Digging deeper into Country of Origin labelling

digging deeper

In our previous blog The impact and benefits of being local, we touched on Australia’s new Country of Origin labelling requirements introduced on July 1, 2018. In this blog we delve deeper in to what the labels mean and the effect they are having on food producers and the foodservice industry.

On July 1, 2016 the Australian government introduced a new Country of Origin food labelling system. Businesses were given two years to comply with the new labelling requirements for any foods being produced in, or introduced to, Australia.

The aim of the new labelling requirements was to provide the Australian consumer with enough details to make an informed decision when purchasing products. The Country of Origin labels, widely recognisable with their golden kangaroo outline on a green triangle, are designed to provide all the information a customer could need at a quick glance.

The three wise Country of Origin labels

three wise

In total there are three different types of Country of Origin labels available for food producers to use, depending on the specifications of their products. The labels are:

  • Made In Australia: These labels are a claim about the product’s manufacturing process and how much of it is performed in Australia.
  • Grown In Australia: This label lays claim to where the product was grown and is commonly used for fresh produce. It may also be used
  • Produced In Australia: This label refers to where the product’s ingredients come from and where processing has occurred.

grown australia

The impact of labelling requirements on the Australian food industry

The introduction of Country of Origin labelling impacted food producers, particularly regarding the costs associated with complying with the new regulations. Food producers are now required to put their money where their mouth is regarding claims about where their products are made and what percentage of their product are Australian.

As with every business, when production becomes more expensive, so does the product. A Deloitte study found that the additional costs for consumers for Country of Origin labelling were in the order of 1 cent for every $5 food purchase. Deloitte’s study concluded that the majority of consumers are willing to pay at least this amount for better information regarding the origins of their food.

How foodservice businesses can benefit

Foodservice businesses are reaping the benefits of Country of Origin labelling laws and the consumer push towards food provenance. The number of consumers opting for Australian made, grown and produced is rising. Research conducted by Mintel in 2017 found that 72% of metro Australians make the effort to buy food or drink with an Australian Made/Grown logo, while 17% always do so. When looking at the motivation behind these choices, Mintel found that three in 10 suggest the logo instils trust, while one in four believe that it builds the authenticity of a product.

produced in aus

What does this mean for restaurants and cafes? With provenance becoming more of a beacon of quality amongst consumers, food establishments are able to create more authentically themed menus around locally sourced products. Depending on your location, and close proximity to your supplier, you may truly be able to claim your establishment is ‘farm to plate’.
At Bakers Maison we take great pride in the fact that all of our products are made in Australia. We use mainly locally sourced ingredients to craft our range of French style breads, pastries and sweets. Many of our products are made with over 90% locally sourced and produced ingredients, meaning not only are they of the highest quality, but also that we are supporting Australian businesses and the Australian economy.

Read more about our high standards and our commitment to delivering high quality products. If you would like more information regarding our products, practices and sourcing standards, reach out to us on 02 8707 7777, or complete our Online Enquiry Form and we will be in touch.

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The impact and benefits of being local