The Truth about “Vegan”, “Plant-Based” and “Natural” Labels in Australia

The Truth about “Vegan”, “Plant-Based” and “Natural” Labels in Australia

If you’re a food manufacturer or creative brand owner, you might have searched: “Can I claim my product is ‘plant-based’ in Australia?” or “What counts as vegan food under Australian law?”

These questions are much more than marketing—incorrect claims can lead to compliance headaches, legal risk, and even regulatory action. The legal landscape for food labelling in Australia in 2025 is complex and constantly evolving.

Understanding the rules and how regulators interpret them is essential for staying out of trouble.

Why Do These Claims Matter?

Australian shoppers now expect clear, honest food labels—and so do the courts and regulators. Descriptions like ‘vegan’, ‘plant-based’, and ‘natural’ go beyond ingredients; they signal quality, ethics, and safety. If consumers are misled—even unintentionally—the reputational and legal risk is real. This is why food law, consumer law, and branding all converge on this topic.

What Does “Misleading” Actually Mean in Law?

Under Australian Consumer Law (ACL), the phrase “misleading or deceptive conduct” has a broad meaning. A claim on packaging, an ad, or even the overall look and feel of a product could mislead if it creates a false impression in the mind of a typical customer, regardless of intent. The law does not require that every consumer be misled: if the overall impression is likely to mislead or cause confusion in an “ordinary” consumer, it can be unlawful (ACL s18, s29).

In food labelling, this could include:

• Suggesting a product is suitable for vegans while containing animal-derived additives or using shared manufacturing lines without an allergy/cross-contact statement
• Using “natural” to describe foods with artificial preservatives, colours, or heavy processing
• Swapping “plant-based” and “vegan” without clarifying that “plant-based” might allow for animal ingredients
• The courts focus on the overall impression left with the average, reasonable buyer—not just food lawyers or food scientists.
• Third-party certification—such as Vegan Australia Certified—can help, but it is not a legal defence if the reality falls short of what the average shopper expects. The ACCC has made this clear in recent guidance and enforcement actions.​
• Regulation and Enforcement in Practice: Recent Cases and Guidance

ACCC Actions

In this case, Heinz sold a children’s snack called Little Kids Shredz. The bright packaging showed plenty of fruit and vegetables, and there were big taglines boasting things like “99% fruit and veg.” To any busy parent in the supermarket, that sounded like a healthy, nutritious option for their toddlers.

But here’s the catch: when the ACCC took a closer look, they found that the snack was mostly sugar—about two-thirds of it, in fact—much more than you’d find in fresh fruit or veg. So even though the ingredients list was technically correct, the overall impression from the packaging and slogans made parents think these snacks were a lot better for their kids than they actually were.

The ACCC argued that this was misleading or deceptive conduct under Australian Consumer Law, especially sections covering false or misleading health claims. The Federal Court agreed. The judge said that even if the nutritional panel was accurate, the most prominent part of the product—the packaging, the pictures, and the taglines—gave a misleading message overall. It wasn’t enough to hide the truth in the fine print.

As a result, Heinz was hit with a $2.25 million fine. They were also told to set up a compliance program and cover the ACCC’s costs. The court didn’t insist Heinz run ads to correct the mistake, but noted the media coverage and the fact that the product had been pulled from shelves was enough to set things right.

What does this mean for food businesses? If you’re selling food in Australia, you need to make sure that what your packaging and advertising say matches what the customer will actually get. Simply having correct info in the ingredients list won’t save you if everything else sends the wrong message. Regulators are watching closely, and the penalties for getting it wrong are real.

So next time you’re reviewing your labels or ads, think about what impression the “whole package” gives. It’s how real shoppers see things—not just what’s buried in the detail—that counts.

You can read the ACCC summary here:

https://www.accc.gov.au/media-release/federal-court-finds-heinz-made-misleading-health-claims-to-parents

What Makes a Label Misleading?

A food label becomes misleading when the overall impression it gives to shoppers is inaccurate or deceptive. It’s not just about the small print or a long disclaimer—if the main images, slogans, or big claims create a false impression, those take priority in the eyes of the law. Even detailed disclaimers can’t fix an incorrect “main message” on your packaging or advertising.​

Honesty matters most.

Food businesses must clearly disclose all ingredients, including animal and artificial content. Hiding animal-based processing aids or not warning about cross-contact with allergens and ethical claims can mislead customers—especially those with special dietary needs or ethical concerns.​

Using the term “natural” is especially risky, because it has no official meaning in Australia. If a product is highly processed or includes preservatives, colours, or flavours that aren’t easily recognised as “natural,” you could face regulatory investigation—even if other companies do the same.​

Finally, where and how claims appear also matters—claims must be accurate on every packet, in ads, on social media, and when customers see them in-store. The same rules apply everywhere your messaging reaches consumers.​

1. Total impression beats fine print. No matter how detailed your disclaimers, if the big print or imagery gives the wrong message, that will usually prevail in law.
2. Honesty about ingredients and processing. Disclose all animal and artificial content, don’t hide animal-derived processing aids, and explain cross-contact risks for sensitive claims (e.g. for allergies or ethical certifications).
3. “Natural” is risky: This word has no regulated meaning in Australia. If your product is highly processed, or uses preservatives/colours/flavours not easily recognisable as “natural”, then you risk investigation—regardless of industry custom.
4. Context and location matter: Claims must hold up not just on packets, but in ads, on social media, and at point of sale.

