Application A394 - Formulated Caffeinated Beverages (8 August 2001)

8 August 2001

02 /02

INQUIRY REPORT

Full version available in pdf format

1. EXECUTIVE SUMMARY

1.1 Consultation

The Full Assessment report for A394 was advertised at the end of November 2000 and 37 submissions from industry, consumers and public health professionals, government organisations were received in response. In addition, there has been targeted consultation with key stakeholders.

1.2 Assessment of issues raised at Inquiry and proposed outcomes

1.2.1 Regulation

The proposal to develop a standard for formulated caffeinated beverages (FCBs) was predominantly supported at Full Assessment even by some who did not support the productsper se, but were in favour of having better regulation for these products. If the proposed standard for FCBs is not endorsed by the Ministerial Council, the Trans Tasman Mutual Recognition Arrangement (TTMRA) will continue to operate to allow New Zealand and other international product to be imported into Australia, while at the same time domestic production of similar product would be prohibited. The grounds for limiting the operation of TTMRA are quite narrow and any exemptions require annual review.

Further consideration of draft Standard R11 within Volume 1 has not proceeded because that Volume is time limited. The draft Standard in Volume 2 of the Food Standards Code has been re-located from Standard 2.11.1 to Standard 2.6.4 within the non-alcoholic beverages section so as to treat FCBs as other forms of non-alcoholic beverages and not to accord them special status.

Support for the terms and definitions used in the draft Standard was divided and a number of alternative suggestions were made. The purpose clause and definition have been modified to focus on caffeine as the only essential ingredient, and to confine the purpose to enhancing mental performance. This revision also distinguishes these products from sports and electrolyte beverages whose purpose is related to physical performance. The revised definition for FCBs now reads:Non-alcoholic water-based flavoured beverage which contains caffeine and may contain carbohydrates, amino acids, vitamins and other substances (including other foods) for the purpose of enhancing mental performance.Comments on the definition and terminology for functional foods/products have been deferred to the recently commenced review of dietary supplements (Proposal P235) and thus, will not be considered further within the context of A394.

1.2.2 Composition

Caffeine was raised by a number of submitters in relation to a range of potential detrimental health effects and the proposed maximum and minimum levels for caffeine in FCBs. Except for those opposed to caffeinated beveragesper se, the maximum limit (320 mg caffeine/L of FCB) was widely accepted. There was however, considerable comment on the proposed minimum concentration of caffeine (145 mg caffeine/L of FCB) including concerns from manufacturers regarding the limited flexibility of formulations. The range of concentrations proposed at Full Assessment however, have been retained.

In November 2000, ANZFSC agreed to seek direction on the matter of caffeine addition to foods from the Ministerial Council on Drug Strategy (MCDS), particularly on caffeine use in conjunction with alcohol and /or other substances of dependence. The MCDS is currently considering its response out-of-session.

Because the submissions clearly highlighted community concern in relation to potential access to caffeinated beverages by children, and in response to the potential carry-over fortification from FCBs to other products, F CBs are proposed to be prohibited from being used as ingredients in other beverages commonly consumed by children, such as soft drinks.

Of all substances sought to be permitted in FCBs, only niacin and thiamin were considered due to the lack of supporting data for the other substances. Permissions for the addition of non-nutritive sweeteners have also been clarified now that FCBs are classified within section 2.6 of Volume 2.

1.2.3 Labelling

The proposed advisory statements were well supported by all submitters who commented and made suggestions for enhancing the intent. As a result of these comments, pregnant and lactating women are included in the not recommended for& statement and an alternative means of expressing the advised daily consumption limit is provided. The draft Standard has also been amended to ensure caffeine from all sources is captured in the relevant advisory statements. Also to advise consumers that health authorities recommend limiting caffeine intake generally.

Due to considerable debate around the prohibition on nutrition information, mandatory nutrition information is now required on FCBs, consistent with requirements for soft drinks. However the prohibition on vitamin claims and expressions as percentiles of dietary reference values has been maintained.

The requirement for a prescribed name received divided support. The general requirement in Standard 1.2.2(1) is now considered sufficient to address the naming requirements for FCBs and therefore the specific clause requiring a prescribed name has been deleted.

1.2.4 Other issues

A number of comments were largely based on concerns regarding availability and appeal to children; many queried the applicant s contention that the product is not marketed to children. Several ways of risk-managing potential exposure of formulated caffeinated beverages to children are under consideration. As there are limits to the measures that can be implemented through food standards, the matter is referred to the jurisdictions and other inter-governmental bodies such as the Strategic Inter-governmental Nutrition Alliance (SIGNAL) for consideration.

1.3 Regulation Impact Statement

An amended Regulation Impact Statement has been provided (see Attachment 4) which has as its preferred option, full regulation supported by ANZFA s referral of the matter of FCB availability to children to the jurisdictions and health partnerships such as SIGNAL for consideration.