"NutritionFacts" label - Regulatory & Marketing Implications

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ACI 5th Advanced Regulatory and
Compliance Summit on Food and
Beverage Marketing and Advertising
Chicago, Illinois
July 29, 2014
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Bruce Silverglade
Principal
OFW Law
Washington, DC
Bsilverglade@ofwlaw.com
202-518-5316
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FDA Nutrition Labeling Revamp
What Food Companies Need to
Know To Update Their Marketing
Efforts
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 Original
1994
label became effective in
 Emphasis
content
at that time was on fat
 More
than 6,000 new “low fat”
foods were introduced in the
marketplace in 1996
ORIGINAL NUTRITION FACTS
LABEL HAD A MAJOR IMPACT
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• Trans Fat
disclosure was
added in 2006
• Trans Fat
content in
processed
foods declined
by about 50%
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• New FDA
revisions are High
Profile
• White House led
announcement
followed by
statement by FDA
Commissioner
Hamburg
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Statement of FDA Commissioner
Margaret Hamburg Emphasizes:
> Calories
> Serving sizes
> Percent daily values
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 Threat
or opportunity –
 Now
is the time to consider new
strategic marketing efforts
 Almost
every company will still
have a tool kit to work with
 The
“tools,” however, will be
different
Marketing Impact –
Strategic Planning
 Let’s
take a look at the proposed
changes and consider the new
tools that may be available to
communicate the health benefits
of your product
MARKETIG IMPACT – What will
the changes entail?
 Total
calorie content of foods will
be emphasized to a greater extent
 FDA
wants to prevent mishap in
1996 where many new “low fat”
foods had as many calories as
traditional counterpart
 Fat
was replaced with sugar
MARKETING IMPACTS – BOLDER
“CALORIE” DISCLOSURES
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 More
than 30 serving sizes (RACCs)
will change; most will increase.
 Serving
size for ice cream will
double – that means calorie
content, as well as fat, sugar, and
sodium content on the Nutrition
Facts label will double as well
MARKETING IMPACTS – SERVING
SIZES
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 New
rules for single size servings
 Will
require nutrition information for
entire package
 What
sizes?
will impact be on package
 Will
dual column labeling be an
option?
MARKETING IMPACTS – SINGLE
SIZE SERVINGS
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 Increasing
the amount of fat,
saturated fat, cholesterol and
sodium listed on the Nutrition Facts
panel to comply with new serving
sizes and single serving regulations
will impact ability to use health
and nutrition claims
MARKETING IMPACT – HEALTH
AND NUTRITION CLAIMS
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 Health
and nutrition claims are
limited when fat, saturated fat,
cholesterol, or sodium content
exceed 20% of the Daily Value
 That
limit will be reached more
quickly, given that higher amounts
of those nutrients will have to be
declared
MARKETING IMPACT: HEALTH
AND NUTRITION CLAIMS
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 The
DV for sodium will increase
 The
cutoff for health claims for
foods with 20% or more of the DV
for sodium remains the same
 Result:
Foods making health claims
may have to decrease sodium
content or drop the claim
MARKETING IMPACT – SODIUM
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 FDA
is proposing to change the
definition of fiber
 Certain
ingredients will no longer
be counted as “fiber” for disclosure
purposes on the Nutrition Facts
label
MARKETING IMPACT – FIBER
CONTENT
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FDA
proposes to give %
Daily Values (DV) greater
prominence
Will
be placed on left side
of label
MARKETING IMPACT:
% DAILY VALUES
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• Alternate Format
• Issued by FDA
for comment
• Reveals
Agency’s true
agenda
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 FDA
proposes to require new line
on Nutrition Facts for Added Sugar
Content
 Not
related to disease, but rather
“nutrient density”
 FDA’s
own definition of “Healthy”
does not consider sugar content
MARKETING IMPACT – ADDED
SUGARS DISCLOSURE
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 Will
be enforced by huge recordkeeping
and inspection requirement
 Recordkeeping
required even if little
sugars are added
 FDA
inspectors may request formulas
and other proprietary information
MARKETING IMPACT – ADDED
SUGARS DISCLOSURE
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 FDA
study on utility of added
sugars disclosure is still ongoing;
impact on consumers unclear
 Consumer
confusion is likely to
result – Here is why:
MARKETING IMPACT – ADDED
SUGARS DISCLOSURE
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C
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r
r
e
n
t
P
r
o
p
o
s
e
d
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 Front
of pack “Facts up Front” and
Wal-Mart “Good for You” symbol
currently in use
 FDA
considering issuing federal
uniform scheme
 Not
part of this rulemaking, but
coming down the road . . .
MARKETING IMPACT FRONT OF PACKAGE NUTRITION
LABELING SUMMARIES
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 Bruce
Silverglade
 Bsilverglade@ofwlaw.com
 202-518-5316
QUESTIONS - LET’S TALK
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