Sunday 7 June 2015

Not Just Maggi: Here's The Shameful Truth About Food Safety Inspection In India

New Delhi: Even though Nestle India continues Shootout its worst crisis ever in its nearly three-decade history of selling Maggi noodles in the country, the most important question now doing the rounds, including social media is how could a multinational company (MNC) to conduct the business for so long ... selling a product with potential health risks to millions of consumers?

The presence of monosodium glutamate (MSG) and lead above the permissible limits Maggi samples cannot be a phenomenon overnight. In addition, there could be many more products from other multinational companies, so it could potentially harm the health of indigenous people.


 
Who has allowed multinationals to sell these products "inferior" all these years? Can the government be absolved of their responsibility and accountability to enable domestic and foreign food manufacturing companies to have a free run?

"Both the Central and state governments usually avoid taking strict measures against multinationals and large Indian manufacturers, despite being aware of violations. However, this time the Delhi government has been quick to take action Maggi issue, "a senior retired official of the Ministry of Consumer Affairs, Food and Civil Supplies Firstpost said on condition of anonymity.

Ashim Sanyal, COO of voluntary action group Consumer Voice, said: "Who knows what people have been using for the past 20 years there laxity by both state governments and the central regulatory body FSSAI? Both they never bothered to exercise their powers to have a regular check of foodstuffs, whether Maggi or any other item, ready for consumption all these years. "

Safety Authority and Food Standards of India (FSSAI) was established as an independent statutory authority under the Law of Food Safety Standards and 2006, which consolidates various acts and orders that have been handled so far related issues with food in various ministries and government departments. The agency has been created to the rules for food items and to regulate their manufacture, storage, distribution, sale and import to ensure the availability of safe and wholesome food for human consumption.

The 2006 Act is to establish a single point of reference for all matters relating to safety and food standards.

"If so, why FSSAI taking so long to act despite controversy erupted Maggi some time?" Sanyal questioned.

The gray areas

Political experts and consumer activists have identified several gray areas that help operators to supply food products to consumer’s lower quality and yet remain "untouched". It is ultimately the consumer who receives the wrong end of the stick.

- Central controller does not perform the inspections and regular product testing to ensure that only appropriate quality product is sold in the market.

- Not the laxity on the part of food security departments of state governments also.

- There is a lack of adequate coordination between the Centre and states, since the latter do not report to the Centre in this regard.

- Except for a few accredited by the National Accreditation Board for Testing and Calibration Laboratories (NABL), several laboratories testing laboratories in the United not conform to the rules. The equipment used by these laboratories are often not updated and not calibrated correctly. This leads to variation in the results.

- Despite having immense power, commissioner’s official food and safety in the states do not exercise on a regular basis to keep a check on all consumer-ready products on the shelves.

- Often, field inspectors cannot get permission from higher authorities to carry out a raid and check products.


- The lack of adequate training facilities inspection personnel, and modernization.

- Unlike abroad, the application of the law and regulations is weak in India. Therefore, it is worth it.

- Both regulatory departments in Central and food security in the states suffering from personal crisis. State drives lack funds.

- Corruption is another concern.

- An action plan five chalk out jointly by the Centre and states in 2009-10 has not yet been implemented.

Bejon Kumar Misra, an international expert consumer policy, said: "First, the industries have a strong influence on decision-makers and it is easy for them to get through Second, instead of sitting together and. find a solution, there is a blame game between the Centre and states. Even when you have made any plan, which finally cannot get implemented on the ground. No one wants to bell the cat. "

Unlike India, legal procedures and sanctions regime are as stringent abroad that no one dares to violate them. The recall system low quality products in India is voluntary and not mandatory as in other countries.

Sanyal added: "The Supreme Court had indicated the issue of sentence in the case of contaminated milk not taken any legal action and one goes by paying a small fine there is a need to evolve according laws... With the times. Just we got to hear sub-standard products being recalled by a company. "

"Some years ago, a Jamshedpur court had indicted Nestle, after MSG was found in the Maggi noodles. But what after that happened no one knows. This is the business of the state of sad in our system and no one has fear of the law. But it is for the first time since the Consumer Protection Act 1986 came into existence, the government has registered a case against the Maggi noodles with Consumer Complaints of the National Commission for redress, claiming compensation for consumers, "Misra said.

