ASTA 2019 Annual Report · 2019. 3. 7. · ASTA 2019 ANNUAL REPORT 03/01/2019 ASTA’s Strategic...

ASTA 2019 Annual Report

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2019

ANNUAL REPORT

ASTA 2019 ANNUAL REPORT 03/01/2019

TABLEOFCONTENTS

ASTA's Strategic Plan…………………………………….……………………….. 2

Officer's Reports…………………………………………………………..………… 4

Presidents Report……………………………………………………………. 4

Executive Report…………………..………………………………………... 7

Treasurer’s Report…………………………………………………………. 11

Financial Highlights………………………………………………. 11

Audit……………………………………………………………..…….. 13

Committee Reports………………………………………………………………… 28

Arbitration Board Report………………………………………………… 28

Education Committee Report…………………………………………. 29

Food Safety Committee Report………………………………………. 31

Government Relations Committee Report…..…………………. 34

Membership Committee Report….…………………………………. 38

Nomination Committee Report………………………………………. 41

Business Meeting 2018…………………………………………………………… 43

Acknowledgements……………………………………………………………….. 46

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ASTA’s Strategic Plan

Mission Statement

ASTA works to ensure the supply of clean, safe spice, shape public policy on

behalf of the global industry and advance the business interests of its members.

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ASTA’s Strategic Goals

Advocacy – Representing US industry interests and supporting regulatory compliance.

A. Domestic – Maintain relationships with US agencies to collaborate and influence.

B. International – Build relations and collaborate with international organizations.

C. Horizon Scanning – Continuously scan to identify and position US spice industry

issues.

D. Regulatory Compliance – Enhance member understanding and support their

compliance through ASTA’s benefits, education and resources.

Food Safety – Facilitating food safety through research and education.

A. Resources – Provide the tools and resources to facilitate food safety understanding

and compliance.

B. Horizon Scanning – Maintain open channels to collect and be alert to food safety

issues.

C. International – Collaborate with international organizations to identify and address

food safety issues.

D. Research – Promote access to research and testing to support industry standards of

excellence.

Strong Association – Maintaining a united industry membership.

A. Membership Value – Enhance the membership experience and value through US and

international recruitment.

B. Leadership – Develop the leadership necessary to guide US spice industry and to take

resolute positions.

C. Networking – Facilitate robust networking opportunities for members.

D. Communications – Strategically use all forms of media, improve industry awareness,

and consider potential for consumer marketing initiatives.

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President’s Report

ASTA has made substantial progress on some of its initiatives in the

past year, and has also started some new projects that I would like

to share with you.

Much of the important work that ASTA does on behalf of its

membership takes significant time to complete, often spanning the

terms of more than one President. Among the many things ASTA

has worked on this year, I’m pleased to report that we are in the

process of completing one key project and are setting the stage for

significant action on another.

The Food Safety Modernization Act (affectionately known as FSMA) required that pathogen

reduction processes be validated and the FDA is requiring that the surrogates used for

validation have scientific justification. Several years ago ASTA supported research to identify

surrogates for a number of spices. Last year the FDA agreed with our proposal to develop

groupings of spices for the purposes of identifying surrogates given the large number of spices

that exist. The grouping project has been completed with the conclusion that E. faecium is an

appropriate surrogate for the various groups based on research that has been conducted.

Information is being finalized for distribution to members and the FDA to finalize this project.

For many years, the Board of Directors has grappled with the problem of the lack of import

tolerances for pesticide residues on spices and this year the Board committed significant

funding to begin addressing this issue. Working through our membership in CropLife America

and with the EPA, changes have been made in the application process for import tolerances

that make it feasible for ASTA to apply for tolerances. The Board allocated nearly $150,000 to

pursue tolerances on spices for five chemicals: metalaxyl, azoxystrobin, difenoconozole,

acetamiprid and dimethomorph. We plan to take two different application routes for these

chemicals – relying on a new ability to apply with monitoring data for the first three and a new

program allowing submission of data from another national authority for the last two. Based on

“FDA agreed with our proposal to develop groupings of spices for the purposes

of identifying surrogates given the large number of spices that exist.”

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our success with these initial chemicals, we will develop a strategy to take on more chemicals in

the future. It’s expected that it will take EPA about two years to finalize our submissions so this

remains a long‐term and costly project, however, there is finally a clear path forward.

For the first time, the chairs of ASTA’s committees were invited to the

October Board of Directors meeting to share information about their

committee activities. The committee’s annual reports will provide more

extensive details on their accomplishments, however, I would like to

highlight a few key accomplishments:

‐ The Food Safety Committee is preparing to publish guidance on

environmental monitoring and a series of FAQs to help the spice industry understand

issues related to Listeria. The Analytical Methods Subcommittee is also undertaking a

review of ASTA’s Analytical Methods.

‐ The Education Committee has developed the April 2019 pre‐conference Workshop on

traceability and is working to develop an on‐line new buyer onboarding series with

valuable information for employees new to the spice industry.

