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Latvia's food safety agency said Wednesday traces of horsemeat had been detected in locally-made meat products.
The Food and Veterinary Department (PVD) in the Baltic state said it had been "informed that the German laboratory testing Forevers' products has detected traces of horsemeat."
A PVD statement said the Forevers firm which produces sausages had taken delivery of meat from 203 of the 416 horses slaughtered in Latvia during the last twelve months, yet none of its products were labelled as containing horsemeat.
It added that it was also investigating several facilities licensed to slaughter horses but which "cannot guarantee the traceability of horsemeat."
Tests would continue at other slaughterhouses and meat packing companies, the PVD said, but did not say if it had plans to order the withdrawal of any products from shelves.
The PVD said it began testing Latvian-made meat products following the outbreak of the horsemeat scandal in a number of European countries.