In a move that could reshape the landscape for U.S. food producers eyeing the European Union (EU) market, the EU’s Court of Justice has handed down two significant decisions related to food labeling. These rulings, stemming from cases initiated in EU member states, could have far-reaching implications for how American products are marketed and sold within the EU.
The first decision revolves around the use of the “organic” label, specifically under the United States – European Union Organic Equivalence Arrangement. This arrangement allows organic products certified in the U.S. to be sold as organic in the EU, and vice versa, without needing separate certifications. However, the recent ruling has added a layer of complexity to this seemingly straightforward process.
The case centered around Herbaria Krauterparadies GmbH, a German company producing an organic beverage called Blutquick. The beverage, made from fruit juice and organically produced herbs, was ordered by German officials to remove its organic labeling due to the inclusion of non-plant vitamins and ferrous gluconate. The EU’s organic regulations prohibit products with added vitamins and minerals from bearing the organic label unless legally required. Herbaria argued that their product should be treated equally to U.S.-originated organic products containing similar additives, which are allowed under the equivalency arrangement.
The Court of Justice ultimately ruled that while U.S.-originated organic products can be sold in the EU with their USDA organic label, they cannot bear the EU organic logo if they do not comply with EU organic standards. This means that U.S. producers must ensure their products meet all EU organic standards to use the EU organic label, but they can still sell products with the USDA label in the EU even if they do not comply with EU standards. This decision underscores the need for U.S. producers to be aware of the specific labeling requirements in the EU to avoid potential market access issues.
The second decision pertains to the labeling of plant-based protein alternatives. In February 2024, France issued a decree banning plant-based proteins from using “meat” terms in their labeling, such as “sausage” or “burger.” This decree, while only applicable to products manufactured in France, sparked controversy and legal challenges from several parties, including Beyond Meat.
The EU Court of Justice was asked to determine whether EU regulations protecting consumers from misleading food labeling prohibit member states from adopting national measures that ban “meaty terms” for plant-based proteins. The ruling is expected to clarify the extent to which member states can regulate the labeling of plant-based protein alternatives, potentially impacting how these products are marketed across the EU.
For U.S. food producers, these decisions highlight the importance of understanding and complying with EU labeling regulations. The organic labeling ruling emphasizes the need for products to meet EU standards to use the EU organic logo, while the plant-based protein labeling case could set a precedent for how these products are marketed throughout the EU. As the European Commission prepares to release its interpretation of the organic labeling decision, U.S. producers should stay informed and adapt their labeling practices to ensure smooth market access in the EU.