‐ The Government Relations Committee continues to lead important advocacy efforts for

the spice industry, including completion of a report on the noxious weed seed issue and

responding to questions from the FDA on contract manufacturing.

ASTA’s committees play a key role in achieving the organization’s strategic goals as staff relies

on volunteer expertise to support the work of ASTA. The Board is reviewing the current

committee structure and looking to make revisions, adding task forces and working groups to

minimize the time commitment required of our volunteers while improving efficiency, ensuring

appropriate recognition of volunteers and ensuring that the work of the committees is goal‐

oriented and directly tied to the ASTA strategic plan. As these changes are unveiled in the

coming months it is our hope that more members will consider volunteering. I would like to

thank all committee volunteers of this last year for their valuable input and work.

As I close out my year as President, ASTA is also saying goodbye to longtime Executive Director

Cheryl Deem. Cheryl is retiring after the Annual Meeting in April after 16 years with ASTA. We

welcomed Laura Shumow as our new Executive Director back in September and Laura and

Cheryl have been working together since then on a successful transition. Laura will continue to

be supported by longtime staff members Margarita Passero and Meegan Kavanaugh, as well as

Government Relations Director Jessica Skerritt. I would like to express my appreciation of

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Cheryl for her years of service to the association and congratulate her on her impending

retirement. I would also like to congratulate Laura on her new role, and appreciate the way she

really hit the ground running. It has been a pleasure and an honor to work with both of these

ladies.

It has been a true privilege to serve as President and to work with my fellow Directors to

further the strategic goals of our association.

Thank you.

Respectfully submitted,

Simone Cormier, Allegro Coffee Company

ASTA President

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Executive Report

Sr. Advisor

My contribution to the ASTA Annual Report typically

focuses on some of the key accomplishments of the

past year, but as I write my final report for ASTA,

there is much more to share with you.

I joined ASTA with a journalism degree and a

background in association management. My only

experience with the spice industry came from those

small jars in my kitchen. I am so grateful to all ASTA

members for welcoming me and for your willingness

to teach me what it takes to get those small jars into

the kitchen. I was given incredible opportunities to

visit many of your U.S. facilities, to travel to source

countries to trek through fields and meet with farmers, to learn about the spice industry from

the beginning to the end of the supply chain.

The past 16 years were not without challenges, but I believe the obstacles we faced together

have made ASTA and the spice industry stronger.

- When I joined ASTA in 2003, changes were already underway to the membership and

dues structures. They were controversial and resulted in pretty big drops in both

membership numbers and dues revenue. Over time membership has been rebuilt, dues

revenue continues to grow and today the organization has a strong and diverse

membership and is strong financially.

- Two foodborne illness outbreaks traced to spices between 2008 and 2010 put the spice

industry under the microscope, with FDA going so far as to label spices a “stealth

ingredient,” implying that outbreaks with no cause might be due to contaminated spices

because spices are so widely used. The resulting Draft Risk Profile cast a spotlight on

concerns about cleanliness and pathogens. Publication of the Clean, Safe Spices

Guidance and other work ASTA did during this time strengthened our relationship with

FDA and their subsequent retail study demonstrated that responsible companies take

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appropriate steps to ensure they provide clean, safe spices. That relationship with FDA

remains strong today and is key as new issues arise.

- Beginning in 2011 ASTA devoted significant resources to the Food Safety Modernization

Act (FSMA) as the entire food industry struggled under the weight of a brand‐new law

with broad implications for how business is done, both in the U.S. and overseas. FSMA

was a major focus of our work over a five‐year period as we sought to ensure members

understood FSMA, their responsibilities under the new law and how to comply.

- New challenges arose in 2015 when peanut protein was found in ground cumin,

prompting dozens of recalls and a great deal of turmoil within the industry. I recognize

that there are many who were not satisfied with the outcome given the lack of formal

investigation and communication from FDA. However, this incident did lead to greater

industry understanding of the issue of allergens, particularly the potential for cross

contamination.

- When I first started with ASTA, adulteration was not spoken about. There was a quiet

understanding that it was an ongoing issue, but treated as if speaking about it would

bring great harm to the spice industry. Today we know that food fraud is a problem not

just in spices, but in seafood, honey, and olive oil, to name just a few. Today ASTA

addresses the issue head on, providing education and resources and looking to grow

awareness in an effort to combat economically motivated adulteration and those who

commit fraud.

- The spice industry faces an ongoing challenge with pesticide residues, however,

significant steps have been taken in recent years working with EPA. The Board of

Directors committed nearly $150,000 this year to submit petitions on five chemicals for

import tolerances and while that work is likely to take 18 to 24 months, there is finally a

path forward that should provide relief on this difficult issue. ASTA has also used the

relationships we have developed with other spice organizations around the world to

help with this worldwide challenge.

As the ASTA staff prepares for the 2019 Annual Meeting it is hard to believe that this will be my

17th meeting, a number that seemed impossible when I attended my first meeting in Monterey

in 2003. I knew hardly anyone at that meeting and today I look forward to one last meeting

with an amazing group of people I have come to know and respect over the years.

