Get 40% Off
⚠ Earnings Alert! Which stocks are poised to surge?
See the stocks on our ProPicks radar. These strategies gained 19.7% year-to-date.
Unlock full list

Cargill recalls animal feed over grain toxin concerns

Published 05/07/2019, 01:23 PM
Updated 05/07/2019, 01:25 PM
© Reuters. A Cargill logo is pictured on the Provimi Kliba and Protector animal nutrition factory in Lucens

By P.J. Huffstutter

CHICAGO (Reuters) - Cargill Inc has issued a voluntary recall of nearly 150 tons of animal feed, a spokeswoman said on Tuesday, after North Carolina regulators found aflatoxin in a testing sample.

Aflatoxin is a byproduct of a mold that typically flourishes in corn or other grains in dry conditions, and can be harmful or even fatal to livestock. The toxin became a serious problem for the grain industry eight years ago, when a historic drought in the U.S. Midwest put everyone from farmers to grain handlers and food industry officials on high alert.

Cargill said it first learned about the problem in its products after the North Carolina Department of Agriculture alerted the company that test results showed a single lot of feed product contained elevated levels of aflatoxin.

The affected products are from Cargill's Southern (NYSE:SO) States feed line, and were made at its facility in Cleveland, North Carolina. The products included feed for poultry, beef and dairy cattle, sheep, goats and equine.

Altogether, Cargill said it recalled 4,971 bags of the feed, mostly in 50 pound bags, and 25 bulk tons. Cargill gave no dollar value for the recalled product.

"The root cause was identified as a corn supplier to our Cleveland, NC facility, with whom we have changed our internal testing protocol," company spokeswoman April Nelson told Reuters.

Cargill is working with the supplier to understand the source of the mold, Nelson said, and is now sourcing corn from other suppliers.

There have been no reports of adverse health effects to animals that consumed the products, Cargill said in a statement. Cargill issued a press release outlining the situation late on Monday, at the request of the U.S. Food and Drug Administration, Nelson said.

The products were pulled from retail outlets and distributors in the Georgia, Maryland, New Jersey, New York, North Carolina, Pennsylvania, South Carolina, Virginia, and West Virginia markets and removed from retail shelves throughout February, March, and April.

All product has been pulled at this point, and retailers have been issued credit for their disposed inventory, Cargill said.

© Reuters. A Cargill logo is pictured on the Provimi Kliba and Protector animal nutrition factory in Lucens

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.