Explanatory Statement
1. Authority
Section 13 of the Food Standards Australia New Zealand Act 1991 (the FSANZ Act) provides that the functions of Food Standards Australia New Zealand (the Authority) include the development of standards and variations of standards for inclusion in the Australia New Zealand Food Standards Code (the Code).
Division 1 of Part 3 of the FSANZ Act specifies that the Authority may accept applications for the development or variation of food regulatory measures, including standards. This Division also stipulates the procedure for considering an application for the development or variation of food regulatory measures.
FSANZ accepted Application A1070 which seeks to remove the current restrictions on portion weights for cheese and processed cheese enriched with tall oil phytosterol esters. The Authority considered the Application in accordance with Division 1 of Part 3 and has approved a draft variation to Standard 2.5.4.
Following consideration by COAG Legislative and Governance Forum on Food Regulation[1], section 92 of the FSANZ Act stipulates that the Authority must publish a notice about the standard or draft variation of a standard.
Section 94 of the FSANZ Act specifies that a standard, or a variation of a standard, in relation to which a notice is published under section 92 is a legislative instrument, but is not subject to parliamentary disallowance or sunsetting under the Legislative Instruments Act 2003.
2. Purpose and operation
The Authority has approved a draft variation to Standard 2.5.4 by deleting paragraph 3(b) which requires phytosterol-enriched cheese and processed cheese to be supplied in an individual portion, the weight of which is not greater than 50 g (the portion weight restriction).
The variation removing the individual portion weight restriction will enable phytosterol-enriched cheese and processed cheese products to be sold in comparable portion weights to non-phytosterol-enriched products.
Removing the portion weight restriction for phytosterol-enriched cheese products is expected to allow manufacturers to produce portion weights that are more attractive to retailers, and hence an increased availability and visibility of product for consumers.
The portion weight restriction was originally proposed as one of the risk management options to limit the consumption of phytosterol-enriched cheese and cheese products by non-target consumers, comparable to the earlier restrictions applied to milk and yoghurt. The other risk management measures, including the mandatory advisory label requirements, are considered by FSANZ to be sufficient for this purpose. Recently, FSANZ approved the removal of the package volume restriction for phytosterol-enriched milk which was gazetted in October 2012.
3. Documents incorporated by reference
The variations to food regulatory measures do not incorporate any documents by reference.
4. Consultation
In accordance with the procedure in Division 1 of Part 3 of the FSANZ Act, the Authority’s consideration of Application A1070 has included one round of public consultation following an assessment and the preparation of a draft variation and associated report. Submissions were called for on 5 September 2012 for a six-week consultation period.
A Regulation Impact Statement (RIS) was not required because the proposed variation to Standard 2.5.4 was likely to have a minor impact on business and individuals and was deemed to be a de-regulation.
5. Statement of compatibility with human rights
This instrument is exempt from the requirements for a statement of compatibility with human rights as it is a non-disallowable instrument under section 94 of the FSANZ Act.
6. Variation
The variation deletes paragraph 3(b) of Standard 2.5.4. In doing so, the variation removes the individual portion weight restriction for phytosterol-enriched cheese and processed cheese so they can be sold in any appropriate portion weight, determined by commercial considerations.
[1] Previously known as the Australia and New Zealand Food Regulation Ministerial Council
Overview
The Food Standards Australia New Zealand Act 1991 (FSANZ Act) established Food Standards Australia New Zealand (FSANZ) as the binational agency responsible for the development and maintenance of the Australia New Zealand Food Standards Code. Enacted by the Australian Parliament, the FSANZ Act aims to provide a unified and science-based approach to food regulation across Australia and New Zealand. In this context, the Act was introduced to address the need for a cohesive and expert-driven food regulatory framework that ensures the safety and quality of food products in both countries. The explanatory statement outlines FSANZ's acceptance and approval of a draft variation to Standard 2.5.4, which removes the restrictions on portion weights for cheese and processed cheese enriched with tall oil phytosterol esters. This variation seeks to harmonise the regulations for phytosterol-enriched cheese products with those of non-phytosterol-enriched products, enhancing market availability and consumer choice while maintaining sufficient consumer protection through other risk management measures.
Public consultation was conducted in accordance with the FSANZ Act, and the proposed variation was considered to have a minor impact, thus exempting it from the need for a Regulation Impact Statement. The variation to Standard 2.5.4, which deletes the individual portion weight restriction, is expected to benefit manufacturers by allowing them to produce more commercially viable product sizes, while ensuring that consumers have access to a wider range of products. This legislative instrument, being a non-disallowable instrument under section 94 of the FSANZ Act, is exempt from the requirements for a statement of compatibility with human rights.
Scope and Application
The Food Standards Australia New Zealand Act 1991 (FSANZ Act) outlines the functions and powers of Food Standards Australia New Zealand (FSANZ), including the development and variation of food regulatory measures, such as standards, in the Australia New Zealand Food Standards Code. Specifically, section 13 of the FSANZ Act empowers FSANZ to accept applications for the development or variation of food regulatory measures. FSANZ accepted Application A1070, which sought to remove restrictions on portion weights for cheese and processed cheese enriched with tall oil phytosterol esters. Following a formal consideration process and approval by the relevant authorities, FSANZ published a notice about the draft variation of Standard 2.5.4. This variation, which deletes the requirement for phytosterol-enriched cheese and processed cheese to be supplied in individual portions not exceeding 50 grams, is expected to facilitate increased availability and visibility of such products for consumers. The changes apply nationally, affecting manufacturers and retailers of these products across Australia. While the variation does not incorporate any documents by reference, it follows a period of public consultation and is deemed to have a minor impact on business and individuals. This legislative instrument is not subject to parliamentary disallowance or sunsetting under the Legislative Instruments Act 2003.
Key Provisions
The main operative sections of this legislation concern the variation of Standard 2.5.4 within the Australia New Zealand Food Standards Code (the Code). Specifically, section 92 of the Food Standards Australia New Zealand Act 1991 (the FSANZ Act) requires that the Authority must publish a notice about the standard or draft variation of a standard, and section 94 specifies that such a standard, or a variation of a standard, is a legislative instrument but is not subject to parliamentary disallowance or sunsetting under the Legislative Instruments Act 2003. The Authority has approved a draft variation to Standard 2.5.4 by removing the individual portion weight restriction for phytosterol-enriched cheese and processed cheese, allowing these products to be sold in any portion weight determined by commercial considerations.
The obligations imposed by this Act on the Authority and other entities include the process of accepting applications for the development or variation of food regulatory measures, including standards, and the requirement to undertake a round of public consultation for such applications. In the case of Application A1070, the Authority followed the procedure outlined in Division 1 of Part 3 of the FSANZ Act, including the six-week consultation period commencing on 5 September 2012. The Authority also prepared a draft variation and associated report, and assessed the potential impact of the proposed variation, determining that a Regulation Impact Statement (RIS) was not necessary due to the minor impact expected on business and individuals.
Breach of the provisions outlined in this Act may not lead to specific civil or criminal penalties, as section 94 of the FSANZ Act states that the legislative instrument is not subject to parliamentary disallowance or sunsetting. However, the Authority must ensure compliance with the procedure specified in Division 1 of Part 3 of the FSANZ Act, including the requirement for public consultation, when considering applications for the development or variation of food regulatory measures. Failure to adhere to these requirements may result in the draft variation being deemed invalid or subject to further review by relevant authorities. The exemption from the requirement for a statement of compatibility with human rights, as outlined in section 94 of the FSANZ Act, also means that there are no additional human rights-related obligations or consequences for breach in this particular case.