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It’s been an incredible journey. I thank you for your support, your kindness and your

willingness to share the spice industry with me. As I embark on my next journey in life, I know

that I leave you in good hands for the future. And I will treasure the many memories you have

given me each time I use those small jars in my kitchen.


Cheryl Deem, Senior Advisor

American Spice Trade Association

Executive Director

I am privileged to have had the opportunity to work closely with

Cheryl over the last six months. Her counsel has been invaluable to

me. Under Cheryl’s leadership, ASTA has remained a strong and well‐

regarded organization and has truly become the voice of the U.S.

spice industry in the global market. Notably, ASTA has fostered a

strong relationship with the FDA, which is crucial to our ability to be

an effective advocate. It is my top priority to maintain this strong reputation and to continue to

ensure that ASTA offers the highest level of member value through education and advocacy.

I believe I am well‐suited to continue to foster a strong relationship with FDA and other

relevant policymakers to advocate on technical issues that impact the spice industry, including

FSMA, allergens, pesticides, and other food safety and sustainability challenges related to

importing agricultural commodities grown by small shareholder farmers in developing

countries. I am a scientist by training and have spent my career working in the food trade

association world in Washington, DC on technical and regulatory issues. Prior to my time at

ASTA, I worked for the cocoa and chocolate sectors, which share many of the same challenges

as the spice industry.

I have taken my first few months on the job to learn as much about our members and the spice

industry as I could. On my listening and learning tour, I visited pepper farms and toured spice

factories that represent multiple facets of the industry – large companies, small companies,

U.S.‐based companies, international companies with factories in foreign countries, as well as

organic and seasoning manufacturers.

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One of the challenges that I have heard about from all of these corners of the industry is related

to the unfortunate realities of intentional adulteration. I understand that the industry has a

painful past on this topic. To address this challenge, I have worked with the Board to establish a

Spice Integrity Task Force. It is our goal to bring together leaders in the spice industry to

develop solutions to this pervasive problem. We plan to introduce a Spice Integrity Council

comprised of industry leaders with a dedication to resolving this challenge.

I have also heard from many members that ASTA would benefit from modernizing how we

communicate with the industry. Building on our social media strategy, we plan to take a

comprehensive look at industry communications and how we can better reach the broader

industry, especially young professionals. As we broaden our reach to the industry, one of our

goals is to galvanize more involvement in ASTA. Volunteerism is essential to our organization’s

success. ASTA relies on the Board and committee volunteers to further the strategic goals of

the organization. As such, this new communications effort

ties in with the Board’s work on restructuring the ASTA

committees.

Finally, I want to tell you all how enthusiastic I am to join the

spice industry. I have been impressed with the special

culture within ASTA’s membership, which I have experienced

as a sophisticated and complex global industry with a rich

history that is comprised of down‐to‐earth professionals

who share sincere relationships with one another. It is

noteworthy when competitors come together to face

common goals and share genuinely warm connections. I look forward to getting to know all of

you and working together on the many complex and fascinating challenges that face our

industry.

Thank you for welcoming me into the spice industry.


Laura Shumow, Executive Director


Cheryl and Laura touring a member facility in Vietnam.

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Treasurer’s Report

Financial Highlights

This report covers the audit for the fiscal year ending June 30, 2018 and actions taken by the

ASTA Board of Directors related to financial policies.

ASTA’s financial policies state that “the goal of the budget is to be balanced or show a net gain.

The exception to this is covered in the ASTA Policy on Fund Balance.” That policy states that “if

the current fund balance exceeds the goal, the additional funds can be allocated by the Board

of Directors to increase funding for existing programs and/or to provide funds for new

initiatives in any given fiscal year.”

The Board reviews financial policies and ASTA's investment strategies on an annual basis as part

of the budget planning process. The 2017‐2018 budget was approved with funding allocated to

projects identified in the strategic plan, as well as new work identified by the Board during the

planning process, with a budgeted operating loss of ($65,110). This budgeted loss was in

accordance with ASTA policy. The Board approved funds to hire a social media consultant to

work with the Board to identify a communications strategy for ASTA and allocated funds for

staff time to work on implementing communication strategies. Funds were also allocated to

complete work on the surrogate development project, ongoing work on pesticide residue

tolerances, and the document on allergen guidance.

ASTA ended the fiscal year with a positive net change in assets of $147,881, bringing total

unrestricted net assets to $1,437,274.

$0

$500,000

$1,000,000

$1,500,000

FY2011 FY2012 FY2013 FY2014 FY2015 FY2016 FY2017 FY2018

UNRESTRICTED NET ASSETS

FY2011 FY2012 FY2013 FY2014 FY2015 FY2016 FY2017 FY2018

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The two largest revenue streams for ASTA are the Annual Meeting and membership dues.

