In February, the Federal Government made changes to the law relating to country of origin claims. For ‘Made in Australia’ claims, the 50% cost of production test has been removed and there is a new definition of ‘substantial transformation’.
Australian Made Campaign Limited (AMCL) is in the process of changing the rules for using the Australian Made logo so that they are again consistent with the law. We expect final approval of the changes in early August.
The new definition of ‘substantial transformation’ focuses more on the imported content of a product than the previous definition. Some products which previously met the substantial transformation test will no longer do so, meaning that they will no longer qualify to carry the Australian Made logo.
A fact sheet comparing the two definitions can be downloaded here. The fact sheet is also available in simplified Chinese here.
本函及其随附的信息说明单还备有简体中文版本. 请致电 1800 350 520 索取副本.
The ACCC has taken the position that “the encapsulation of imported marine oil is unlikely to constitute a ‘substantial transformation’. This means that soft gel capsules containing imported oil, including fish, squalene, cod liver or krill oil, can no longer claim to be made in Australia and can no longer carry the Australian Made logo. This is a departure from previous guidance issued by the ACCC.
It appears likely that many other complementary health products will be affected by this change. AMCL has sought clarification from the ACCC regarding this and we have been advised that the ACCC intends to publish further guidance later this year. Until we see this we are unable to provide licensees with definitive guidance on the full range of products.
At this point we can only advise licensees that soft gel products containing imported marine oil can no longer be described as made in Australia and therefore the Australian Made logo can no longer be used on these products. The logo should be removed from these products and associated marketing materials as soon as possible.
Further guidance on other types of complementary healthcare products will be provided as it becomes available.
WHAT YOU NEED TO DO NOW
Please review your list of products carrying the Australian Made logo and identify any which no longer comply. Email us at firstname.lastname@example.org with the names of these products together with your timeframe for removing the Australian Made logo.
It is important that the logo is removed from all products which no longer comply within an acceptable timeframe which we would envision to be 6 months. While AMCL will not take action against you in this period for using the logo on products which no longer comply, there is no transition period attached to the changes to the law. Therefore it is in your own interest to act on this promptly.
AMCL understands that these changes may have a significant impact on your business. We are committed to working with all of our licensees to assist with the transition.
Please direct any enquiries to Lisa Crowe, Manager Compliance and Policy, on email@example.com
A simplified Chinese version of this page is available here.