ACCC Begins Court Action against Heinz over Sugary Products
Tuesday 25 July 2017 @ 8.59 a.m. | Legal Research | Trade & Commerce
Legal action against H.J. Heinz Company Australia Ltd (Heinz) commenced on Monday 24 July 2017, with the Australian Competition and Consumer Commission (ACCC) alleging the "Little Kids Shredz" range misleads the public about the nutritional content of the product. The Federal Court has heard that the food for toddlers, marketed as being made almost entirely from fruit and vegetables contains so much sugar it should be deemed confectionery by experts.
Background to the Action
The ACCC launched the legal action in June 2016, after a complaint by the Obesity Policy Coalition about food products for toddlers. The packaging of the Shredz products features images of fruit and vegetables and states it is "99 per cent fruit and veg".
Although the product is no longer on the market, the Shredz range included three varieties - peach apple and veg, berries apple and veg, and strawberry and apple with chia seeds. Heinz has strenuously denied the ACCC allegations and said it complied with Australian labelling and food laws.
The Current Action
Counsel representing the ACCC, Tom Duggan, told the court the "berries, apple and veg" variety contains 68.7 grams of sugar per 100 grams. He said:
Mr Duggan said the court would hear evidence about the use of apple juice concentrate in the product which is an added sugar. The court also heard the sugar content of the product defies Heinz's own health guidelines.
Reaction from the ACCC
Commenting on the current court action, ACCC Chairman Rod Sims said:
Statement from Heinz
In a statement, Heinz said it strongly rejected claims made against it by the ACCC about the packaging:
The ACCC has previously said it was seeking pecuniary penalties, corrective notices and costs.
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Sources:
ACCC action over Heinz’s Little Kids Shredz snack packaging begins – theaustralian.com.au
Heinz toddler food loaded with so much sugar it should be deemed confectionery, court hears – abc.net.au
ACCC begins court action against Heinz over sugary products – finance.nine.com.au