Dive Brief:
- The FDA's Nutrition Facts Label regulations, first published last May, affect all packaged food products and require retailers and manufacturers to make necessary updates by July 2018 — though it's possible that the Trump administration may extend the deadline, according to Supermarket News.
- Responsibility for implementing the changes will fall mostly on the suppliers. However, products will need to be taken off shelves if they're not updated by the deadline, so retailers should take an active role in facilitating alterations — or risk their finances and reputations.
- The new labeling rules require different nutrients and additives to be declared on food products, according to the FDA. As a result, all packaged food products will need to undergo fresh analytical testing.
Dive Insight:
Consumers are demanding healthier products and more transparency from the products they buy. In fact, nearly 94% of consumers noted they would be loyal to a brand that offers complete transparency, according to a recent study from Label Insight.
Although there’s still about 17 months until the labeling law takes effect, retailers and manufacturers that don't comply may look as though they are trying to hide something, which could trigger consumer distrust. Players at each stage of the grocery food chain must be connected and aware of the ingredients and processes used to produce final products. Otherwise, retailers could see a sales hit for certain items.
Retailers must also stay up to date on the products they carry and ensure that no non-compliant items are sold after the deadline. Otherwise, they could face fines and shopper scrutiny.
Contemporary consumers strive to be well educated on the products they buy and the retailer they buy from. It's possible that if the retailer-shopper trust is breached by selling items that don't comply with the new law, some shoppers could switch their loyalties to a retailer they perceive as more honest.