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Sugar is now on everyone's lips - at least when it comes to talking about excess sugar content in processed foods.

H.J. Heinz got into trouble with the consumer regulator (ACCC) for selling Shredz kids snack food because each stick contained two thirds of the recommended daily intake of
sugar for 1 to 3 year old children (its target market). The sticks were 'jubes' made from highly concentrated fruit juice and vegetable purees.

The ACCC argued that it was misleading and deceptive for H.J. Heinz to give the impression that the Shredz snack food was healthy and nutritious by placing images of smiling children climbing rope ladders into a tree and an apple, pumpkin and other fruit and vegetables on the front label of the packet (see photo), when the Shredz snack food contained too much sugar to be healthy.

The Federal Court agreed with the ACCC, and found that the Shredz snack food was not healthy for 2 year old children because:

  • two thirds of each stick was sugar, which was too much in the diet of a 2 year old; and
  • The Federal Court accepted the link between sugar intake and obesity, and the ‘stickiness’ of the sticks with dental caries.

After considering many factors, including that H.J. Heinz ought to have known that the Shredz snack food was unhealthy, the Federal Court imposed a fine of $2.25 million and ordered H.J. Heinz to follow a Compliance Program. Note: Shredz products are no longer on sale.