THE Australian Competition and Consumer Commission (ACCC) has proposed denying authorisation for the Infant Nutrition Council's (INC) industry code, which restricts advertising of infant formula.
The ACCC stated the code no longer provides enough public benefits to outweigh potential detriments.
The INC is seeking a five-year extension for the Marketing in Australia of Infant Formula: Manufacturers and Importers Agreement (MAIF Agreement), a voluntary self-regulatory code established in 1992.
The agreement restricts companies from advertising infant formula for children aged under 12 months, aligning with Australia's obligations as a signatory to the World Health Organization's code on marketing breast milk substitutes.
"The link between breastfeeding and better health outcomes for mothers and children is undisputed," said ACCC Deputy Chair Mick Keogh.
However, the ACCC is concerned about the MAIF Agreement's voluntary nature and limited scope to address modern marketing techniques, like social media influencers and algorithms.
In 2021, the ACCC granted a three-year extension to the agreement, but warned that public detriment might outweigh benefits if the extension continued.
A recent independent review commissioned by the Department of Health and Aged Care found the MAIF Agreement was no longer effective and recommended a legislated, mandatory code.
"Effective government regulation of infant formula marketing would likely deliver better public health outcomes," said Keogh.
The ACCC has granted interim authorisation for the MAIF Agreement to continue while a final decision is made.
Submissions on the draft determination are open until 17 Oct 2024. JG
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