Monday 4 May 2015

Clarified Auditing Standards: Assessing Risks Of Material Misstatement

This article will focus on the basic requirements of the AU-C section 315 with respect to the auditor's understanding of internal control of an entity and the nature of the basic elements of a system of internal control.

The following paragraphs are excerpts from AU Section 315-C (This section should be read in its entirety for a complete understanding of internal control issues related to the audit.):


 
0.13 The auditor should obtain an understanding of internal control relevant to the audit. Although most controls relevant to the audit are likely to relate to financial reporting, not all controls that relate to financial reporting are relevant to the audit. It is a matter of the auditor's professional judgment whether a control, individually or in combination with others, is relevant to the audit. (Ref.: Par .A42-.A67)

Nature and Extent of the Understanding of Relevant Controls (Ref.: 0.14 Par):

.a68 Evaluate the design of a control involves considering whether the control, individually or in combination with other controls, is capable of effectively preventing, or detecting and correcting, material misstatements. Implementation of a control means that the control exists and that the entity is using it. The evaluation of the implementation of a control that is not designed effectively is of little use, so the design of a control is considered first. A poorly designed control may represent a significant deficiency or material weakness in internal control of the entity.

Risk assessment procedures .A69 to obtain audit evidence about the design and implementation of relevant controls may include:

• inquiring of entity personnel.
• observing the application of specific controls.
• Inspection of documents and reports.
• tracing transactions through the information system relevant to financial reporting.

Inquiry alone, however, is not sufficient for such purposes

Elements of Internal Control-C AU Section 315


    Control Environment: The core of any business is its people and the environment in which they operate. The tone at the top (i.e., management attitudes, values and behaviour’s) provides the control environment for other employees.
    Risk Assessment: The Company must consider and deal with the risks faced; identify the risk of error or fraud and the implementation of corrective actions is the primary responsibility of management.
    Control activities: Control policies and procedures must be designed and operated to address risks to the achievement of the objectives of the organization.
    Information and communication: These systems allow people of the entity to obtain and use the information needed to conduct, manage and control operations.
    Monitoring: The internal control process must be monitored and changed by management as the circumstances and the conditions required.

In 2013, the Committee of Sponsoring Organizations of the Tread way Commission (COSO) updated and published a review of the Internal Control-Integrated Framework, originally published in 1992. The updated report did not change the basic components of internal control, but, among other explanatory issues the framework sets out 17 principles for the application of these components. These principles of COSO report are presented below, as they apply to the components of internal control.

Control Environment

1. The organization demonstrates a commitment to integrity and ethical values.
2. The Board of Directors demonstrates independence from management and exercises oversight of the development and results of internal controls.
3. Directors establishes, under the supervision board, structures, reporting lines, and authorities and responsibilities in the pursuit of goals.
4. The organization demonstrates a commitment to attract, develop and retain competent people in alignment with the objectives.
5. The organization holds individuals responsible for their internal control responsibilities in the pursuit of goals.

Risk Assessment

6. The organization specifies goals enough to allow identification and assessment of risks related to the objectives clearly.
7. The organization identifies the risks to achieving its goals through the organization and risk analysis as a basis for determining how risks should be managed.
8. The organization believes that the possibility of fraud in the assessment of risks to achieving the objectives.
9. The organization identifies and evaluates changes that could significantly affect internal control system.

Control Activities

10. The organization selects and develops control activities that help to mitigate the risks to the achievement of the objectives to acceptable levels.
11. The organization selects and develops activities of general control over the technology to support achievement of objectives.
12. The organization implements control activities through policies that establish what is expected and procedures put policies into action.

Information and Communication

13. The organization gets, generates and uses, relevant information to support the operation of internal quality controls.
14. The organization communicates information internally, including the objectives and responsibilities of internal control necessary to support the operation of internal controls.
15. The organization communicates with external parties on matters that affect the functioning of internal controls.

Monitoring Activities

16. The organization selects, develops and conducts ongoing assessments and / or separately to determine whether the internal control components are present and functioning.
17. The organization evaluates and communicates the internal control deficiencies in a timely manner to those parties responsible for remedial measures, including senior management and the board as appropriate.

Internal control is always relevant to the nature, size and complexity of the reporting entity. Small companies usually have more informal controls carried out by one or a few people. While the basic components of internal control must be present in small and medium-sized entities, the 17 principles ordinarily be subjectively included in the design and operation of internal controls of the entity. Larger organizations can develop specific controls for these explanatory principles.

