FOOD SAFETY

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1Technical level of the business

The Company’s management systems and products have been verified through programs such as the National Quality Award (NQA), Taiwan Quality Food Association (TQF), the Hazard Analysis Critical Control Point (HACCP) designation, and the Foundation for Food Safety Certification (FSSC 22000). Its health food brands of oil products and hot-filled bottle low-acid tea beverages have obtained US FDA approval for export; it has obtained the certification of the food industry’s hygiene management food safety systems, environmental protection packaging water carbon footprint verification, halal certification, and Anti-Additive Association.

In order to comply with international trends and customer requirements, the entire production lines of the food factory and the oil factory have obtained the SQF8.0 certification to strengthen source management. Furthermore, its products have more stringent food safety quality standards and have been certified by GFSI, Aligning with international standards and driving the business to produce and sell products globally. We continue to strive for verification and award certificates of related management systems, and with such rigorous management systems and verifications serving as the company’s product quality assurance, we will increase the Company’s product power to win the trust of society and of customers.

2.Verification of the construction of the pig production traceability system:

  • The Beidou Livestock Farm obtained National Animal Husbandry Foundation production background verification in September 2009 and is is subject to verification each year. The production process of pig raising, vaccination, and feeding is made open and transparent to offer consumers our quality assurance. 2020/10/13 Re-accredited by the National Animal Industry Foundation.
  • Regarding Taisun brand pork verification, it passed Carrefour CQL international quality certification in 2014. Together with Shang Lee slaughtering and cutting technology, Carrefour’s management in France verifies its validity every two years, and it has already been sold in the Carrefour Free Brand Market.2020/9/15 we once again passed the CQL (audited by FSI).
  • 2020/11/28 Beidou Farm received the Excellent Meat Award by Changhua Meat Market.
  • 2020/12/4 Recognized as an excellent supplier by Carrefour ( best partner for strictly selected pork).

3.Research and development

The Company continues to invest capital and manpower to develop new products and improve process technology. Furthermore, it seeks to master the source quality of formula raw materials. In response to future market demand, it promptly launches new products that meet hygiene, health and safety requirements, and that grasp the best profit opportunities.

4.Successfully developed technologies or products in the most recent year

Year

R&D results

2018

(1) Frozen food: IP sunrise baked milk, IP sweet orange drink, IP lemon perilla, and IP sunrise grass jelly milk tea.

(2) Room temperature food: Red BUFF, Blue BUFF, Cheers Bee, Cheers Body, Woo Tang grass jelly herbal tea, and Leezen Grass Jelly.

(3) BIB beverage machine concentrate: lemon flavored black tea, guava flavored green tea, and grape flavored iced tea.

2019

(1) Frozen food: IP purple sweet potato red beans, IP Korean strawberry cheese milk tea, IP replica double Q black tea, IP passion fruit shake, and IP peach bubble green tea.

(2) Room temperature food: Strawberry black tea, Woo Tang grass tea, Cha Chi Chu four seasons drink, mature peach nectar drink

(3) Sparkling water: Strawberry sparkling water, orange grapefruit sparkling water

2020

(1) Cool food: IP Summer Limited Edition Grass Jelly, IP Brown Sugar Fresh Milk Tea, IP Classic Milk Tea, IP Osmanthus Black Tea, IP Double Thai Milk, Grass Jelly Taro Milk Tea

(2) Food temperature food: Strawberry Black Tea for Audit Consumers, Grape Black Tea or Audit Consumers, Lemon Black Tea for Audit Consumers, Barley Black Tea, Barley Green Tea, Lemon Water, Oatmeal with Chickpea, Mixed Congee Pumpkin & Quinoa

(3) Sparkling Water: Lemon Sparkling Water, Mango Sparkling Water

5.Research and development expenses invested by the Company in the most recent year and up to the publication date of the annual report

Unit: NTD thousand

Year

2020

2021 as of March 31

Total cost

14,504

4,659

Before or during cooperation with suppliers, the Company will evaluate the possibility of continuing cooperation based on the results of the annual supplier quality evaluation plan, and agree to abide by the protection of the environment and society, the supplier’s commitment to product responsibility, and labor conditions.

Supplier management:

An evaluation plan is scheduled every year. In addition to attaching importance to the quality of suppliers’ supply, the implementation of social responsibilities by suppliers is included in the evaluation items of operations and management. At the same time, we actively counsel all suppliers to upgrade the food safety quality management system, improve the quality system management level, and achieve the concept of coexistence and common economic prosperity.