Attendance at the 2018 Annual Meeting in Naples, Florida continued an upward trend with a

record 437 attendees. Total revenue for the meeting was $519,510, exceeding budget by

$26,065. Revenue from membership dues and initiation fees totaled $918,372, which was

higher than budgeted by $38,722. These are both very positive for ASTA, particularly since the

upward trend in revenue for the annual meeting assists to balance ASTA’s reliance on

membership dues to fund all programs. Membership dues continue to account for more than

half of annual revenue for ASTA. The Annual Meeting now totals 33% of annual revenue. This is

a much healthier balance of revenue sources than in past years.

Lydon Fetterolf Corydon, P.A., Certified Public Accountants conducted an audit of ASTA’s

statement of financial position as of June 30, 2017 and found that the associations financial

statements present fairly its financial position. A copy of the completed audit report follows this

report. The audit states that management of ASTA’s funds was according to good practice and

that no significant errors were identified. In accordance to recommended best practices for

associations the Board has agreed to rotate auditors periodically. Therefore, this will be the

final year with Lydon, Fetterolf, Corydon, P.A. ASTA will be working with its management

company Verto Solutions to identify a new auditor for the next fiscal year.

The ASTA Board is also interested in conducting a periodic benchmarking analysis of

management fees in comparison to other association management companies and has

approved a third‐party provider that specializes in these assessments to conduct the analysis in

2019.

ASTA staff continues to provide timely and complete financial reporting for the Treasurer and

the Board to review. The Board approves all significant expenditures. In my opinion, the Board

has acted responsibly throughout the year, for which I thank them all for their services.


Larry Lichter, McCormick & Company, Inc.

ASTA Treasurer

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Arbitration Board Report

Since the writing of the last annual report the Arbitration Board there have been no requests

for arbitration.

I am beginning my last year of a two‐year term as ASTA’s Arbitration Board Chair. It has been a

pleasure to serve and I would also like to thank the members of the Arbitration Board and

alternates for their dedication and service.


Stephen Bermingham, Polytrade International, Inc.

Arbitration Board, Chair

Arbitration Board Members:

Peter Sayia Jr., A.A. Sayia & Co., Inc.

Spencer Martin, Wm. E. Martin & Sons Co., Inc.

Alternates:

Nagy Beskal, Mincing Spice

Paul Chowla, Ludwig Mueller

Dan Crabbe, A.A. Sayia & Co., Inc.

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Education Committee Report

The Education Committee focused attention this past year on developing programs to address

key needs and issues in the spice industry

today.

The committee spent the bulk of its time

this year planning the Pre‐Conference

Workshop for the 2019 Annual Meeting to

be held in April. This year’s Pre‐Conference

Workshop is focused on introducing

Blockchain Technology to the industry and

offering insight into current applications by different players in the sector. The opening

presentation will be made by Roxi Beck of The Center for Food Integrity. Roxi will provide

insight into customer driven demand for transparency and traceability in our industry. Further

presentations by three more speakers will expand into an overview of blockchain basics,

relevant case‐studies, and the implementation of this new technology for the spice industry.

The committee also laid the groundwork for a joint initiative between ASTA and John Spink at

Michigan State University (MSU) to develop a Massive Open Online Courses (MOOC) on Food

Fraud within the spice industry. ASTA has put a

memorandum of understanding in place with MSU and

plans to work on the development of the MOOC in the

coming months.

Finally, the committee also helped shape and provide

materials for a “New Buyer Onboarding” program. This

program will be an online tool that is comprised of a

series of short presentations on the basics of the spice

industry. The Committee has completed the first module

and plans to develop several more before releasing the

first installation of the series.

I would like to thank the members of the Education Committee for the time and expertise they

commit to ASTA and look forward to presenting the final work products we have developed this

year.

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Ucar Sayil Gundem, Kutas Group

Education Committee Chair

Education Committee:

Marty Mitchell, Certified Laboratories, Inc.

Whitney Sayia, A.A. Sayia & Co., Inc.

Guillermo Molina, Sabater Spices

Brian Dillon, McCormick & Company, Inc.

Suzanne Munson, Heifer International

Simone Cormier, Allegro Coffee Company (Board Liaison)

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Food Safety Committee Report

ASTA’s Food Safety Committee continues its work to provide resources and education to the

spice industry to ensure ASTA members can deliver clean, safe spices to their customers and

consumers. Following is an overview of our activities to date toward accomplishing that goal.

Environmental Monitoring Guidance

A task force of the committee developed a

guidance document for ASTA membership

on Environmental Monitoring Programs

(EMPs) for spice companies. EMPs are an

important risk assessment tool to help

companies verify their sanitation controls

and to find and destroy bacterial

harborages. The extensive new guidance covers regulatory requirements, how to

develop an EMP, risk assessment, corrective actions, recordkeeping, and more. This

guidance document is currently under legal review and a draft final version will be

provided to the committee in advance of the April meeting with plans to release the

final version to the broader membership following the meeting.

