Supply Chain Research

The European Commission has stopped expedited imports of U.S. peanuts after finding elevated levels of a carcinogenic fungus in “pre-inspected” volumes. As well as reputational issues the move to “in-EU inspection” will add cost at a time when U.S. exports were already falling. Global exports of U.S. peanuts fell 32% on year earlier in the past quarter. Shipments to the EU had risen 46% and were 23% of the total. Food safety standards have been a hot topic in the on-again / off-again TTIP trade negotiations between the two. This event may hinder trade relations.