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The Australian Competition and Consumer Commission (ACCC) has reauthorised the agreement that bans direct public marketing of infant formula. 

The ACCC has accepted the Marketing in Australia of Infant Formula: Manufacturers and Importers Agreement (MAIF) agreement to stay until the 31st of July 2024, to maintain restrictions on the promotion of breastmilk substitutes. 

This follows a call for submissions on its draft determination in March this year. 

ACCC deputy chair Delia Rickard said the ban has significant public health benefits through protecting the rate of breastfeeding. 

“Without this agreement among infant formula manufacturers and importers there is a risk of an increase in the marketing of infant formula, both directly to consumers and indirectly through references to infants in the marketing of toddler milk,” said Rickard.

The ACCC has ongoing concerns the marketing of toddler milk products undermines the effectiveness of the agreement. Issues with advertising complaints are also present because of timeliness and transparency for how they are handled under the agreement. 

Signatories under the MAIF agreement are not allowed to promote infant formula but have permission to advertise toddler milk products. Studies submitted to the ACCC found consumers may confuse infant formula and toddler milk products and advertising. 

Rickard said that the increase in toddler milk product advertising is a concern for being a potential proxy to marketing infant formula. 

“The issues raised by this application go beyond the scope of competition law and raise significant health policy issues. We recognise that Australia’s response to health policy issues is a matter for the Australian government,” said Rickard. 

The federal health department will review of the effectiveness of the agreement later this year.

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