Firms altered tallow for profit, court hears after probe.

New Zealand Food Safety said a group of meat processing companies, directors, and managers have been fined a combined $1,629,500 for illegally tampering with tallow destined for export.

The Manukau District Court sentenced Tuakau Proteins Limited, Taranaki By-Products Limited, Wallace Proteins Limited, Stephen Dahlenburg, Paul Drake, Glenn Smith, Glenninburg Holdings Limited, SBT Group Limited, GrainCorp Commodity Management (NZ) Limited and GrainCorp Liquid Terminals NZ Limited following a complex investigation under the Animal Products Act.

Deputy director-general Vincent Arbuckle of New Zealand Food Safety said the group deliberately added adulterants, including off-specification products containing unknown fats and oils, to tallow to manipulate its free fatty acid (FFA) levels.

A lower FFA level increases tallow’s market value, especially for use in biofuels.

“The price is based on FFA. By adding other oils, they made the tallow seem of higher quality and gained more profit,” Arbuckle said.

Arbuckle said the directors and managers involved knew they were breaching export rules, which require compliance with New Zealand standards and those of importing countries through a Risk Management Programme (RMP).

“While there was no food safety issue, this type of conduct risks damaging New Zealand’s trade reputation, which is built on integrity and compliance,” Arbuckle said.

The investigation began after a whistleblower alerted officials that vegetable oil may have been mixed into tallow.

Investigators followed the lead, building a case that revealed more than 8,000 tonnes of non-compliant tallow had been illegally exported.

Arbuckle said Tuakau Proteins Ltd, Taranaki By-Products Ltd and Wallace Proteins Ltd operated the rendering plants where the scheme was carried out. Managers and directors from the companies collaborated to alter the product and profit from it.

“This was deliberate offending. The companies and individuals worked together to bypass rules they fully understood,” Arbuckle said.

Arbuckle said the prosecution was the result of persistent work by investigators who connected evidence across multiple entities.

“Their work shows that those who deliberately breach export laws for financial gain will be held to account,” Arbuckle said.