Australia’s competition authority has voiced reluctance to extend voluntary restrictions on infant-formula marketing designed to promote breast feeding.
The country’s Infant Nutrition Council has urged the Australian Competition and Consumer Commission (ACCC) to renew an industry code on baby-food powder marketing for another five years.
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However, the ACCC said it seeks to “deny” such a proposal because it “considers that the code is no longer likely to give rise to public benefits that outweigh the likely public detriment”.
The ACCC introduced the ‘Marketing in Australia of Infant Formula: Manufacturers and Importers Agreement’ (MAIF) in 1992. The move was part of the country’s obligations to the World Health Organization (WHO), linked to the institution’s International Code of Marketing Breast Milk Substitutes.
MAIF has effectively now expired, but on 14 August the competition body authorised the code to continue while it completes an assessment. The ACCC said it has requested industry feedback on its proposals to discontinue the code by 17 October before it makes a final decision.
Mick Keogh, the ACCC deputy chair, said in a statement: “The link between breastfeeding and improved health outcomes for mothers and children is undisputed.
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By GlobalData“However, while the MAIF Agreement aims to protect and promote breastfeeding rates in Australia, we are concerned that there are several factors that undermine its effectiveness.
“This includes its voluntary nature, its limited scope, and restrictions on its ability to capture the breadth of modern digital marketing methods, such as the use of social media algorithms and content created by third-party influencers.”
Just Food asked the Infant Nutrition Council to comment on the proposal and its rationale for maintaining the MAIF.
Its CEO, Jonathan Chew, responded: “The Infant Nutrition Council has noted the draft determination of the ACCC with respect to its application for re-authorisation of MAIF.
“The INC will continue to engage with the ACCC to demonstrate the need for the MAIF Agreement to continue in order to protect and promote breastfeeding in Australia, in line with Australian government policy.”
MAIF had already been extended for three years in 2021, applying to the advertising and promoting of formula by manufacturers and importers for infants up to 12 months of age.
According to the ACCC, the Department of Health and Aged Care has also conducted a review of the MAIF, finding that the code was “no longer fit for purpose”.
Instead, the Department recommended the introduction of a mandatory code within a regulated and legislated framework. The suggestion is being reviewed by the Australian government.
Keogh added: “Effective government regulation of infant-formula marketing would likely result in public health benefits.
“Given the issues undermining its effectiveness, the ACCC is not satisfied that the MAIF Agreement and associated guidelines are likely to result in a net public benefit to justify authorisation.”
