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Economic impacts associated with aflatoxin go far beyond the losses incurred by the producer. They will be spread throughout the system to handlers, processors, livestock and dairy operators, consumers, and governments.
Producer Costs
Crops:
- Yield loss
- Restricted markets
- Nonmarketable product
- Price discounts
- Increase product costs
- Increased post-harvest costs
- Difficulty obtaining loans on stored grain
- Disposal of useless crops
- Monitoring and sampling
Livestock and Dairy:
- Higher mortality rates
- Reproductive failures (abortions)
- Reduced feed efficiency
- Higher feed costs
- Lower live weight
- Reduced disease immunity
- Overall quality loss
- Lower milk production
- Unmarketable milk
- Monitoring and testing
Handler / Distributor Costs
- Extra drying costs
- Excess storage capacity
- Losses in transit
- Loss of markets
- Monitoring and testing
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Processor Costs
- Restricted markets
- Loss of markets
- Reduced demand
- Product loss
- Insurance premiums
- Litigation costs
- Monitoring and testing
Consumer Costs
- Less nutritious food
- Higher product prices
- Possible health problems
Social Costs
- Regulatory costs
- Research and education
- Lower foreign exchange earnings
- Increased costs of imports.
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Source: Adapted from “Mycotoxins: Economic and Health Risks”, Council of Agricultural Science and Technology, Task Force Report no. 116, November 1989.
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