Farmers Assuring Responsible Management) program provides dairy animal care Guidelines for producers to follow. These national programs include guidelines on management practices such as feeding and nutrition, handling and stress reduction. All guidelines were established by an advisory board, reviewed by scientific and veterinary experts, and undergo updating as new science becomes available. All U.S. beef cattle spend the bulk of their lives on pasture. Some go directly from the ranch through auction markets to plants. Some are fed cattle raised on pasture land for months and transported to a feedlot for finishing, where they spend four to six months on a scientifically formulated diet. BQA guidelines cover care, nutrition, handling and housing in all methods of raising cattle and these principles are used in the management practices of more than 90 percent of U.S. cattle. All cattle benefit from animal handling guidelines, and market manager/staff training Programs developed by BQA and the Livestock Marketing Association. Cattle transporters play a critical role in the health and welfare of cattle by delivering cattle safely to their destination. Transportation Beef Quality Assurance (TBQA) and DQA programs ensure proper cattle handling, loading and unloading of cattle, management of weak or injured cattle and transportation of cattle during hot or cold weather for both commercial and on-farm transportation. The American Trucking Association encourages its members to comply with these guidelines. The American Meat Institute added a transportation offloading audit to its existing audit program in 2010 to ensure compliance. The American Meat Institute (AMI) Animal Care & Handling Guidelines provide detailed recommendations for handling livestock in a way that works with their natural instincts and minimizes stress at the plant. AMI s audit program, done by both plants and by outside third parties, measures key criteria like how often cattle moo, how often animals slip and fall, how often they are prodded. By measuring regularly, we manage more effectively. Not only is humane handling of livestock ethically appropriate, it also has distinct economic benefits in the form of higher quality meat products. This graphic was developed through the collective efforts of the American Farm Bureau Federation, American Meat Institute, American Trucking Association, Livestock Marketing Association, National Cattlemen s Beef Association, National Meat Association, National Milk Producers Federation and the Southwest Meat Association.

10 Connecting The Swine Welfare Chain On hog farms, the National Pork Board s Pork Quality Assurance Plus (PQA Plus) Program provides guidelines for proper care of animals to ensure optimal health and welfare. PQA Plus helps pork producers benchmark the care and welfare of their pigs through on-farm assessments. PQA Plus also has a third party verification process to show that care and well-being principles are being implemented. Transportation is a very important part of the welfare chain. The National Pork Board s Transport Quality Assurance (TQA) guidelines specify how to handle and transport pigs of all ages to ensure that their welfare is maintained. The American Trucking Association encourages its members to comply with these guidelines. The American Meat Institute s 2010 transportation audit checks trucks as they arrive at plants to ensure that trucks arrive and are unloaded in a timely fashion, that they are in good condition and that off-loading is handled humanely. The American Meat Institute Animal Care & Handling Guidelines provide detailed recommendations for handling livestock in a way that works with their natural instincts and minimizes stress. AMI s audit program, done by both plants and by outside third parties, measures key criteria like how often livestock vocalize, how often animals slip and fall and how often they are prodded. By measuring regularly, we manage more effectively. Not only is humane handling of livestock ethically appropriate, it also has distinct economic benefits in the form of higher quality meat products. This graphic was developed through the collective efforts of the American Farm Bureau Federation, American Meat Institute, American Trucking Association, Livestock Marketing Association, National Meat Association, National Pork Board, National Pork Producers Council and the Southwest Meat Association.

11 Then.we asked animals to think like humans Livestock think differently Visual Flight zones Industry Then and Now

12 Industry Then and Now Now we ask humans to think like animals Design with the animal in mind Curved chutes Proper lighting Eliminate distractions

13 Industry Then and Now Today, half the cattle in North America are handled in a center track restrainer that Dr. Temple Grandin designed. A significant percent of pigs are handled in systems that Dr. Grandin designed. Dr. Grandin has consulted for nearly every major meat company in North America USDA audit Mixed results, room for improvement Objective criteria could be used to measure welfare AMI asked Dr. Grandin to write the first plant audit Released in 1997 Commercialized after that

14 Plant Audit Core Criteria 1: Effective Stunning Core Criteria 2: Bleed Rail Insensibility Core Criteria 3: Falling Core Criteria 4: Vocalization Core Criteria 5: Electric Prod Use Core Criteria 6: Willful Acts of Abuse Core Criteria 7: Access to Water

15 Transportation Audit Added 2010 Measured When Trucks Arrive at Plants Core Criteria 1: Transportation policy and preparedness for receiving animals Core Criteria 2: Set-up and Loading of Trailer Core Criteria 3: Timeliness of Arrival and Animal Unloading Core Criteria 4: Condition of Trailer Core Criteria 5: Falls Core Criteria 6: Electric Prod Use Core Criteria 7: Condition of Animal Core Criteria 8: Willful Acts of Abuse

16 Internal and External Verification Weekly plant audits recommended Many plants do daily insensibility audits Annual third party audits recommended AMI audit offered by Silliker, Food Safety Net, Process Management Consulting, others

17 Use of AMI Standards Used by the vast majority of U.S. plants Used internationally including by HSUS! Part of Certified Humane, American Humane Certified and Whole Foods GAP Standards Used by Customers like McDonald s, Wendy s, Burger King and many retail chains

18 Good Welfare = The Right Thing + Economic Benefits First and foremost: The right thing to do Worker safety Agitated livestock can be a safety issue Meat quality Studies show stressed animals produce lower quality meat. Pigs subject to fatigue, but can recover with rest. Industry collaborating with third party to benchmark nonambulatory pigs. Impact of stress on pork color and quality. Ideal score is 2-5. Impact of stress on beef color and quality. Stress causes Dark Cutter or Dark, Firm and Dry Beef.

19 Goal for Two Decades: Professionalize Role of Animal Handler and Auditor Strive to professionalize role of animal handler Conference attendance PAACO certifying auditors Educational materials/training videos Recognition within companies Helmet stickers

20 New Tools: Cameras and Remote Auditing Cameras alone can impact behavior, but can t ensure welfare What is remote auditing? Industry use growing 21 U.S. beef plants; eight more by end of 2011 Two U.S. pork plants in pilot; six more by end of 2011

21 Entrance to the Restrainer 21

22 Knock Box

23 Improvements Over Time Captive bolt stunning of cattle -- percent stunned with one shot % of plant 1996 % of plants 2009 Excellent 18% 58% Acceptable 18% 42% Not acceptable 9% 0 Serious problem 55% 0 Source:

24 Improvements Over Time Percentage of cattle vocalizing in beef plants % of plant 1996 % of plants 2009 Excellent Acceptable Not Acceptable 24 0 Serious Problem 5 0 Source:

25 Improvements Over Time In 1996, 1 in 10 plants could not stun pigs properly In 2009, 100 percent had excellent or acceptable stunning; no plant failed Source:

26 Transparency Increasing requests for more access to plants to demystify assumptions Animal welfare and food safety are our top priorities The presence of visitors can cause distractions that can create handling problems. Animals can become distracted and agitated. Equipment operators can be distracted. The regulations apply regardless no excuses.

27 Summary Regulation is comprehensive Thorough and objective voluntary programs exist Animal welfare mindset and non-competitive approach are part of our business methods Higher profile in our companies today We are committed to continuous improvement Animal welfare is an evolving science Q and A

28 Thank you! 202/ Questions?

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