The Food Standards Agency's appointment of food industry veteran Tim Smith as its new chief executive has been described as "step in the right direction" and a shrewd move by FSA chair Dame Deirdre Hutton.

Smith, the former chief executive of Arla Foods UK, takes up his post in March and will be the first industry figure in the top job. "It's a damn good move for the FSA," said Warburtons chairman Jonathan Warburton. "He's got a science background but he's run a big food business. He brings skills that have perhaps been lacking and will add value to the role.

"Sometimes you have to understand all areas of a problem to make the right decision, and that can mean compromise. The world is not black and white. Tim's been in the world of grey for a long time and gets it."

Smith's appointment highlighted the attempt to improve relationships between the FSA and the industry, said Kellogg's communications director Chris Wermann. "The FSA has been more open recently and has made better partnerships with the industry," he said. "This is another step in the right direction."

Smith started his career in food in 1979 at Northern Foods, moving on to divisional director then president of Sara Lee UK. He joined Express Dairies as executive director in 1994 and played a key role in the merger with Arla in 2003.

Smith's background would work well with the senior management setup, said an FSA spokesman. "Dame Deirdre's background is regulatory and deputy chair Dr Ian Reynolds' is scientific. Tim's food industry experience is an excellent complement."

Smith will oversee the review of the Nutrient Profiling Model, which has now started. The model, lambasted in The Grocer's Weigh It Up! campaign, has hit the dairy industry hard as it underpins the ban on advertising cheese and butter to kids.

"Based on his dairy background, his appointment will raise the profile of dairy at the FSA and should bring real benefits to the industry as a whole," said an Arla spokeswoman.

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