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Food, Beverage & Nutraceutical Processing
Frequently Asked Questions

   
Food, Beverage & Nutraceutical Processing F.A.Q.s

Food, Beverage & Nutraceutical Processing F.A.Q.s


What is a nutraceutical?

A nutraceutical (also known as a Natural Health Product) is a product isolated or purified from foods that is generally sold in medicinal forms not usually associated with food. A nutraceutical is demonstrated to have a physiological benefit or provide protection against chronic disease. (Source: Health Canada [PDF])

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What is a functional food?

A functional food is similar in appearance to conventional foods, is consumed as part of a usual diet, and has demonstrated physiological benefits and / or reduces the risk of chronic disease beyond basic nutritional functions. (Source: Health Canada [PDF])

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What is a micro food processor?

Micro and small food processors make, or want to make, specialty food product/s in a commercial kitchen setting. This kitchen may be home-based (initial start-up for limited types of products), shared-use, or commercial. Target markets range from local to international. What is key to these businesses is that they are producing a specialty food - one with a distinctive element or quality. The range of potential food and beverage products made by micro food processors is endless - for example, specialty cheese or meat processors, quality jams, salsas and tapenades, herbal teas and nutraceuticals such as oyster shell calcium supplements. In some cases, the special feature may have a community and/or regional perspective.

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Are there policies on selling home-prepared foods at temporary food markets or farmers' markets?

Yes, there are guidelines that affect micro food processors. Micro food processors should contact their local health authority to discuss food safety requirements for their proposed operation. The guidelines will vary depending on the foods and processes so it is important to discuss the specifics with their local health authority.

Please note that if you want to operate dairy plant, fish processing plant or a slaughter meat or poultry plant in a designated meat inspection area please contact the Food Protection Services at the BC Centre for Disease Control.

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What is the difference between Food Safety and Food Quality?

Food needs to be safe before it can be considered to be a quality food. It can be safe but not a quality food. Safety is an integral component of food quality.

Food safety involves ensuring a food that does not make most people ill. Usually ensuring a food is safe involves protecting a food from chemical, biological and physical contamination, or ensuring that any product harmful to the consumer such as a naturally occurring toxin that is normally destroyed during heating is actually destroyed. Pasteurised milk is not sterile; it can still contain viable micro-organisms at levels that would be harmless to most people. Food quality involves making sure the food is safe as well as making sure the product is attractive to the purchaser. A product may have an off flavour, unattractive mouthfeel or colour but be perfectly safe. A quality product, while needing to be safe, must meet other, often subjective, requirements. For example, pasteurised milk, while being safe, may have been cooked and developed a burnt flavour. Many people would not consider this a quality product. Some, however, may enjoy this flavour and consider it to be a desirable product.

Many systems have been developed to help ensure food safety-inspection programs, Hazard Analysis/Critical Control Points (HACCP), and other systems have been developed that go beyond safety to help ensure a quality product such as Total Quality Management (TQM) and Q-Base. Q-Base has a segment of its program devoted to food safety, as it is essential to the development of a quality product.

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Are there any regulations that govern the commercial preparation of foods made in home kitchens?

Yes, the preparation of such foods is governed by the Food Premises Regulation of the BC Health Act. Ministry of Health "environmental health officers" are the people that license premises. They can also be consulted regarding what is necessary and, in fact, should be consulted before people make investments in 'commercialising' kitchens. Visit the Ministry of Health web site for more information or view the regulation at http://www.qp.gov.bc.ca/statreg/reg/H/Health/210_99.htm

For information regarding the FoodSafe course mentioned in the regulations please visit, the web site at http://www.foodsafe.ca/

For a list of Health Inspectors in your area, visit the British Columbia Branch of the Canadian Institute of Public Health Inspectors.

The National web site for Canadian Institute of Public Health Inspectors is available at http://www.ciphi.ca/index.php.

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Are there any funding/financing programs available for micro food processors?

Yes, there are a variety of different funding sources available and you will have to do some research to determine which is best for your business. Below is a partial list of financial funding available to businesses in British Columbia. Please visit the Business Management and Finance section of InfoBasket for a more comprehensive list.