In general, internal controls over financial reporting include those that are designed to make sure that financial data is recorded, processed, summarized and reported consistent with management representations (statements) in the financial statements. Management of an entity has the primary responsibility for internal control. An auditor's responsibilities include evaluating whether the five components are designed and operating effectively, given the nature, size and complexity of the entity.

The following article will begin a practical discussion of what the auditors need to know about the internal control and monitoring activities play a part in the process of risk assessment required by Section 315 AU-C.

Wednesday 15 April 2015

FDA Scolds Another Indian Drug Maker for Quality Control Problems


The FDA has scolded yet another Indian drug manufacturer for violation of manufacturing practices and, therefore, banned shipments of its drugs in the United States Aarti Drugs disclosed the move in a filing with the Bombay Stock Exchange yesterday and noted the action of the agency was in response to an inspection of its manufacturing plant last August.

The opinion of the Exchange has not specified the problems that prompted the FDA to issue a so-called import alert, which is the nomenclature of the agency for a ban. But the inspection in August following a warning letter from the agency published the previous year in response to numerous violations found in two facilities Aarti 2012 during an inspection.

The letter detailed warning of problems such as over two dozen power outages to a facility that did not study, even if they disrupted the quality control operations. The FDA also noted that a quality control analyst had recorded turnaround times for lab tests that had not yet occurred and there were failures to account for unexplained differences in the result data test.

In its opinion on the Exchange, Aarti said he responded to the concerns of the FDA last month, but has not yet received a response. The drugmaker noted, however, that one of the two plants mentioned in the import alert the FDA is actually supplying products to the United States and the impact of the products concerned should be slightly less than 1% of total sales. Thus, the drug maker said, "this should not affect our top line and bottom line significantly." The company, which is mainly active pharmaceutical ingredients, was not available for comment.

The decision comes as FDA officials to visit India this week to discuss regulatory oversight with their government counterparts amid ongoing concerns about the veracity of the pharmaceutical supply chain. The subject has been a problem in recent years after several Indian drug manufacturers were cited for quality control failures.

The most notable example was Ranbaxy Laboratories, which is now owned by Sun Pharma. The drug manufacturer was a poster child for manufacturing problems. Last year, Ranbaxy has paid a fine of $ 500 million to US authorities as part of a settlement that included pleading guilty to two charges of violation of the laws on the safety of medicines, such as data manipulation. A consent decree remains in force.

There are also two years the FDA banned shipments from two plants run by Wockhardt, another big drug manufacturer based in India. A recent review of FDA documents by Bloomberg News found that data integrity issues were held in dozens of factories are run by various drug manufacturers across India that make ingredients and drugs to market American.

FDA officials are considering a new approach, however, inspection of manufacturing facilities in India. This comes in response to Indian drug manufacturers to complaints that FDA exceedingly difficult to single out inspections.

As a result, the FDA plans to "allow our inspectors to document where the quality of a company's management system exceeds what would be necessary to meet regulatory compliance Simply put:. Inspections can also give carrots, not just sticks, "according to a written blog post this week by the FDA officials.

The findings, they write, could be used to influence the frequency of FDA inspections of a particular installation. Indian drug manufacturers have complained that the FDA inspections occur too often and randomly, depriving them of the opportunity to make substantive changes.

Monday 9 March 2015

TRAI To Start Inspections To Monitor Quality Of Service

BENGALURU: The Telecom Regulatory Authority of India (TRAI) reinforcing the plans to initiate inspections to monitor the quality of service (QoS) in the cable industry and broadcasting. Speaking in TelevisionPost.com is GroundPost initiative on land in Bangalore, TRAI advisor Maharashtra, Karnataka, Kerala and Goa region Sibichen Dr K Mathew said that the regulator will soon come out with quality inspection service to control all aspects of the service, installation of decoders to compensate the consumer complaints to the choice of channels.


"This inspection will begin soon, and technical audits to control the quality of delivery. We will check what MSO (operator’s multi-system) broadcasters and LCO (local cable operators) are promising and if they are or are not meeting with them, "he said. TRAI has been patient for a long time and this is the moment when you will have to take a stand and enforce regulations. "This is the fourth year (after notification DAS) and now even people wonder why the regulator is not taking action in this sector," Mathew said. He added that TRAI monitors QoS and can reach financial disincentives as all regulation is in place. "But the regulator is being very patient. We know the industry, which has been totally disorganized, is slowly coming disaster," he said.