Regularly visit suppliers conducting evaluations:

  1. The vendors that performed the appraisal accounted for approximately 32% of the total purchase amount of raw materials.
  2. The acceptance rate of raw materials entering the factory is 99.3%, and the acceptance rate of materials used is 99.9%
  3. Actively counsel suppliers to upgrade the food safety quality management system, and the rate of  suppliers obtaining international certification is 61%.

After the site visit to the factory, various scores will be given according to the supplier evaluation items, and the evaluation results will be graded and managed according to the evaluation scores from A to E. The suppliers will be evaluated according to the A and B grades. Excellent supplier, measure quality, price, delivery time, service, etc. Send inquiry list, give priority to ordering opportunities. Taisun takes domestic suppliers as the priority, and conducts risk assessment and management to improve the competitiveness of the supply chain. If the supplier is rated below C, the coaching strategy is the main strategy. If the coaching still fails to meet the regulatory standards Replace it.

Cooperating OEMs management

 As a member of the food manufacturing industry, Taisun Enterprise strictly examines and selects raw material suppliers. In addition to being a legitimate business operator, a supplier must also meet Taisun’s production requirements and have both reasonable prices and high coordination ability. The procurement process of raw materials must be reviewed and confirmed by relevant units such as R&D and quality assurance and grow together with suppliers through the method of supplier evaluation. It also reassesses or cancels partnerships for abnormal suppliers and implements supplier management policies.

  1. In 2020, 50 manufacturers have actually implemented the evaluation (35 raw material manufacturers and 19 material manufacturers). This accounts for 32% of the total purchase amount of raw materials.
  2. Taisun Enterprise actively counsels suppliers to upgrade the food safety quality management system. At present, the rate of suppliers obtaining international certification is 61%. We will continue to guide all suppliers to introduce international certification, improve the quality system management level of partners, and achieve the concept of coexistence and common economic prosperity.
  3. In 2019, there were 11 cooperating OEMs. Due to product adjustments, there was 2 fewer OEM than in 2019. Commissioned outsourced factories have obtained 100% food safety related certification. We continue to promote outsourced factories to obtain food safety quality certification.
  4. An evaluation plan is drawn up every year, and on-site inspection at the outsourced factory is used as reference information for follow-up cooperation. Of the 7 outsourced factories that performed on-site evaluations in 2020, 6 outsourced factories were rated as B-level and one outsourced factory reached A-level.

Cooperating OEMs that have been commissioned to obtain certification are as follows:

國際認證占比HACCPISO22000FSSC22000SQF
201487.5%62.5%25.0%0.0%
2015100.0%85.7%28.6%0.0%
2016100.0%87.5%25.0%0.0%
2017100.0%90.0%30.0%0.0%
2018100.0%92.9%50.0%7.1%
2019100.0%92.0%38.5%7.7%
2020100.0%100.0%27.0%0.0%

I.Legal compliance

the Company is civilian food manufacturing enterprise and pays special attention to Article 7, paragraph 2, subparagraph 7 of the “Ethical Corporate Management Best Practice Principles for TWSE/GTSM Listed Companies” that cites “Damage directly or indirectly caused to the rights or interests, health, or safety of consumers or other stakeholders in the course of research and development, procurement, manufacture, provision, or sale of products and services.” The preventive measures and promotion points are summarized as follows:

Regulatory compliance: In order to improve the management of food safety, establish national food product regulations in the database, and conduct product compliance inspections, and give immediate warning when a product does not comply with the regulations, all the complete information on the outer packaging label can be simultaneously queried regarding the product. It also has a traceability function to achieve the benefits of source management and rapid queries.

II.Quality certification

Quality certification: At present, it has a number of international certifications such as SQFLevel3 and FSSC22000, and uses internationally recognized standards to check consumer food safety. Furthermore, it uses USSEC certified soybeans to produce salad oil. While responding to international trends, it became a member of RSPO in 2017 to pay attention to the source of palm oil used in its products and protect original forests from destruction. In addition, it supports government policies with its continued participation in the promotion of domestic certifications such as TQF, health food, CAS, and campus food. Moreover, after obtaining the halal certification in 2015, it has continued to expand opportunities for the export halal market and actively strives for the Company’s product image in food safety. In 2020, Taisun launched its first sugar-free and additive-free congee product. It is also the first canned porridge product in Taiwan to be awarded the highest grade 3-star Clean Label by the Anti Additive Association and the Tse-Yue’s Double Clean Label.

