ACM to research misleading sustainability claims

The Dutch Consumer & Market Authority (ACM) will investigate misleading sustainability claims in the dairy sector. The ACM has chosen this sector because in preliminary investigations it saw many potentially misleading sustainability claims. Moreover, sustainability plays a major role for consumers when they make purchases in this sector. Companies have been written to and asked to check the accuracy of their sustainability claims. If companies mislead consumers about the sustainability of their products, the ACM can impose fines.

Action by ACM

In the dairy sector over 40 companies have been contacted. Established claims in the dairy sector:

• On the front of a pack of milk it says that it is 'sustainable'. On the back it says that the cows are often allowed out and the farm generates its own electricity. Even with this explanation, it remains unclear to the consumer what the exact sustainability benefit is;
• On a milk carton it says '30% less CO2 emissions'. It is not clear what this refers to. It turned out that it was 30% less CO2 emissions in the manufacture of this packaging compared to the previous one.

Guidelines for sustainability claims

Earlier this year, the ACM published guidelines for reliable sustainability claims:

1. Make clear which sustainability benefit the product provides
2. Substantiate sustainability claims with facts and keep them up to date
3. Comparisons with other products, services or companies must be fair
4. Be honest and concrete about your company's sustainability efforts
5. Make sure that visual claims and hallmarks are helpful for consumers and not confusing

The ACM calls on the companies that have been notified to check their sustainability claims against the rules of thumb. This applies to products they sell both online and offline. From mid-June onwards, the ACM will check the effect of this action and publish the results. Companies that mislead consumers with claims that they cannot fulfil can be charged or fined by the ACM. The fines can amount to 900,000 euros per violation or a percentage of the turnover.

acm.nl