05 / 07 / 2016

As anticipated in our prior flash report of August 2015, on last June 27, Food Label Regulations entered into full force in Chile, as per its publication in our Official Gazette of June 26, 2015.

This new Regulation mandates that food containing sodium; sugars and saturated fat or calories, over doze permitted by this Regulation, calculated on 100 g. must be marked with the following warning black stop signs:

On the other hand, the new Regulation forbids the use of “promotional hooks” for sales supposedly aimed at children under 14 years old, even limiting advertisement in cinemas and TV between 10:00 pm and 06:00 am.

Nevertheless, the implementation of this new Regulation has generated a number of conflicts since local Authorities have been threatened, not with the seizure of the infringing products, but with the closing of the commercial establishment, even if the involved products shows a fabrication date which is prior to the approval of this Regulation, decision that will impede running-out of stocks.

All of the above refers only to package food but sales of bulk products have not been regulated, what obviously causes an unfair competition between commercial establishment sales of one or another.

Additionally, the Authority has not resolved some important Intellectual Property issued such as the rights to use trademarks just as registered, as per granted both by our Law and Paris Convention.

This lack of empathy with food producers could result on the national and even the international judicialization of this issue, just as it has already been announced by the Italian Company Ferrero, manufacturer of the famous “KINDER SURPRISE” who is already analyzing staring legal actions locally and even before International Centre for Settlement of Investments Disputes (ICSID).

Finally, this new Regulation has limited to prohibit but has not been followed by an advertisement campaign calling for conscious food consuming neither promoting daily exercises, facts that will affect its goals, if its objective in short is to decrease obesity level of our country.

Should you have any doubts or need more information in this regard, please contact Max F. Villaseca M. (