He also stressed that it is very necessary for scanning in Phases III and IV measurements. Speaking of Karnataka, said at least on paper seems digitization has been completed in Bangalore and Mysore. "We are not happy with damage repair system and must strengthen" he added. In general, in Karnataka, said 56.2 percent scanning is achieved, demonstrating that "we have to work hard and with good coordination, can reach 100 percent." In Maharashtra and Kerala, said, TRAI is receiving a very positive response. "In fact, in Kerala MSOs we met recently asked us not to let the deadline is extended." Concerns speaking of concerns digitization, said there are many of them.

"First, there is a lot of disagreement between the MSO, LCO, and broadcasters. Until and unless solve these problems is not going to achieve the goals." He added further that the cable and broadcasting is one of the best industries, and will win a lot of revenue. "But the biggest bottleneck is that there is absolutely no coordination between the MSO, LCO, and broadcasters," he said. "Until and unless appropriate agreements on services, revenue sharing, etc., how are you going to do business? There is no consensus about the little things like repairing STB.

Who will do the service?

But you must understand that it is important questions for consumers, "he said. The second concern, he said, is that which comes from the LCO or independent MSO that large companies are reducing prices. "Here we are in an open market economy. The question is how we can regulate pricing. The only condition is that we cannot have a fixed price which affect the consumer." Another area of concern is with respect to the STB. Dr. Mathew said that the transformation has occurred in the delivery platform television as the younger generation is consuming content not only on television but also on different screens. "But now is the time to turn the idiot box on the smart box".

He stressed that the government of India is giving much importance to the sector such as television helps provide not only entertainment but also information across the nation. The first step towards convergence is digitization. However, despite covering two phases of digitization, no one is happy with the achievement, mainly because of the challenges they face in Phases III and IV added. "We have to take lessons from Phases I and II, and create an appropriate work plan for the next phases.

The main reason for this bottleneck we are designing is the large geographic region of this country and the sector has been completely disorganized for several years. “He added that services are cheap and that India has one of the lowest for cable services in the consumer side rates.”They [consumers] get to see the channels at a much cheaper price. But the scope of increasing the quality and expansion is unlimited. But for that, you need more resources." In general, we often confuse scanning with putting local decoders in consumer. "That may be only 5 percent. While it starts with the STB placed in the homes of consumers, the second step is to record each consumer registered with the form request, where the consumer says what your choice is. Unfortunately, there are many procedural lapses in Phases I and II even.

Whenever there is a gap, the ultimate goal is not met, "he added. On expectations of TRAI, the regulator said everything you want is the choice for the consumer, the forms of CAF duly completed, and subscriber management system (SMS) instead. "Each MSO must have SMS in place, which means not only data of subscribers, but a proper grievance redress mechanism." "Unless you have a proper grievance redress mechanism for Phases I and II, we will fail in Phases III and IV. Does proper billing, call centers, procedures for repairing STB, refunds, displacement, etc., in the first two phases? Ultimately, the consumer should be allowed a smile while you are giving income, "he added. "The biggest challenge before entering the next two phases lies in the delay. We need to establish the correct process in Phases I and II, he said.

Wednesday 11 February 2015

The Export (Quality Control And Inspections) Act, 1963- An Overview

Act 1963 ("the Act") Export (Quality Control Inspections) was enacted on 08/24/1963. As the name of the law indicates, is mainly used for quality control, pre-inspection of goods exported and actual trade in India. Under this law nearly 1000 major commodities such food for footwear, etc., were considered mandatory before export. Later stage, foodstuffs, agricultural and fishery products were exempt from prior inspection if the exporter has a genuine letter from overseas buyer showing their carelessness in the pre-inspection.



As this may be the State, the Council Export Inspection (EIC) that forms in Section 3 of the Act to ensure quality control, inspection and actual trade of goods that are exported. It has a President with 17 members appointed by the Central Government. EIC extends its role in the management of the elements related to food products. This advisory Council empowers and regulates the central government for taking steps to fulfill the purposes of this Act. EIC not only exercises powers of advice, but very much on the technical and administrative aspects. Central Government under the guidance of EIC international standards inspects the goods and use the appropriate mechanism to inspect the quality control.

