Special interest group pleading Print
Written by Tim Worstall   
Thursday, 18 October 2007
t behooves a man to have a hobby and mine, sad as it is, is to try and spot special interest group pleading. You know, the anguished pleadings that something should be banned ("for the children" of course) said ban having the entirely unexpected result of driving up the profits and incomes of those doing the pleading. Entirely unexpected .
A powerful coalition of companies - whose members include the supermarket Waitrose, baby food manufacturer Organix, chocolate maker Green and Black's, and Britain's biggest organic brand, Yeo Valley - has accused the government's Food Standards Agency of failing to consult it over new guidance for parents on the side-effects of E-numbers, and of ducking the opportunity for tighter regulation.
 ...
 Organic food, as defined by the EU and Soil Association Standards, has always prohibited the use of all the additives that were identified in the report as having a "significantly adverse effect" on children, and also of many other additives.
Something of a classic case there I think. The actual research on the additives (colourings and a preservative) showed that some children were affected. Just as some children are affected by, say, nut allergies. The correct public policy response therefore being what we do with nuts (no, not elect them) which is to add their presence to the contents label and assume that consumers are rational: they won't feed things to their children which they are allergic to.

 The organic producers have much higher production costs because they don't use these colourings or the preservative: thus, "tighter regulations" (most of those calling for them are in fact calling for a complete ban on their use) will reduce their cost premium over the alternatives. To the great benefit of their profits and incomes. Entirely unexpectedly, of course.
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