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FT-Jul16

HIGH COURT CASE HIGHLIGHTS CARE IN USING ‘NZ-MADE’ CLAIMS “However, Justice Venning ruled that the goat’s milk powder was such a significant part of the product that where it was produced was important.” The case offers some useful commentary on the issue of product labelling, with particular reference to food or nutritional products. “For producers of food and nutritional products, there are important lessons here. Firstly, it would be prudent for producers to undertake an audit of the source of ingredients in their products,” Hazel says. “Secondly, producers also need to consider the importance of the ingredients in relation to the nature and characteristics of the products. They need to get into the heads of consumers, because the NZ Nutritionals case shows consumer perception is a key factor to consider.” These considerations are important in relation to the Fair Trading Act, but that is not the only piece of legislation natural product producers may need to consider, Hazel says. “As of January this year, food and beverage companies also need to be aware that any claims towards nutrients or health effects on product labels (or any promotional material) must meet criteria set out within Standard 1.2.7 of the Food Standards Code. “While this is a compliance requirement which MPI is taking very seriously, Standard 1.2.7 also offers significant commercial opportunity to add value to products in the nutritional and health food sector.” TURN TO PAGE 21 TO READ ABOUT THE COURT CASE AFFECTING MANUKA PHARM AND MANUKA DOCTOR. Times have changed, you can no longer say whatever you want about your product. All nutrition content and health claims now have a government regulated framework. If food and beverage is your business, we can guide you through these changes and help you identify, secure and maximise your health claims to maintain your product’s competitive edge. www.foodtechnology.co.nz 9 MAKE SURE YOUR CLAIMS DO YOUR PRODUCT JUSTICE. LEVERAGING KIWI KNOW-HOW JAWS.CO.NZ Contact Peter Brown, PhD Head of the Food and Beverage Innovation Team peterb@jaws.co.nz +64 9 914 6740 New Zealand food and beverage companies claiming their products are New Zealand-made need to take care in the wake of a recent High Court case, an intellectual property expert warns. James & Wells partner Gus Hazel says the case, where health products business New Zealand Nutritionals was ruled to have breached the Fair Trading Act with misleading and deceptive labelling and marketing of goat’s milk products, highlights that country of origin claims can be a tricky area to navigate. The Christchurch-based company claimed the goat’s milk products were ‘100% NZ made’, when the majority of ingredients – including the goat’s milk – were imported from overseas and manufactured here, Hazel says. “The Commerce Commission alleged consumers sourced from goats milked in New Zealand,” he says. “NZ Nutritionals argued that producing and packaging the products within New Zealand meant that the ‘100% NZ made’ claims were not misleading or deceptive. FT094 would be led to believe the goat’s milk was JWS0028 - NZ Food Tech Print Ad .indd 1 28/01/16 4:25 pm


FT-Jul16
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