Questions and Answers Related to Listeria Monocytogenes in Spices

The food safety committee will release a Q&A on Listeria in conjunction with the EMP

guidance document since these two topics are closely related. Per new FDA guidance,

companies producing ready‐to‐eat foods are required to have environmental

monitoring programs in place for Listeria. Although Listeria is not a likely hazard for

spices, there are some scenarios in which spice companies may be required by FDA or

expected by customers to have monitoring programs in place. The Q&A provides

important information about when and how to test for Listeria in spice facilities.

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Check Sample Program Updates

The committee continues to make updates and

improvements to the ASTA check sample program.

The electronic platform for the check sample

program was updated last year. The new platform is

more streamlined with new and improved

functionality.

Over the last several months, a task force of the committee held discussions with ERA,

the vendor that runs the Check Sample Program for ASTA, to explore reinitiating a

microbiological component to the program, which included a Salmonella

positive/negative test component and a bacteria enumeration test component. The goal

of the task force is to resolve issues with the previous program, including that the

Salmonella inoculum was too high, and the protocol was unclear. The task force will

present the revamped program to the committee in April and seek volunteers to

participate in a pilot program to test new samples and follow the updated protocol. If

the pilot is successful, the new component can be added to the Check Sample Program

in 2020.

Allergen Task Force

The Food Safety Committee formed an allergen task force to review ASTA’s existing

resources on allergens and explore the development of new resources that would

benefit the ASTA membership. This group led the development of ASTA’s comments to

FDA on its request for information on the labeling of sesame as an allergen, as well as

changeover and cross‐contact issues related to sesame processing. The task force

continues to evaluate existing resources that have been developed by the Food Allergen

Research and Education organization and the GMA Science and Education Foundation.

Analytical Methods Subcommittee

The Analytical Methods Subcommittee is in the process of completing a review of the

current ASTA methods in order to update old methods and identify obsolete methods

that can be marked for deletion. The outdated methods will be maintained in an archive

on the ASTA website. The committee will provide the ASTA membership sufficient time

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to review the methods and provide feedback regarding if the methods are in fact still

used within the spice industry.

The Food Safety Committee is made up of a dedicated group of professionals who balance their

jobs at

ASTA member companies with the responsibilities of committee membership. I am grateful to

them for their support these past several years and look forward to a continued role with this

group.


Erik Knedgen, Kalsec

Food Safety Committee, Chair

Food Safety Committee:

Stan Bailey, Biomerieux Industry

Mostafa Bedair, Giza Seeds and Herbs

Steven Clemenson, Nedspice Group

Joy Dellaringa, Biomeriux Industry

Ravin Donald, Frontier Co‐Op

Roger Clarke, Cannamela Divisione Di

Bonomelli S.R.I.

Paula Coe, Mincing Spice Company

Alain Darriet, Wixon Inc.

Chaim Fleischer, Gel Spice Company, Inc.

Leonard Fong, Olam Spices

Dan Hemming, Sensient Natural Ingredients

Rick James, Givaudan Flavors Corp.

Sebnem Karasu, Karasu Consulting

Lynda Lathrop, Griffith Laboratories

Eileen Lauth, Harris Spice Co., Inc.

Amy Lytle, B&G Foods, Inc.

Doug Marshall (Board Liaison), Eurofins

Martin Mitchell, Certified Laboratories, Inc.

Jeff Nauseda, Biomeriux Industry

Brent Quinn, McCormick & Company, Inc.

JennieAnn Reietmeyer, Spice Chain

Corporation

Jena Roberts, NOVOLYZE

Supat Sirivicha, Eurofins

John Szpylka, Merieux NutriSciences

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Government Relations Report

The Government Relations

Committee continues to work

to further the advocacy goal of

the ASTA Strategic Plan to

represent the U.S. spice industry’s interests and support regulatory compliance. The Committee

continues to provide educational resources on new and emerging policy and regulatory

developments. Additionally, the Committee advocates on behalf of the business interests of the

spice industry. This year the Government Relations Committee’s work expanded beyond the

Food Safety Modernization Act (FSMA), although FSMA continues to remain an important

aspect of the Committee’s overall focus.

Regulatory & Policy Compliance Education for ASTA Membership ‐ The Committee continues to

monitor regulatory and policy developments and create tools and resources to support

regulatory compliance for ASTA members.

Ready‐to Eat FAQ

FDA has yet to provide guidance on how certain FSMA requirements apply to “ready‐to‐

eat” (RTE) foods. The Committee created an FAQ document in response to member

questions about applications of spices in RTE foods. The FAQ is focused primarily on the

regulatory requirements in the preventive controls for human foods rule pertaining to

RTE foods, including requirements to provide written assurances and conduct

environmental monitoring. The document was posted on the ASTA website.

FSMA Inspection Forum

The Committee held three FSMA Inspection Forum calls between May 2018 and

February 2019. The calls were created for members to present and discuss information

ascertained during FSMA inspections, which differ in scope and format from previous

FDA inspections. Although there is a lot of interest from the membership in learning

how FSMA inspections differ from the previous inspections, there are still many ASTA

members who have not yet undergone FSMA inspections. The Committee will continue

to offer these calls at a frequency that matches the pace that ASTA members are

inspected.

