New Zealand Parliamentary Questions Regarding Labelling of Soy Based Infant Products

Soy-based Infant Products – Labelling

 11.               JEANETTE FITZSIMONS (Co-Leader–Green) to the Minister of Commerce:  What were the terms of the settlement agreed between the Commerce Commission* and Abbot Laboratories (NZ) Limited over claims that the label on infant soy formula reading "1st choice of doctors" breached the Fair Trading Act of 1986? 

Hon. PAUL SWAIN (Minister of Commerce):  The Commerce Commission investigated the claim of Abbot Laboratories that its Isomil RTF formula was "The first choice of doctors for common feeding problems such as fussiness, gas and spit-up" and advised that it was at risk of breaching section 13E of the Fair Trading Act.  The terms of the settlement were to recall the product from distribution in New Zealand and advise wholesalers and retailers that it is now a deleted item; stop importing the product in New Zealand and review the compliance procedures of Abbot Laboratory (NZ) Limited to ensure that in future it complies with regulatory requirements in New Zealand. 

Jeanette Fitzsimons:  What steps are taken and by whom, to monitor voluntary settlements made to head off Commerce Commission determinations, given the Isomil soy formula with the offending label was still on sale in a Wellington supermarket more than a month after that agreement was reached?

 Hon. PAUL SWAIN:  It is my understanding that the Commerce Commission does follow up those sorts of deliberations it has made.  However, if the member has information like that, I would be keen to pass that on to the commission.  

Steve Chadwick:  What kind of impact might the terms of settlement be expected to have on importers of special-purpose foods?

Hon. PAUL SWAIN:  The action taken by the Commerce Commission on the labelling of infant soy formula imported by Abbot Laboratories should serve as a reminder to importers of special-purpose foods of the need to ensure that products imported for distribution on the New Zealand market comply fully with the requirements of relevant New Zealand law.  

Hon. Ken Shirley:  Did any aspect of the settlement indicate or suggest in any way that the infant soy formula Isomil RTF has the potential to impact adversely on the health of infants?  

Hon. PAUL SWAIN:  There was some comment - and I am happy to table this for the member's interest - about the relative benefits of cow versus soy and some health issues were raised.  The primary reason for the deliberation and determination by the commission was on the basis of a breach of the Fair Trading Act.  

Mr Speaker:  Is the Minister seeking leave to table that? 

 Hon. PAUL SWAIN:  At the end of question time.  

Mr SPEAKER:  Perhaps he could do it now since I have raised it.

Document, by leave, laid on the Table of the House.  

Jeanette Fitzsimons:  Is the Minister concerned that there is not just a technical breach, because in many countries doctors have advised that soy milk not be the principal infant food, because of possible hormone disruption from high levels of estrogens in soy?  

Hon. PAUL SWAIN:  As I indicated before, the primary reason for the Commerce Commision's involvement was a breach of the Fair Trading Act.  Any questions of health issues should be directed to the Minister of Health.