EIC has control over several export Inspection Agencies (EIA) in the configuration in several states of our country through the Ministry of Commerce, Government of India under Article 7 of the Act. EIC made a trend setting in providing quality certification of export products through systematic inspection of products exported to international markets. Consignment wise inspections, certifications based Systems Food Safety Management in process quality control and Self-Certification are the main systems of inspections for certification.

EIC under this Act is a principal organ may constitute special committees if it feels necessary for the purposes of this Act. Similarly, consisting EIC Administrative, Technical and Standing Committees to perform their delegated functions. EIC is strengthening its functions and powers to permit effective trade in international markets through measures of quality control and pre-inspection systems. EIC extends its role in food and food related products.

This Act was amended in 1984 through the Export (Quality Control and Inspection) Amendment Act 1984. Under the Central Government may make appropriate necessary for effective export trade of India with the help of Council through notification in the Official Gazette. According to Article 6 of the Act, may notify any goods searching for quality control or pre-inspection before export or both. This government can declare or disclose the methodology of control and inspection of commodities that have on quality. Can take any number of standards specifications notified merchandise.

The Central Government may at any time refuse any number of commodity exports if it is not properly certified or breached in any specification that must be fulfilled for the export trade of India. You may cancel, suspend or modify certification if necessary. Any person aggrieved in subsection 3A may appeal within the time specified by the Central Government by notification in the Official Gazette. No appeal under decision under Article 6 of the Act.

The Central government has enormous powers under the intended quality control and inspection for efficient export trade in India. You can record the compliance of the standard specifications. It has powers to obtain information from exporting. Central to the approval of Parliament Government can finance through grants, loans, etc., to the Council to fulfill its role in this Act. He has power to enter, search, inspect and seize commodities.

Search and seizure under this Act shall be made in accordance with the Code of Criminal Procedure of 1973. There are various penal provisions for the unlawful act or omission of any. Recourse provisions are also available for previous criminal penalties. No one should be punished without the consent of the authorities of the Central Government. Similarly, there are no legal proceedings that may be taken against the board, officers and employees of the Central Government, if you have done something good faith within the scope of this Act. Last but not least, the central government you can frame any number of rules and regulations in good faith under this Act by notification in the Official Gazette.

Sunday 11 January 2015

Futec’s Online Inspection At Labelexpo India 2014

At Labelexpo India 2014 one of the main speakers of the inspection system was Futec showing his vision inspection systems with charge coupled device (CCD) image sensors to provide continuous online inspection technology to inspect multiple substrates. Futec units sold web surface inspection units printed surface inspection, thickness profiles units and labels inspection systems.



L - R: Krishnakumar Srinivasan, director of business development, GES; Yoshihiro Hasebe, managing director general, Futec; Takahiro Miura, general manager of product strategy, Futec; and Riju Earaly, regional sales manager, GES with online inspection system Futec at Labelexpo India .

One of the world's leading inspection technology has applications Futec paper, non-woven fabrics, plastic sheets, sheet metal, all forms of substrates for printed material such as paper, cloth, canvas, flexible films and cardboard. The inspection is performed before printing, during printing in the press, in the winding, laminating and cutting and is different for material control and inspection of print quality. The solutions are quality control systems related online production networks for high performance and are widely used in Japan and most of Southeast Asia.

The first inspection stage is the default optical inspection system on each substrate is different for different materials. For the role of failures include oil contamination, watermarks and tear paper or marks. For metal sheets are dents, bumps and uneven polishing or scratches while for films is the fisheye, gels, foreign matter, lumps, extra material and even pinholes. The optical conditions vary by type of material and the application process.

The printed web inspection systems are intended to inspect the quality of printing on a wide range of printed materials such as films and laminated flexible monocartons, corrugated, cardboard packaging, gravure, flexo and paper packages. Moreover there is the X-ray inspection is that the thickness of the film, aluminum foil and paper that is printed and is used in packaging. "The Indian market is opening up to sophisticated inspection systems and we have several customers in India with positive Tetra Pak packaging and India," says Yoshihiro Hasebe, managing director general, Futec, and Southeast Asia. "We are planning to increase our presence in India and have GES Infotek in Mumbai to market our products."