The Hungarian government will mandate larger food retailers to include labels indicating instances of “shrinkflation” on their products.
According to a statement from the country’s government, food retailers with a sales revenue larger than Ft1 billion ($2.9 million) will be required to display warnings on products that have shrunk in size while their prices have been maintained or increased.
Manufacturers are obligated to communicate any alterations in product size to retailers.
Shrinkflation Labeling Requirements
The labels must indicate any variations in weight or volume, with the measurements being compared to those of the same product between January 1, 2020, and July 1, 2023.
Retailers are required to furnish the information for a duration of two months from the date they commence selling the product in its reduced size.
The scheme is slated to roll out in the first half of February.
The Hungarian government has announced that the consumer protection authority will intervene in cases of non-compliance. Additionally, consumers will have access to a public database on the National Food Chain Safety Authority’s (NEBIH) website, which records changes related to the mandated labels indicating “shrinkflation” on products.
“In parallel with stagnant or rising prices of some produce, the size of packaging has been shrinking in many countries,” the statement said. “The result of this deceptive practice is that consumers get less for their money from the purchased products than before.”
The government stated that it is making every effort to safeguard families and is actively combating consumer deception in the face of challenging economic conditions.
Earlier this month, France also submitted plans to the EU for new rules to require the country’s retailers to alert shoppers about shrinkflation.
Paris has asked the European Commission to clear a move that would oblige grocers to tell consumers if a product has been reduced in size but its price has stayed the same.
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