Business Development Bank of Canada (BDC)
The BDC offers consulting and financing services for micro-businesses (you should have a business plan to show them when applying for financing).
Website: http://www.bdc.ca/
Toll Free: 1 888 463-6232

Canada/British Columbia Business Service Centre
A business resource centre where you can get information about starting a new business, entering new markets, accessing government programs and services, statistics, taxation, and regulations.
Phone: 604 775-5525
Fax: 604 775-5520
Website: http://www.smallbusinessbc.ca/

Export Development Corporation (EDC)
The EDC provides trade finance and risk management services to assist Canadian exporters compete in foreign markets.
Phone: 604 638-6950
Website: http://www.edc.ca./

Farm Credit Corporation (FCC)
The FCC offers products and services to farmers and small and medium-sized agri-businesses. They also support farmer-controlled diversification initiatives and value-added agricultural operations on the farm and beyond the farm gate.
Toll Free: 1 877 332-3301
Website: http://fcc-sca.ca/

Industry Canada
There is a directory of Canadian financial providers, a search engine of financial providers, information on different types of financing and financial providers, and tips to help you secure financing for your small business. There is a section here that focuses on micro-credit, which is financing under $25,000.
Website: http://strategis.ic.gc.ca/

Western Economic Diversification Canada (WD)
WD is committed to helping Western Canadian small and medium-sized businesses grow and create jobs. It offers a network of business professionals to help you with business planning and development, accessing capital, export or trade development, selling to government markets, and providing you with information on government programs and services for which you may be eligible.
Toll Free: 1 888 338-9378
Website: http://www.wd.gc.ca/

Women's Enterprise Centre
WESBC is a non-profit organisation committed to helping women entrepreneurs succeed in business. Some services they offer include, financing, free business counselling, workshops and training sessions.
Toll Free: 1 800 643-7014
Website: http://www.womensenterprise.ca/

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What types of regulations govern labelling and where can I find information about labelling products in Canada and the United States?

Labelling in Canada is regulated by the Food and Drugs Act and Consumer Packaging and Labelling Act and can be very complex for a small business operator. A good resource to consult is the Guide to Food Labelling and Advertising. This is the summary or 'how to' that helps the processor interpret the Food and Drug Act and the Consumer Packaging and Labelling Act.

It can be found for free on the Canadian Food Inspection Agency web site at http://www.inspection.gc.ca/english/fssa/labeti/guide/toce.shtml

Another helpful link for labelling rules and updates is found on the Health Canada web site at
http://www.hc-sc.gc.ca/hpfb-dgpsa/onpp-bppn/labelling-etiquetage/regulations_e.html.

If you are considering exporting your product to the United States, you can contact the U.S. Food and Drug Administration for information regarding labelling requirements.

Food and Drug Administration (FDA)
5600 Fishers Lane
Rockville, Maryland
Phone: 1-888-463-6332
Website: http://www.cfsan.fda.gov/label.html

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Where can I buy food processing equipment?

There are many suppliers of food processing equipment in British Columbia. Try your yellow pages under food processing equipment, service and supplies. A few suppliers of equipment to the food and beverage industry are listed below. This is not an inclusive list. As well, you might want to consider used equipment. Examples of used food-processing equipment web sites are http://www.b2b-bestof.com/  or http://dir.yahoo.com/

CPE Systems Inc.
1455 Dominion St.
North Vancouver, BC
Toll Free: 1 800 668-2268
http://www.cpesystemsinc.com/
Processing Equipment, Sanitary Pumps and Supplies

Inland Machinery Mfg. Ltd.
205 - 20381 62nd Avenue
Langley BC V3A 5E6
Tel: 604 534-1488
Fax: 604 534-1910
http://www.inlandmachinery.com/main/index.asp/
Combination/prepared, Dairy, Eggs, Fruits, Grains/baked/pasta, Beverage-soft drinks

Pacific Asia Technologies Inc.
104 - 334 East Kent Avenue
Vancouver BC V5X 3N6
Tel: 604 322-0759
Fax: 604 322-0487
Fruits, Beverage-fruit/vegetable juice

Also remember to consult the Equipment section of InfoBasket under Food, Beverage and Nutraceutical Processors for more information.

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Where can I get technical assistance for product development?

There are many consultants in BC who can help you set up your processing line, refine your product and help you get it to market. Expertise varies with the organisation and staff. E.g. some companies may specialise in dairy products while others may specialise in nutraceuticals.

You may wish to contact:

Other contacts can be found through the yellow pages under Food and Beverage Consultants, or by consulting InfoBasket under folder E.Directories and Contacts in Food, Beverage and Nutraceutial Processors section.

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What type of marketing should I be doing for a small food processing business?

All businesses should develop a marketing plan that consists of making decisions on:

There is a wide range of marketing strategies available, depending on your company objectives, resources (physical, financial, human, and labour) and competitive strategies. InfoBasket has dedicated category C to marketing and trade. Please go to this section for a detailed breakdown of marketing strategies and topics for food processors.

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