Food industry pushes back on new labelling rules

• Industry groups meet with Health Ministry officials to discuss concerns over regulations effective from 1 Jan. 
• Concessions include allowing brand mascots on labels if not animated or highlighted in ads
• Officials and industry representatives struggle to define ‘mascots’ clearly
• Promotional sampling may be allowed at events where children under 12 are not a major audience
• Health Ministry plans to study international standards to determine appropriate threshold for promotions
• Factory visits remain permitted under strict guidelines to prevent promotional misuse
• Industry groups formally request inclusion in future regulatory discussions
• Manufacturers seek joint meeting between Health and Industry Ministries for further dialogue

The multi-billion rupee local food and beverage (F&B) industry yesterday renewed calls for regulatory clarity following a high-level meeting with Health Ministry officials on proposed amendments to food labelling and advertising standards. 

Representatives from the Lanka Confectionery Manufacturers Association (LCMA), the Sri Lanka Food Processors Association (SLFPA), and the All Ceylon Bakery Owners Association (ACBOA) met with Deputy Director General of Health Services Dr. Ananda Jayalal yesterday to discuss industry concerns over the latest regulations which came into effect on 1 January 2025 (https://www.ft.lk/top-story/Food-industry-cries-foul-over-new-regulations/26-771309).

“The discussion saw some concessions from the regulatory side, notably a proposal to permit brand mascots on product labels — provided they are not actively animated or highlighted in advertisements,” sources based on anonymity told the Daily FT.

However, they said attempts to precisely define the term ‘mascots’ yielded inconclusive results, with officials and industry representatives unable to resolve several grey areas. 

They added that the issue of promotional sampling was also addressed, with Dr. Jayalal indicating potential support for allowing sampling at events where children under 12 years old do not form a significant portion of the audience. 

“The Deputy Director General instructed Health Ministry officials to study international benchmarks, such as the EU Pledge criteria, to determine an appropriate threshold percentage for such promotions,” they added.

Industry representatives said they also sought assurances regarding factory visits, an area where the Health Ministry raised no major objections, provided strict ground rules were established to prevent visits from becoming avenues for product promotion. 

“To address these concerns, the Ministry’s Food Unit has committed to drafting guidelines to regulate such activities,” they noted.

The meeting marked a step forward in industry-Government dialogue, with stakeholders claiming that repeated efforts over the past two years to secure favourable responses have been met with bureaucratic inactivity. 

The LCMA, SLFP, and ACBOA have now formally requested inclusion in future regulatory discussions.

This latest meeting follows earlier discussions between industry leaders and Industry Minister Sunil Handunneththi and Deputy Minister Chathuranga Abeysinghe during which manufacturers submitted formal proposals for regulatory revisions.

Industry representatives now seek a follow-up meeting that would bring Health Ministry officials together with the Industry Ministers. They argued that the Food Advisory Committee (FAC), responsible for overseeing food regulations, has demonstrated a rigid stance that failed to take industry concerns into account before implementing the regulations.

At the heart of the debate are stringent new requirements on nutrition labelling, trans-fat testing, and advertising restrictions introduced via a gazette in February 2023. However, the implementation of these regulations was postponed multiple times before finally being enforced from 1 January 2025. 

Despite the Government maintaining that the measures are essential for consumer protection and food safety, businesses warn of severe financial and logistical burdens, particularly for small and medium-sized enterprises (SMEs).