H.R. 4725: Transparency, Readability, Understandability, Truth, and Helpfulness in Labeling Act

This bill, known as the Transparency, Readability, Understandability, Truth, and Helpfulness in Labeling Act, aims to enhance the nutritional labeling on food products sold in the United States. Here are the key elements of the bill:

Purpose of the Bill

The bill is designed to improve consumer understanding of the healthfulness of food products by requiring clearer labeling, particularly concerning added sugars, sodium, and saturated fat content. The goal is to promote healthier eating habits among consumers, especially children.

Front-of-Package Labeling Requirements

Within 180 days of the enactment of this Act, the Secretary of Health and Human Services must finalize a proposed rule concerning front-of-package nutrition labeling. This rule will require the following:

• A clear label on the front of food packaging that indicates if the product contains high levels of added sugars, sodium, or saturated fat.
  • This label must use the words "High in" followed by an exclamation point icon.
• If applicable, there must be a statement indicating the presence of non-nutritive sweeteners, along with a warning that they are not recommended for children.

Specific Application to Foods for Children

The labeling requirements are also applicable to foods marketed for infants and children up to 4 years old, ensuring that they have appropriate warnings and marketing that reflect their healthfulness.

Daily Reference Values

The Department of Health and Human Services will be responsible for establishing Daily Reference Values for added sugars, sodium, and saturated fat specifically for infants and young children. This information will be used to inform the labeling requirements.

Furthermore, if developing these values delays the implementation of the labeling rule, the Secretary can prioritize issuing the rule while establishing the values at a later time, ensuring that consumer protection and information advancements are not stalled.

Health Concerns Addressed

Congress's findings emphasize that many Americans exceed recommended limits for added sugars, sodium, and saturated fats, leading to health risks such as hypertension and diabetes. By improving labeling, the bill aims to provide better information to consumers and encourage food manufacturers to reformulate products to be healthier.

Food Industry Impact

The bill also outlines that labeling emphasizing high sugar, sodium, and saturated fat levels is likely to lead food manufacturers to reduce these ingredients while being mindful of the introduction of non-nutritive sweeteners.

Limitation and Updates

The legislation allows for updates to existing regulations concerning low sodium content claims to align with current nutritional science, which further enhances the accuracy and reliability of food labeling.

Relevant Companies

• KO - The Coca-Cola Company: As a major producer of beverages high in sugar, Coca-Cola may need to reformulate its products to comply with new labeling standards highlighting sugar content.
• PEP - PepsiCo, Inc.: Similar to Coca-Cola, PepsiCo’s beverage and snack products may require adjustments in their formulation or marketing due to the new labeling requirements and thresholds for added sugars and fats.
• MCD - McDonald's Corporation: As a major fast-food chain, McDonald's could be affected by these labeling standards, particularly in regard to highlighting sodium and fat content in their menu items.