Strengthening Chain of Custody Throughout the Dairy Supply Chain

www.dairyfoods.com/articles/99317-strengthening-chain-of-custody-throughout-the-dairy-supply-chain

Courtesy of Cambridge Security Seals
Strengthening chain of custody throughout the dairy supply chain
 
Robin H. Lebovitz | August 10, 2026

From the loading dock to the customer, a documented chain of custody protects and ensures product integrity, strengthens traceability, and reduces operational risk.

In April, California Dairies Inc. initiated a recall of more than 2.6 million pounds of powdered milk products because of a potential Salmonella contamination. As ingredients moved through multiple manufacturers, the recall expanded to seasonings, snack foods, pizzas, as well as various meat and poultry products. The incident illustrated how quickly a single food safety issue can ripple across today's highly interconnected dairy supply chain.
 
When an event like this occurs, identifying the affected ingredient is only the first step. Processors must also determine where it traveled, who handled it, how it was transported, and which finished products may be affected. Those answers rely on a documented chain of custody.

Dairy processors devote significant resources to food safety and quality within their facilities. Yet once a shipment leaves the loading dock, responsibility often passes through carriers, distribution centers, third-party logistics providers, and receiving facilities before reaching their ultimate destination. Every transfer introduces opportunities for documentation errors, unauthorized access, tampering, mishandling, or delays, any of which can compromise shipment integrity.
 
Those risks can increase during periods of operational disruption. Summer heat waves place additional demands on refrigerated transportation, while winter storms may delay deliveries and extend trailer dwell times. Holiday weekends, employee vacations, shift changes, and peak production periods can introduce unfamiliar personnel into shipping operations, making standardized custody and security procedures even more important.

Why Chain of Custody Matters
Chain of custody is more than a transportation concern; it is a business continuity strategy. Refrigerated transportation, short shelf lives, and complex ingredient networks mean even minor disruptions can have significant downstream consequences. The World Health Organization estimates that contaminated food causes approximately 600 million illnesses and 420,000 deaths each year globally, underscoring the importance and necessity of preventive controls throughout the food supply chain.
 
The definition of “food defense,” as industry experts call it, has expanded industry attention beyond accidental contamination to include intentional adulteration and unauthorized access. As Michael Dykes, President and CEO of the International Dairy Foods Association (IDFA), has noted, “Food safety is a shared responsibility across the entire supply chain.” That responsibility extends beyond processing plants to carriers, warehouses, distributors, and receivers.
 
Financial risks are equally significant. Cargo theft, rejected loads, disposal costs, replacement product, and customer claims can quickly escalate. Verisk CargoNet reported substantial growth in food and beverage cargo theft during 2025, contributing to hundreds of millions of dollars in losses. For refrigerated dairy products, shipments with questionable integrity often need to be quarantined or discarded even when contamination is never confirmed.
 
Customer confidence is also at stake. Accurate custody records enable companies to narrow the scope of recalls, investigate problems more efficiently, and communicate with customers using verified information.

Where Chain of Custody Is Most Vulnerable

Trailer Loading and Release
The loading dock is the processor's final opportunity to verify shipment integrity. Personnel should confirm product identity, temperatures (where applicable), trailer condition, packaging and other transportation documentation, and ideally, record tamper-evident seal numbers. During seasonal demand spikes and holiday shipping, strict, consistent adherence to these protocols is especially important.

Carrier Pickup
Responsibility shifts to the carrier. Drivers and shipping personnel should verify paperwork, trailer identification, seal numbers, and custody records before departure. Weather delays or last-minute carrier substitutions make the accurate documentation handoffs even more essential.

Distribution Centers
Every unloading, storage, or trailer transfer creates another custody event. Severe weather, rerouting, and extended dwell times increase the need for consistent inspections, temperature verification, tamper-evident security, and electronic record keeping.

Final Delivery and Receiving
Receiving personnel should compare shipping documents with actual shipment conditions, verify temperatures, inspect trailer and packaging condition, and reconcile security seal numbers. Holidays, weekends, and vacation coverage reinforce the need for standardized receiving procedures, regardless of who is on duty.

A Comprehensive, Layered Approach
No single control or protocol secures a dairy shipment entirely. Effective food safety and security programs combine documented procedures, employee training, shipment inspections, temperature monitoring, electronic records, tamper-evident devices, and clearly defined responsibilities among processors, carriers, warehouses, and receivers. When implemented as a chain of custody program, the combination of these (and other) controls improve visibility, strengthen security and accountability, improve safety, and support faster response during recalls, investigations, and transportation disruptions.

Looking Ahead
As supply chains become increasingly interconnected, processors face increasing expectations for transparency, safety and security, traceability, and rapid incident response. Technology such as transportation management systems, electronic bills of lading, GPS tracking, tamper-evident seals, digital proof of delivery, and temperature monitoring can improve visibility, but technology cannot replace disciplined procedures and a culture of accountability and safety.

"Operational efficiency builds speed, while end-to-end traceability and supply chain flexibility preserve foundational market trust from source to consumer."

— Giovanni Quaratesi, Good Food Ambassador
 
 Every documented handoff, verified shipment, and well-defined procedure has the potential to strengthen security and visibility throughout the supply chain. By treating chain of custody as an extension of food safety culture, not only a transportation requirement, processors can better protect product integrity, reduce operational risk, and enhance their reputation and business by reinforcing customer confidence from production through final delivery.

Five Questions Every Dairy Processor Should Ask:

(1) Have we mapped every custody transfer?

(2) Who owns each handoff?

(3) Can we trace affected lots quickly?

(4) How are discrepancies investigated?

(5) Are employees and carriers consistently trained to follow our protocols and procedures?