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2018 Regulatory Workshop

The Committee provided topics and speaker

suggestions for the 2018 ASTA Regulatory Workshop.

The program included highly esteemed speakers from

FDA and respected experts on trade, political

forecasting, whole genome sequencing, bioengineered

food disclosure and more. The program was well‐rated by attendees.

Noxious Weed Seed Report

After many years of work, the Noxious Weed Seed Report was finalized and distributed

to ASTA membership. This report wraps up a long‐standing issue for the Committee and

provides recommendations for ASTA members to resolve issues with noxious weed

seeds.

Trade and Tariff FAQ

Trade and tariff issues have heated up over the last

year and some spices imported from China are now

subject to the Section 301 tariffs that were imposed

by President Trump in 2018. In response to this issue,

the Committee recommended that ASTA develop an

FAQ on tariffs and trade. This document is under review and will be available on the

ASTA website before the end of the fiscal year.

Advocacy on Behalf of the Spice Industry with Federal Agencies and Legislators – The

Committee advocates on the behalf of the spice industry’s business interests.

Bioengineered Food Disclosure

The Committee filed comments to the USDA AMS on the proposed bioengineered

labeling rule. The bioengineered comments focused on the impact of the rule on the

spice industry, including a focus on incidental additives and the definition of

conventional breeding. A panel made up of members from the Bioengineered Task

Force presented ASTA’s position and the possible impacts of the rule on ASTA

membership during the October Regulatory Workshop. ASTA will also present a webinar

on the final bioengineered rule in March 2019.

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Sesame Comments

The Committee worked with the Allergen Task Force to submit

comments to the FDA on its request for information on sesame as

an allergen. ASTA supports declaring sesame as a major allergen if

scientific evidence demonstrates it, but requests that the industry

be provided with sufficient time to change labels and implement

new changeover procedures to prevent cross contact if the agency changes its

regulations.

Contract Manufacturing

In September the FDA requested a meeting with ASTA to discuss questions related to

contracting manufacturing relationships in the spice industry. The Committee formed a

task force to develop responses to FDA’s questions on this topic, which were sent to

FDA in December.

Poppy Seed Task Force

Senator Tom Cotton (R‐Arkansas) is planning to introduce legislation that would require

FDA to set a safe limit for opioids in poppy seeds due to concerns about poisonings from

the ingestion of tea made from "unwashed poppy seeds". The a Poppy Seed Task Force

was formed to advocate so that poppy seeds imported into the U.S. for legitimate food

sources are not adversely affected by the legislation. ASTA met with the FDA regarding

this issue in September and continues to work closely with the Senator’s office.

Capitol Hill Reception Sponsorship

As a member of the Food and

Beverage Industry Alliance (FBIA),

ASTA had an opportunity to

sponsor the FBIA’s 2019 welcome reception for new Members of Congress and their

staff on Capitol Hill for the 116th Congress. ASTA staff is scheduled to attend the March 6

reception along with representatives from the Committee who are able to participate.

Respectfully Submitted,

Carol Kitchen, B&G Foods

Government Relations Committee Chair

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Government Relations Committee:

Karen Burns, ETO Sterilization‐Cosmed Group

Ron Elton, John H. Elton, Inc.

Larry Lichter (Board Liaison), McCormick & Company, Inc.

Kurt Martin, Wm. E. Martin & Sons Co., Inc.

Steven Mitchell, Certified Laboratories

Lisa Patel, Kalsec, Inc.

Tracey Roane, Givaudan Flavors Corp.

Peter Sayia, A.A. Sayia & Co., Inc.

Tom Schmidt, Spice Chain Corporation

Sanny Shah, Griffith Laboratories

Tim Sonntag, Wixon, Inc.

Chris Stevenson, McCormick & Company, Inc.

Vinay Sreekumar, Olam Spices

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Membership Committee Report

Following is an overview of membership activity since the release of the last Annual Report,

including membership numbers and the activities of the Membership Committee.

Membership Numbers

The chart below shows historical membership numbers for how ASTA ended the past five fiscal

years. The numbers for 2019 are estimates, since we will not have final numbers until June 30.

These estimates are based on two assumptions. First, we assume that a number of members

who have been suspended for non‐payment will pay their dues prior to the Annual Meeting and

be reinstated as members. Secondly, ASTA anticipates we will welcome several new members

before the end of the year. Many companies are motivated to apply or re‐join prior to the

Annual Meeting so they can take advantage of the member rate.

* Estimates as of February 28, 2019

43 45 46 45 48 54

148 141 137 137 142 145

191 186 183 182190

199

FY2014 FY2015 FY2016 FY2017 FY2018 FY2019*

ASTA Membership

Associate Active Combined

38


Active Member Activity

At this time ASTA conservatively estimates that Active membership is going to trend upward

and increase to 145 companies. ASTA has invoiced a total of 147 active member companies for

the current year so far, including four new member companies. At this time, 132 companies are

in good standing, five companies have resigned membership and 10 companies have been

suspended for non‐payment. We anticipate that several of the suspended members will pay

their dues to attend the Annual Meeting at the member rate. There are four new member

applications under review, and it is anticipated these will be added to the final number when

ASTA closes FY19.

