6 January, 2020
If the recommendations are accepted, food manufacturers will be required to recalculate the HSRs of a number of foods and beverages.
What you need to know
- The Final Report from the 5 year review of the Health Star Rating (HSR) System has been published.
- If the recommendations are accepted, food manufacturers will be required to recalculate the HSRs of a number of foods and beverages. Further food manufacturers currently using the HSR "energy icon" option without an accompanying HSR will be required to change their packaging.
What you need to do
- If the recommendations are accepted, manufacturers will have 2 years to implement these changes. Therefore, food manufacturers should become familiar with the recommended changes to the HSR calculations and the permissible HSR icons for packaged foods.
- Food manufactures who currently do not implement the HSR system should be mindful that if uptake does not meet the 70% target in 5 years, the Final Report recommends HSRs become mandatory.
Introduction
The Final Report from the 5 year review into the Health Star Rating System (Final Report) was released on 19 August 2019. The Final Report follows the Draft Review into the HSR System, which we discussed in the May 2019 edition of Food Law Update.
The Final Report's findings include that overall, the HSR System is performing well, is positively influencing consumer decisions, and has stakeholder support. The Final Report also makes a number of recommendations, which aim to improve the operation of the HSR Calculator, drive uptake of HSRs, and to improve the management and monitoring of the HSR System.
The recommendations are essentially the same as the 10 recommendations from the Draft Report, namely that:
- the HSR System be continued;
- the HSR graphic option 5, the energy icon without displaying stars, be removed from the HSR system;
- there be continued promotion of the HSR system;
- a package of changes be made to the way the HSR is calculated for foods;
- changes be made to the way HSR is calculated for non-dairy beverages;
- there be continued funding of the HSR for a further 4 years;
- changes be made to the governance of the HSR System;
- there be enhancements to the critical infrastructure to support the implementation and evaluation of food-related public health initiatives;
- the HSR System remain voluntary, subject to uptake targets being met; and
- that existing HSR guides be combined, revised and strengthened.
We discuss the two main recommendations that would affect food manufacturers below.
Removal of the option to display only the energy icon
Food manufacturers may currently choose from 5 options for displaying HSR graphics:
The Final Report found that option 5, which displays energy content alone without a HSR, was poorly understood by Australian consumers. The Final Report also found that consumers had more difficulty comparing like products according to the energy icon only. The Final Report noted that the HSR System was intended to help consumers compare between products, not to provide information about portion size.
The Final Report therefore recommends that graphic option 5 be removed from the HSR system.
Manufacturers that have previously relied on this icon will need to prepare to redesign packaging without this icon.
Changes made to the way the HSR is calculated
The Final Report recommends a "package of changes" be made to the way HSRs are calculated for foods and non-dairy beverages, in order to better align with dietary guidelines.
The proposed changes include that:
- fresh, frozen or canned fruits and vegetables with no added sugar, salt or fat receive an HSR of 5;
- total sugar and high sodium contents be more strongly penalised in the calculation of HSRs;
- the calculation of HSRs of dairy foods such as cheeses and yogurts be modified to increase the resulting HSRs;
- the calculation of HSRs of dairy desserts such as ice cream be modified to decrease the resulting HSRs; and
- the calculation of HSRs of jellies and ice confectioneries be modified to decrease the resulting HSRs.
A recommendation from the Draft Report to increase the HSRs of healthier oils and oil-based spreads was not included in the Final Report.
The Final Report has predicted that its recommended changes will result in a decrease to the HSRs of 10% of products, and an increase the HSRs of 6% of products.
Regarding non-dairy beverages, the Final Report proposes the following changes:
- water will have an HSR of 5;
- low or sugar free flavoured waters will have an HSR of 4.5;
- 100% fruit and vegetable juices will have an HSR of 2.5 to 4;
- diet drinks will have an HSR of no more than 3.5; and
- sugary soft drinks will have an HSR between 0.5 and 2.
The Final Report proposes a transition period of 2 years for industry to implement the changes.
Voluntariness of the HSR System
The Final Report recommended the HSR System remain voluntary for the immediate future.
Nonetheless, the Final Report recommends that if the uptake of the HSR System does not reach 70% of target products within 5 years of the recommendations being implemented, the Australian and New Zealand Ministerial Forum on Food Regulation (MFFR) should consider mandating the HSR System.
What happens next?
Now that the Final Report has been released, the members of the MFFR will respond to the report. The MFFR's response is expected by the end of 2019.
For further information, please contact:
Philippa Anstey, Ashurst
philippa.anstey@ashurst.com
