Linked In
News In
Linked In

You are viewing your 1 complimentary article.

Register now to receive full access.

Already registered?

Login | Join us now

Contamination scare hits Produce Investments shares

Twitter Linkedin eCard

Shares in daffodils-to-potatoes group Produce Investments tumbled after a "potential contamination issue" prompted a recall of potato salad and ready meal products.

Shares in Produce Investments - which had been recovering from an all-time low reached in February after a caution over "price pressure" stemming from UK supermarket wars – went back into retreat after Tuesday's warning, falling 20% at one stage.

The stock recovered some ground in late deals to close at 131.5p, down 12.3% on the day.

The share followed a statement by the UK-based group that its Swancote Foods potato processing subsidiary had "experienced a potential contamination issue", relating to the "possible identification of traces of metal" in one of its products.

Supermarket recall

"Affected customers have been made aware of the issue and this has resulted in the recall of a number of potato salad and ready meal products," Produce Investments said.

A company spokesman declined to comment further to on the products that have been recalled.

However, the group's statement follows the recall by Sainsbury and Tesco, the UK supermarket groups, of some potato salads, due to the concerns that they might contain small pieces of metal.

Produce Investments said that it was "working closely with its customers to determine the full facts behind this incident and to resolve the issue as soon as possible".

The group added: "The potential financial impact of the recall is being analysed, but at this stage it is too early to quantify what any exceptional costs will be."


Twitter Linkedin eCard
Related Stories

World phosphate, potash shipments to grow in 2018, helped by Chinese needs

Mosaic forecasts further demand expansion, as it heralds a "transformational year" for its own fortunes, after a 2017 marred by a one-time tax charge

Deere lifts sales hopes - even as it unveils biggest loss in 25 years

The maker of John Deere tractors flags "strengthening" market conditions, but swallows a huge writedown prompted by US tax retorms

Plant Impact agrees takeover by Croda, after failure of Bayer contract

The crop enhancement group, floored by the failure of a supply deal with Bayer, agrees a takeover by a maker of chemicals from anti-wrinkle creams to floor coatings

Cautions mount over cost to US agriculture of trucking safety clampdown

US officials reference tightened trucking rules in a cotton export forecast downgrade, while Tyson Foods forecasts an extra $200m in costs
Home | About | RSS | Commodities | Companies | Markets | Legal disclaimer | Privacy policy | Contact

Our Brands: Comtell | Feedinfo | FGInsight

© 2017 and Agrimoney are trademarks of Agrimoney Ltd
Agrimoney is part of AgriBriefing Ltd
Agrimoney Ltd is registered in England & Wales. Registered number: 09239069