A NORTH Yorkshire company whose meat products were banned – indirectly sparking the horse meat scandal – has won a momentous four-year court battle against the Government.

In 2012 the Food Standards Agency (FSA) ruled that Newby Foods’ newly developed method of producing meat meant it had to classify its products as mechanically separated meat (MSM), not fresh, or “desinewed” meat.

But a landmark judgement handed down today (Wednesday, March 23) by the High Court has ruled that decision was wrong.

Under European law MSM cannot be produced from cattle or sheep bones.

As a result, much of Newby Foods’ products were banned with seven days’ notice in April 2012. The company had supplied major supermarkets and food processors and the ban left many of its customers with a very tight deadline to find an equally cheap source of meat.

Shortly after, the horsemeat scandal broke and many of Newby Foods’ former customers were found to have products containing horsemeat.

But the judge has said the FSA moratorium was wrong and based on an “error of law”. The judge ruled in favour of Newby Foods, ruling its products were fresh meat.

The decision marks the end of a four-year battle by the family firm, which was sparked by the horsemeat scandal. During the fight, the business, at Newby Wiske near Northallerton, had to lay off half of its staff and fund hefty legal fees.

“It’s been a long battle, but justice has prevailed,” said Newby Food’s operations director Doug Manning.

“Big supermarkets are very nervous of things that can go against them, so it’s been hard work over these four years, but we had one or two big customers who supported us throughout. We fought very hard – we were in contact with our lawyers every day for four years. But British justice has come through.”

Mr Manning said it took them years to develop their process of recovering the 30 to 40 per cent of meat which the industry traditionally throws away. He said as well as reducing waste, the process helps keep meat prices lower for consumers and is better for the environment as it results in fewer animals needing to be reared and slaughtered.

Managing director of Newby Foods, Graham Bishop said: “We are delighted that our process can now fulfil its potential in terms of value for our customers and suppliers. It would be a travesty in a world that faces an ever increasing shortage of protein for our raw materials to be relegated or wasted.”

Former Thirsk and Malton MP, Baroness Anne McIntosh, made a series of recommendations to avoid a future repeat of the horsemeat scandal, when chairing the Environment, Food and Rural Affairs select committee.

“This is a case that should never have been necessary,” she said.

“Newby Foods employ 65 people locally and produce a safe and healthy food which through a potential misinterpretation of the law, their processes they use were possibly going to be banned.”

“While MP I was delighted to have supported their case and arguments and am thrilled to see that their case has been been successful.”

A spokesperson for the FSA said: “The FSA has noted the decision of the High Court that Newby Foods’ products produced from poultry and pigs are not Mechanically Separated Meat (MSM) and is considering the implications of the judgement,”

"The FSA notes in particular that the High Court has not ruled that the moratorium, introduced by the FSA in 2012 on the production and use of DSM (desinewed meat), was unlawful in its wider application.”