Certification marks and branding

Now onto those all-important certification marks and branding!

Think of a certification mark as an official badge: it proves a product meets strict standards set by an independent body. For vegan marks, this means someone’s double-checked there are zero animal ingredients, animal by-products, and absolutely no animal testing—going way beyond a simple brand promise. Unlike regular trade marks—which show you who made or owns the product—certification marks tell everyone that an external authority has approved the claim, reassuring buyers and helping your business stand out for the right reasons.

For vegan marks, it means someone’s double-checked there are zero animal bits, by-products, and no animal testing.

Unlike regular trade marks, which tell you which company made something, certification marks simply show an approved product passed a vegan test set by someone outside the manufacturer. It’s all about transparency and trust—especially with vegan claims, which can otherwise be pretty easy to slap on a label without oversight.​

You might recognise some of these:

• Australian Made® (kangaroo logo)
• Woolmark® (100% pure new wool)
• Vegan Australia Certified (vegan compliance)
• Low GI Certified® (glycemic index food standards)
• Heart Foundation Tick (healthy food choice)

Vegan Trade Marks

Among vegan certification marks in Australia, the Vegan Australia Certified logo is the most prominent. This mark is officially registered with IP Australia and approved by the ACCC, confirming that it meets strict criteria for vegan standards in the country.

Seeing this sunflower-inspired logo on packaged foods, cosmetics, or supplements provides assurance that the product contains no animal ingredients, that no animal testing has occurred, and that manufacturing processes have been checked to prevent any animal-derived contamination. These requirements help consumers buy with confidence and avoid the need for detailed ingredient checks.​

Other international vegan certification marks found on Australian shelves include the Vegan Trademark from The Vegan Society (UK), Certified Vegan from Vegan Action (USA), and the V-Label Vegan from Europe. While each has its own specific verification process, all share the core promises of certifying products as free of animal ingredients and animal testing.

What Do These Marks Actually Mean? 

They mean the product was verified for things like:

• No animal ingredients or by-products, including things sneaky like bone char-filtered sugar or animal-derived processing aids.
• No animal testing—crucial for both food and cosmetics.
• Manufacturing processes are checked to avoid cross-contamination. Some marks require machinery cleaning and specific protocols if the facility handles non-vegan items.

Certification is not a forever thing. It usually gets renewed every year, ensuring standards keep up.

Final Reminders for Businesses

It’s not enough to just hope your vegan (or plant-based, or natural) label claims stay above board—compliance is a moving target! Make a habit of regularly reviewing all your label claims to stay up-to-date with both legal requirements and industry standards. Laws and definitions change all the time, and when it comes to a court room, ignorance is never an excuse.

Keep those supply chain and processing records tight. For every single product making a vegan, plant-based, or natural claim, detailed documentation is your best friend. It’s not glamorous, but good records can save your bacon (well, tempeh bacon) if questions ever pop up down the track.

Next, invest in training for your staff and marketing teams about what all these labels and claims actually mean in legal terms. It’s about more than catchy taglines—clarity here can help you avoid misleading consumers and those dreaded compliance headaches.

Remember, the only real constant in business is change. What’s fine now might need a refresh tomorrow, so keep your business nimble and ready to adjust when the rules shift.

Practical Steps for Businesses

In legal ease, not “legalese” (to quote our own motto!), here’s how Sharon Givoni Consulting can help you stay on the right side of food labelling law:

Check your product packaging and websites often to make sure your labels and descriptions follow current rules.

• Give labelling and branding advice for Vegan foods
• Trade mark your Vegan brands
• Write product descriptions and match guidance from the ACCC.
• If a customer complains or you get reviewed by regulators, respond quickly.
• If another business is making misleading claims that hurt your brand, send a strong letter asking them to stop.
• If you want to sell products overseas, get advice on export requirements.

Frequently Asked Questions

1. Can I call my product ‘vegan’ if it’s produced in the same facility as animal products?

The law expects transparency: cross-contact should be disclosed and your processes should not be misleading.

2. What happens if I use ‘natural’ but add flavourings or preservatives?

You risk an ACCC investigation or consumer claims if the impression is misleading; “natural” should match what shoppers expect.

3. Are there FSANZ rules for words like milk, cheese, or sausage in plant-based foods?

Yes, but context is key. Adding words like “soy” or “almond” could be enough provided overall labelling is clear.

4. What if someone complains to the ACCC or a state agency?

Advice and quick response is critical—we can handle this process.

5. Do I need a lawyer to review my label?
It’s best practice, especially for new launches, marketing campaigns, or after regulatory changes

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Please note the above article is general in nature and does not constitute legal advice.

Please email us info@iplegal.com.au if you need legal advice about your brand or another legal matter in this area generally.