A recent report highlights challenges that food and drink companies will face worldwide due to changing regulations. Experts warn that while these developments may pose obstacles, they could also create new opportunities.
Leatherhead Food Research (LFR), a UK-based food and drink advisory firm, has been analyzing regulations across regions like the UK, EU, North America, Latin America, Asia Pacific, and the Middle East. Their findings show that the past year was filled with regulatory changes, and this trend is likely to continue.
Mariko Kubo, LFR’s head of global regulatory affairs, noted that many regulatory bodies shifted their focus in 2024 to better meet local market needs. One major factor driving these changes has been sustainability. However, the global landscape of sustainability efforts has become increasingly complex.
For instance, the UK and EU are implementing measures for both environmental and ingredient sustainability. A notable upcoming regulation is the EU’s Packaging and Packaging Waste Regulation (PPWR), set to go into effect soon. This regulation will restrict certain substances in food packaging, reflecting a growing commitment to sustainability.
Another regulation, the Deforestation-free Product Regulation (EUDR), was delayed and is now expected to be enforced this year. These regulations are crucial steps toward shaping a more sustainable food packaging landscape.
In Latin America, rising public health concerns, particularly obesity, are prompting brands to think creatively about product formulation and labeling. This situation presents both challenges and opportunities for food companies in the region.
In the U.S., a relatively quiet regulatory period last year has given way to significant changes in 2024. The Food and Drug Administration has introduced new guidelines for food labeling, allergen management, and even proposed rules for front-of-pack labels. They have also banned Red Dye No. 3 in foods and drinks.
Meanwhile, some countries in the Middle East and Asia Pacific are removing barriers to food innovation. In South Korea and Singapore, regulations around gene editing and cellular agriculture are evolving rapidly, paving the way for new technologies. Australia is also exploring a standards-based approach for cell-cultured food.
In conclusion, while the food and drink industry faces regulatory challenges, there are also new paths for growth and innovation. Companies that stay informed and adaptable will be better positioned to thrive in this changing landscape.