According to data compiled by market research company Circana, consumer response to the Listeria outbreak a has reduced both volume and value of sales since the July 26th announcement of Boar’s Head as the source of the outbreak. Revelation of improper processing procedures in the Jarratt, VA. plant operated by Boar’s Head reduced confidence in the safety of deli meat notwithstanding the declaration by CDC that the outbreak was over.
During October, sales volume of 60.8 million lbs. was down 7.7 percent from the corresponding month in 2023. Value of deli meat sales declined 10.4 percent to $622 million. Deli service lunchmeat was more impacted than prepackaged products. This category was down 12.9 percent in October 2024 compared to 2023.
When a major producer encounters a food safety related problem resulting in a widespread outbreak especially with fatalities, all producers suffer. This was evidenced by the outbreak of SE in the fall of 2010 attributed to the gross mismanagement and deviation from the Final Rule on Salmonella attributed to an Iowa farm controlled by Jack Decoster and his family. A sharp decline in the demand for eggs and a resulting drop in unit revenue resulted in a loss approaching $1 billion for the entire egg industry based on comparisons over corresponding months for the previous year.