September 20, 2024
(press release)
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In a significant development for the alcohol industry, the Food Standards Australia New Zealand (FSANZ) is making progress towards introducing new labeling standards for alcoholic beverages in Australia and New Zealand by gaining industry support for the proposals. The support comes in the wake of growing health-conscious consumerism, as 71% of consumers in Australia say that low-calorie/low cholesterol are an essential or nice to have when deciding which food and drink products to purchase*, according to GlobalData, a leading data and analytics company. The proposed labeling requirements aim to provide consumers with more transparent and useful information about the content of alcoholic beverages, including carbohydrate, sugar, and energy values. They are a part of the wider initiative to enhance food and beverage transparency, responding to growing concerns about public health and the need for clearer information on product ingredients. The New Zealand Food and Grocery Council (NZFGC) is in favor of including content for alcoholic beverages with more than 1.15% alcohol by volume (ABV). This will enable producers to provide accurate information about the level of sugar and carbohydrates in their products, offering transparency to consumers. Asahi, a major beverage company, emphasizes that consumers desire the option of no or low sugar and carbohydrate products, and they want this information clearly displayed on the label. Kakarlapudi Karthik Varma, Consumer Analyst at GlobalData, comments: “Consumers’ preference for low-calorie alcoholic beverages is rising due to the growing health concerns. FSANZ’s proposals reflect a growing trend towards health-conscious consumerism, and the organization is confident that these changes will not only benefit consumers but also strengthen the relationship between manufacturers and their customers through improved transparency and trust.” FSANZ’s research has revealed that consumers are generally unaware that alcohol is the main source of energy in wine, beer, and spirits. FSANZ’s consumer literature review and meta-analysis study found that consumers tend to believe that sugar is the primary source of energy in these beverages. The regulator asserts that a mandatory approach to providing energy content information on alcoholic beverages would ensure greater coverage and consistency, enabling consumers to make informed choices. The NZFGC and The George Institute Australia, support the use of an “Energy Information Panel” instead of “Nutrition Information” for the declaration of energy content. They also recommend presenting energy content per 100ml. However, the terms “serve” and “serving” should not be used on alcohol packages to avoid generating a health halo for alcoholic products. The NZFGC suggests considering an option that allows flexibility in presenting energy content information, accommodating imported products with slightly different formats to comply with mandatory labeling requirements. Varma concludes: “For consumers, this change signifies a critical step forward in terms of health awareness. Alcoholic beverages contribute significantly to the daily energy intake of many individuals, and clearer labeling is expected to provide a better understanding of how alcohol fits into their overall diet. These labels would allow consumers to compare the energy content of different products and make choices that align with their health goals, whether related to weight management or overall wellbeing.” *GlobalData Q2 2024 Consumer Survey – Australia, with 500 respondents, published in July 2024
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