Thank you.
I'm Jane Holdsworth. I'm a consultant, and I've worked with a wide range of food manufacturers in a marketing and technical career within the U.K. and overseas that has spanned 20 years. Most recently, I've worked with the U.K. Food and Drink Federation to help them shape their approach to front-of-pack labelling and to create and manage a campaign to encourage consumers to use that scheme.
I'd like to provide some background about the Food and Drink Federation and also to outline how the members came to adopt a guideline daily amount-based labelling scheme, and I'll explain why we think that is effective in helping consumers become better informed about the food they eat so they can make more informed food choices.
The FDF in the U.K. represents the interests of the largest manufacturing sector, with a combined turnover of $70 billion. There are around 7,000 food and drink manufacturing enterprises in the U.K., and the vast majority are small or medium-sized businesses. The Food and Drink Federation has a strong scientific base and ethos that runs through all aspects of its activity. Its manifesto consists of a seven-point pledge that focuses on a number of key issues, one of which is food labelling.
The U.K. government white paper, “Choosing Health”, was published in November 2004, and amongst other things, it made clear the government's priorities regarding food labelling. Against this backdrop, the food industry, through the Food and Drink Federation, sought to consider how it could define and implement a food labelling scheme to assess consumers to make better food choices. In mid-2005, Tesco, which is the U.K.'s largest food retailer with about 30% of the market, opted for a guideline daily amount-based front-of-pack labelling scheme. They had previously trialled a traffic light scheme but found that consumers preferred the GDA-based approach, largely because it gave them more information, thus allowing an informed choice.
Guideline daily amounts are widely used and well respected in the U.K. They were developed by the Institute of Grocery Distribution in partnership with government and are based on COMA recommendations. They're included on the backs of a wide variety of food products to provide nutrition information in context. They also form the basis for high-level limits within the FSA traffic light scheme. GDAs are similar to the percentage daily values that are widely used in Canada.
In parallel with the introduction of the guideline daily amount front-of-pack scheme by Tesco in 2005, various food manufacturers conducted their own research into reactions to a Tesco-type scheme and found similar positive responses from consumers. They also found that consumers were keen to see clearer food labelling on all food products, not just on the five composite food categories that were being considered for front-of-pack labelling by the Food Standards Agency.
By late 2005, Tesco had consumer data that showed the public were responding well to the scheme, and early data showed that it was driving healthier choices within the sandwich category. We tested the scheme with 700 consumers and found that 87% of them found it clear and simple. They liked the scheme, and the most common benefit cited, selected by 38%, is that it would help make healthier food choices.
Against this backdrop of a scheme that was both useful and informative for consumers and showed early signs of being effective in changing consumer behaviour, a number of food and drink manufacturers pledged to adopt a GDA labelling-based scheme. To ensure consistency for consumers, a style guide based on the Tesco model was also developed. The scheme was first introduced on some products in mid-2006 and the adoption of it has grown markedly, such that there are now four retailers using the scheme, representing almost half of the U.K. retailing sector, and 24 manufacturers. It's already on over 10,000 products, representing about 40% of packaged food products, and it's the most widely applied scheme in the U.K. market.
Consumers of this are reacting very positively to the introduction. There's a high level of awareness of the scheme and usage of it across all social grades, and importantly, Tesco data continues to show that it's driving healthier choices. Importantly, the scheme is also driving reformulation decisions by retailers and manufacturers as they seek to improve the nutrition profile of existing products. Some retailers are also setting GDA composition benchmarks for new product development. It's my understanding that Health Canada has told the committee that Canada's mandatory nutrition labelling system is having a similar effect on the nutritional profile of food products sold in Canada.
We've supported the introduction of the scheme with our advertising campaign, which aims to help to increase awareness of the scheme and deepen understanding of how it can be used to help support a healthier lifestyle.
Our website, called www.whatsinsideguide.com, is a core element.
We believe that the scheme is effective and has wide consumer appeal for six core reasons.
The first is that it gives consumers the facts, so they can make informed choices. That was something our initial research showed was key for any scheme.
Second, it helps consumers see individual foods in the context of their whole diet, thus giving them perspective on what it is they're eating.
Third, it provides per portion information, with the portion clearly stated on the pack.
Fourth, it's not hectoring or judgmental; it simply provides the facts. Again, our early research showed that this was really important to consumers.
Fifth, it's consistently applied across food categories and is very widely available.
The sixth point is that it links directly to the more detailed information on the back of the pack.
Importantly, the scheme also shows calories as well as the four key nutrients—sugars, fats, saturated fat, and salt. We believe this is an essential component of any front-of-pack scheme designed to tackle the obesity issue.
We have agreed to carry out joint research with the Food Standards Agency in the U.K. Department of Health and with retailers to determine which of the front-of-pack labelling schemes used in the U.K. at the moment are effective. We're confident this independent research will further demonstrate what the GDA labelling scheme is.
To summarize, there is a front-of-pack signpost labelling scheme in the U.K. that shows per portion, percentage, GDA information. It's widely used by manufacturers and retailers in the U.K. Initial results from its introduction are very positive, with many consumers already aware of it and using it to become better informed about the food they eat. Early signs also indicate that it's changing our purchasing behaviour.
The food industry is working with the U.K. FSA, the Department of Health, retailers, and others to assess the effectiveness of the GDA scheme, alongside the alternative traffic light food scheme. The results of this work are likely to be available in 12 to 18 months.
Thank you.