 List of food safety certifications obtained by Taisun

Product category

International certification

National certification

Halal certification

SQF FSSC22000 TQF Halal

Canned snacks

100%

100%

95.81%

96.08%

Fresh house snacks & drinks

100%

100%

99.87%

60.07%

PET bottle tea beverages

76.17%

85.17%

89.93%

72.35%

Tetra Pak beverages

 

100%

100%

 

Packaged drinking water

   

100%

 

Oil products

74.66%

100%

47.48%

73.75%

Carbonated drinks

 

10.45%

91.39%

 

III.Setting up a laboratory

Taisun has 3 laboratories: food laboratory, microbiological laboratory and oil laboratory. The existing laboratory equipment and equipment are in accordance with the Ministry of Health and Welfare’s “Food Factory Building and Equipment Design Standards”.

In 2020, 81 outsourcing calibrations will be outsourced. Some equipment will be internally calibrated by qualified personnel. In 2020, there will be 197 internal calibrations. In 2020, a new empty can paint film conductivity meter is used to detect tin cans used in canned snack products.
 
The Quality Assurance Building was completed and opened in 2019, serving as a specialized workplace for oil quality assurance and oil research and development. Taishan Laboratory has applied for TAF certification to strengthen the credibility of the inspection report.
 

IV.Third-party verification

In order to ensure the safety and quality of each can of products in the hands of consumers, we sample products and raw materials and send them to a third notarization unit for inspection each year, such as: local health bureau, SGS inspection and food industry development research institute, etc. In 2020, a total of 571 products were sent out for inspection.

In terms of source management, water source and water quality inspections were submitted 21 times, and the inspection results were all qualified. In addition, in order to control product risks, Taisun strictly controls the safety of oil products and tea. A total of 183 oil products were submitted for inspection, and tea inspections were submitted 58 times, with an inspection pass rate of 100%. Other types of products are no exception. For random inspections, beverages were submitted for inspection 39 times, Baote tea beverages were submitted for inspection 70 times, canned food was submitted for 62 times, packaged drinking water was submitted for inspection 12 times, and snacks were submitted for inspection 21 times. All qualified.
 
In addition to random inspection of products sent out for external inspection, in terms of food safety management, Taishan Food Factory and Oil Factory will accept a mandatory audit by the government and government-sponsored entities in 2020, and the audit results are in line with the requirements. In order to make continuous progress and continue to obtain food safety and quality certification, Taishan will accept a total of 7 food safety and quality audits from the third impartial unit in 2020. When defects are found in the audit, Taishan actively requests improvements, and all of them can pass the audit and approval.

1. Product packaging and review system

Product packaging and labeling are consumers’ first impressions when they come into contact with products. Taishan adheres to the principle of honesty and transparency, and designs product packaging labels with the “Food Hygiene Management Law” as the minimum standard. In 2020, the number of reports and penalties for false indications or advertisements is 0.
 
A total of 325 product packaging label reviews in 2020, including 19 canned snack products, 38 normal temperature beverages (including PET bottles and Tetra Pak), 55 refrigerated snack beverages, 18 carbonated beverages, 122 oil products, and water series 72 pieces of products and 1 piece of other products.
 

2. Tracking and tracing system test

Taishan has built a complete production tracking and tracing system. Starting from any end of the raw material, manufacturing date or shipment data, complete production history data can be concatenated. In order to ensure the effectiveness of the tracking and tracing system, each production line is implemented every year There are no major differences between the drill test and the management process before 2019.
 
In 2020, a total of 15 simulated recycling tests were carried out, covering all product types (including OEM products commissioned by customers), and the recycling rate reached 100%, of which 2 times were executed from raw material tracking to finished products, and 3 times were executed from packaging materials to finished products. , To ensure that the production history of the product can be traced back.
 
In order to ensure the tracking and tracing of product flow and the source of raw materials, the government regulates that oil manufacturers, tea beverage manufacturers, and soybean, oil, and tea importers must upload every batch of products to the non-tracking electronic platform. We will comply with government requirements. In 2020, a total of 228 items were uploaded for the manufacturing industry and 23 items for the input industry, 100% of which were uploaded to the Food and Drug Administration’s Traceability Management Information System (https://ftracebook.fda.gov.tw/)
 

3. Customer after-sales service complaint channel

Taishan can collect feedback from customers on the use of products from the company’s official website mailbox, Facebook, and 0800 dedicated line. The customer service department filters the usage opinions on a daily basis, and understands the product usage experience and the details that should be paid attention to in management from the consumer’s experience.
Taishan’s satisfaction in customer complaint services is divided into answering attitude, processing speed, and satisfaction with the processing results. After continuous suggestions and improvements from customers, we hope that the products will be closer to consumers’ expectations. Taishan is divided into four levels based on consumer response, and is included in the consumer opinion system based on good suggestions, customer complaints, injury incidents, and crisis incidents, and analyzes the factors one by one and responds to the reasons.
 
Consumer Service Line: 0800-079-080
Consumer service mailbox: taisun1@taisun.com.tw
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