Allergen labelling in Australia: Plain English Allergen Labelling (PEAL) explained

What the Standard requires

The Australia New Zealand Food Standards Code’s Standard 1.2.3 outlines the requirements for allergen labelling on packaged food. This Standard mandates that businesses declare the presence of 10 specific allergens when they are ingredients in a food product.

These 10 allergens are: cereals containing gluten, crustacea, egg, fish, milk, peanut, sesame seed, soy, tree nuts, and lupin. This declaration applies regardless of whether the allergen is an intentionally added ingredient.

The Standard also requires businesses to recognise and declare allergen presence resulting from certain cross-contact situations, where relevant.

Plain English Allergen Labelling (PEAL)

The Plain English Allergen Labelling (PEAL) amendments to Standard 1.2.3 came into effect on 25 February 2024. These changes mandate that allergen declarations use specified plain-English terms, replacing less clear scientific terminology. This aims to improve consumer understanding and recognition of allergens present in food products.

PEAL requires two distinct declarations for allergens. The allergen must be declared on the ingredient list, presented in bold text. Additionally, a separate summary statement listing the allergens must also appear on the label.

A three-year transition period is in place. Foods packaged and labelled before 25 February 2024 are permitted to remain on the market. Full compliance with the PEAL requirements is required by 25 February 2027.

Cross-contact statements

Voluntary precautionary allergen statements, such as ‘may contain traces of’ [allergen], are frequently found on food labels in Australia. These statements are not a legal requirement, but their use is subject to important considerations. Businesses must ensure these statements are truthful and reflect a genuine risk assessment, rather than being used as a shortcut to avoid allergen management.

The Food Standards Australia New Zealand (FSANZ) VITAL (Voluntary Incidental Trace Allergen Labelling) program offers a framework to assist businesses in assessing and managing the risk of incidental allergen presence and to guide the appropriate use of precautionary allergen labelling. This program encourages a risk-based approach, moving away from blanket precautionary statements.

Using precautionary statements inappropriately, for example, applying a ‘may contain’ statement to products without a proper risk assessment, can be considered misleading conduct. This may give rise to claims under the Australian Consumer Law.

Enforcement

State and territory food authorities are responsible for enforcing the Food Standards Code, which includes requirements for allergen labelling. They monitor compliance and take action when breaches occur.

Failure to comply with allergen labelling requirements can result in various penalties. These may include fines, orders to recall affected products from sale, and prosecution under relevant state food Acts for more serious violations. Businesses should use the penalty estimator to understand potential consequences.

The Australian Competition and Consumer Commission (ACCC) also plays a role. The ACCC can enforce labelling-related claims if they are found to be misleading or deceptive conduct, operating under the Australian Consumer Law.