Associate Member Activity

Associate membership is also trending upward. Fifty‐nine Associate member companies have

been invoiced. Eight Associate members have not paid dues and are suspended for non‐

payment. Three new companies have joined in FY19 so far and we are anticipating more

applications as we approach the Annual Meeting. There are currently two Associate

membership applications under review.

Committee Initiatives

The Membership Committee completed several initiatives it began in FY2018. The first was an

overhaul of the First Timers Reception at the 2018 Annual Meeting. With a record number of

invitations for this event, the committee set up a more formal process at the 2018 First Timer’s

reception to ensure all first‐timers met their hosts and others at the reception. This new

process was successful at making the most of the short time frame and creating a more

inclusive atmosphere. The event was extremely well received by all that attended. This new

format has been incorporated moving forward for this event.

The committee spearheaded an initiative for ASTA to participate in two IFT Supplier Nights.

These events provide an opportunity to recruit new members, support member companies,

and create more awareness of ASTA. ASTA joined suppliers at the Longhorn IFT Supplier night

in Dallas‐Frisco, TX in October and was able to collect leads for several prospective companies,

as well as connect with many ASTA member companies at the event. ASTA will be at the SCiftS

Supplier Night Expo in Anaheim, CA in March.

The committee also envisioned the development of a new membership brochure which was

completed and printed in time for the Longhorn IFT Supplier night in Dallas‐Frisco, TX in

39


October, and will also be taken to Anaheim, CA this March. It has been incorporated as a new

recruitment tool for staff to use when talking with prospective new members. An electronic

version of the brochure is featured on the ASTA website for easy download as well. This

brochure was just one of many communication outreach initiatives developed, along with

providing valuable input to the Board for strategies on creating a more connected social media

presence for ASTA.

In October the Board heard from ASTA's committee chairs and is moving forward with a

restructuring of ASTA's committees based on feedback from the chairs. The goal of the

restructuring is to reduce the time commitment for volunteers and allow committees to

function more efficiently. As plans are finalized, the Board will look to develop specific goals for

each committee and task force with clear timeframes. Other objectives are to ensure greater

recognition of volunteers and broader engagement across more segments of the industry,

including young professionals.

I would like to thank the members of the Membership Committee for their dedication and

service. A special thanks as well to the ASTA staff for their support throughout the year


Gaspare Colletti, Cell Foods

Membership Committee, Chair

Membership Committee:

Mike Collette, Glendale Warehouse Corp.

Kent Devries, Silva International

Troy Dryden, Chesapeake Spice Co. LLC

Jill Russell, Olam Spices

Ozge Turk, Birlik AS

Ben Waring, SGS Services

40


Nominating Committee Report

Slate 2019 ‐ 2020

The Nominating Committee is pleased to present the following slate of nominees for the Board

of Directors and the Arbitration Board for approval by the Membership at the 2019 Annual

Meeting.

ASTA Board of Directors

To serve one year ‐

Mostafa Bedair of Giza Seeds and Herbs

Simone Cormier of Allegro Coffee Company

Greg Hanks of Advanced Spice & Trading, Inc.

Larry Lichter of McCormick & Company, Inc.

Pontus Mattsson of Silva International

Jill Russell of Olam Spices

Peter Sayia of AA Sayia & Co., Inc.

Peter Shah of Harris Spices

Suvan Sharma of Jain Farm Fresh

David Solomon of BDS Natural Products

Greg Sommerville of Frontier Co‐op

Sebnam Karasu of Karasu Consulting will serve a two‐year term as the non‐voting

representative of the Associate Membership.

“LEADERSHIP IS THE CAPACITY TO

TRANSLATE VISION INTO REALITY.”

41


ASTA Arbitration Board

Stephen Bermingham, Polytrade International, Inc. will serve the second year of a two‐year

term as Arbitration Board Chair.

Dan Crabbe of A.A. Sayia & Co., Inc. will serve a two‐year term as Board member.

Spencer Martin of Wm. E. Martin & Sons Co., Inc. will serve the second year of a two year term as Board member.

Alternates ‐ the following are nominated for a one year term:

Paul Chowla of Ludwig Mueller

Avi Golombeck of Morris J Golombeck Inc.

J.C. Solazzo of Jain Farm Fresh DBA Cascade Specialties, Inc.

Terry Sutton of Advanced Spice & Trading, Inc.

Respectfully Submitted,

David Lessans, Chesapeake Spice Co. LLC

Nominating Committee Chair

Nominating Committee:

Toby Eck, High Quality Organics

Mike Bray, BC Foods

Neil Dickens, McCormick & Co

Roger Clarke, Cannamela Divisione Di Bonomelli S.R.I.

