FDA Proposal Could Result in Increased Prices of Beer | TopNews United States - FACTOIDS
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FDA Proposal Could Result in Increased Prices of Beer | TopNews United States

FDA's proposal is likely to result in a hike in beer prices. Actually, the FDA wants to classify companies that distribute spent grains to farms as animal-feed manufacturers so as to impose new sanitation requirements on them. The proposal, if passed, will push brewers to follow sanitation requirements and possibly dry and package the material before distribution.

The FDA has claimed that this will help in prevention of food-borne illness in both animals and people. However, brewers are not at all happy with this new proposal of the FDA, saying that it will cost millions to them and push them to increase prices of beer.

The proposal is cost-prohibitive and most brewers will be forced to put this material in a landfill, said Scott Mennen, vice president of brewery operations at Widmer Brothers brewery in Portland.

Dairy farmers have been provided with spent grains for centuries by brewers. Farmers also like it because it provides them a low-cost or free source of high-protein, high-fiber feed for their cows.

About a pound of spent malted barley husks is yielded by one gallon of beer. The process runs at about 170 degrees Fahrenheit during brewing, which eliminates any chance of presence of contaminants.

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Big brewers like Widmer and Full Sail have been shipping the spent grain in bulk for long. Nearly three million tons of spent grain is shipped every year and 90% of them go to livestock, claimed the Beer Institute, a trade-industry group.

"You have to figure if you suddenly take millions and millions of pounds of free or very, very inexpensive livestock feed out of the equation, how that is going to impact small, local, independent ranchers and farmers", said Tony Tielle, co-owner of Roughtail Brewing Company in Oklahoma City that recently celebrated its one year anniversary in business. The new FDA proposal could become a big obstacle in the way of donating spent grain to farmers.

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