Small business ombudsman pushes back against seafood regulations for restaurants
The Australian Small Business and Family Enterprise Ombudsman (ASBFEO) has questioned the need to enforcing country-of-origin labels for all seafood served in Australian restaurants and cafes.
The ombudsman claims it will negatively impact small businesses and has called on the Federal government to overturn its $1.6 million pledge to clarify the origin of fish, lobster, prawns, and other seafood.
The federal government has proposed a mandatory country of origin (COoL) system to promote local produce and boost consumer awareness.
The proposal will force hospitality providers to clearly indicate via menus and other signage if their seafood is Australian, imported, or of mixed origin.
The idea is to support local producers in Australia’s $3.6 billion seafood industry.
“I’ve seen firsthand the value of our fisheries industry, both as a job creator and an economic driver in regional Australia,” Minister for Agriculture, Fisheries and Forestry Murray Watt said.
“As traceability and provenance become more important to consumers, we must support the efforts our local seafood industry is making to identify their products.”
The proposal is supported by members of the Australian seafood industry with Seafood Industry Australia CEO Veronica Papacosta saying it will “allow consumers to make informed decisions about the seafood they buy in restaurants, cafes and take-away food stores across the country, and allow them to support our great Australian seafood producers.
“Right now, for food safety purposes, the supply chain of seafood is known in food service all the way to the kitchen door, however, the information is often not passed on.”
ASBFEO has pushed back claiming compliance costs will be too high for small businesses.
“While it is rightly intended to improve transparency for consumers and support Australian seafood producers, the proposal is onerous, costly, and an unhelpful addition to the growing regulatory burden mounting on small and family businesses,” ombud Bruce Billson said.
“When Australian seafood is sold out or not available, a small business may decide it does not want to disappoint customers so will temporarily source an imported product, yet this will require the costly step of reprinting new menus for every change.”
Restaurants & Catering Australia has also questioned the proposal saying they will cause unnecessary financial burden.
“We will continue to monitor these matters as they arise and will advocate and fight on behalf of the industry,” former R&CA CEO Belinda Clarke said.
“Things are so tough for venues, we just don’t need any more red-tape and counterproductive policy that will lead to further business closures.”
Irit Jackson, 6th April 2023