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RECORD OF THE PROCEEDINGS AT THE 2018 ANNUAL BUSINESS MEETING OF

THE AMERICAN SPICE TRADE ASSOCIATION, INC. HELD ON TUESDAY, APRIL 17,

2018, AT THE RITZ‐CARLTON GOLF RESORT IN NAPLES, FLORIDA.

WELCOME AND CALL TO ORDER

President David Lessans, Chesapeake Spice Co. LLC, called the Annual Business Meeting to

order at 9:08 a.m. A quorum was present.

SUSAN L ABBOTT MEMORIAL SCHOLARSHIP

Scholarship Task Force member Kerri Goad‐Berrios, Kalustyan, described the scholarship

process and announced the winners of the Susan L. Abbott Memorial Scholarship award:

Nechama Ackerman, daughter of Levi Ackerman, Morris J. Golombeck.

Cory Critchlow, son of Steven Critchlow, B&G Foods.

Isabel Jones, niece of Sandra Heller, Adams Extract & Spice.

Andrea Kunz, her father is with Griffith Foods.

Cassandra Lambros, daughter of Ralph Lambros, Smithfield Foods.

Rahul Walia, son of Jaspreet Singh Walia, Certified Laboratories.

Chesapeake Spice provided an additional donation for 2018, and the awardee will be

announced in FYI ASTA. Attendees were encouraged to contribute to the scholarship to fund

next year’s awards.

REPORTS OF OFFICERS

TREASURER’S REPORT

David Solomon, BDS Natural Products, reviewed the audit of the 2016‐2017 fiscal year and the

current financial state of the association, which is financially healthy. The audit, annual report

and the financial policies and procedures can be found on the ASTA website.

PRESIDENT’S REPORT

David Lessans provided an overview of ASTA’s accomplishments and activities of the past year.

43


ELECTIONS

Executive Director Cheryl Deem, in the absence of Nominating Committee Chair Vini Narain,

presented the slate for the Board of Directors.

ELECTIONS

BOARD OF DIRECTORS

Directors to serve one year:

Simone Cormier, Allegro Coffee Company

Ryan Goularte, Sensient Natural Ingredients

Greg Hanks, Advanced Spice and Trading

David Lessans, Chesapeake Spice Co. LLC

Larry Lichter, McCormick and Company

Pontus Mattsson, Silva International

Greg Metschke, Griffith Foods

Jill Russell, Olam Spices and Vegetable Ingredients

Peter Shah, Harris Spice Company

David Solomon, BDS Natural Products

Greg Sommerville, Frontier Co‐op

Doug Marshall of Eurofins will serve the second year of his term as the non‐voting

representative of the Associate Membership.

Motion made and seconded to elect the Board of Directors. Motion Carried

ARBITRATION BOARD

Cheryl Deem, in the absence of Vini Narain, presented the slate for the Arbitration Board:

Stephen Bermingham, Polytrade International, Inc., is nominated to a two‐year term as

Arbitration Board Chair.

Peter Sayia Jr., A.A. Sayia & Co., Inc. will serve the second year of his two‐year term as Board

member.

Spencer Martin, Wm. E. Martin & Sons Co., Inc. is nominated to a two‐year term as Board

member.

44


Alternates to serve one‐year terms:

Paul Chowla of Ludwig Mueller

Dan Crabbe, A.A. Sayia & Co.

Nagy Beskal, Mincing Spice

Greg Lightfood, Kalustyan Corporation

Motion made and seconded to elect the Arbitration Board. Motion Carried.

PRESIDENT SIMONE CORMIER

Cheryl Deem announced that in accordance with the Bylaws, the ASTA Board of Directors will

elect officers at their next meeting. She introduced Simone Cormier, Allegro Coffee Company,

as the incoming President of ASTA. Simone Cormier gave brief remarks.

Simone Cormier presented outgoing President David Lessans with a gift and thanked him for his

service as president.

EXECUTIVE DIRECTOR UPDATE

Cheryl Deem provided an update for members on several key ASTA initiatives.

LINKEDIN UPDATE

Greg Sommerville, Frontier Co‐op, provided an update on the ASTA LinkedIn page and ASTA’s

social media strategy.

NEW BUSINESS

Eric Stever, The Spice Hunter, Inc, asked about glyphosate and Prop 65. Roger Clark,

Cannamela, and Tim Sonntag, Wixon, asked about coordination with the National Seasoning

Manufacturers Association.

ANNOUNCEMENTS

ADJOURNMENT

The 2018 Annual Business Meeting adjourned at 10:32 am.

45


Acknowledgements

ASTA STAFF

Cheryl Deem, Sr. Advisor D. Margarita Passero, Sr. Manager

Joanna Drake, Counsel Laura Shumow, Executive Director

John Hallagan, General Counsel Jessica Skerritt, GR Director

Meegan Kavanaugh, Sr. Coordinator Lindsay Wilson, Meeting Director

Contact Us:


1101 17th Street, NW Suite 700

Washington, DC 20036 USA

Tel: 202‐331‐2460

[email protected]

46

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