ORGANIC, NATURAL, CLEAN LABEL AND KITCHEN LABEL
ORGANIC, NATURAL, CLEAN LABEL OR KITCHEN LABEL
We have all seen these different descriptions on the types of ingredients going into a food product, but as processors, do we really know what they mean and what impact these requirements can have on a finished product?
Thankfully, Hela Spice has looked into these claims and has a broad range and history of experience with each of these types of products. Our capable R&D Team can advise you on the decisions a processor will need to make before choosing what food category you want to support with the latest new products you develop.
Join us as we discuss each category and look into some of the potential pros and cons of each that you will need to consider when you choose any of the ingredient categories.
WHAT DOES ORGANIC MEAN?
Organic is normally the one of the first types of specialized claim labelling, consumers and companies think of when they are looking for differentiation. Hela has made the effort to become organic certified to be able to provide ingredients and blends to help companies produce organic products. So, what is Organic?
- Organic is a government regulated term used to describe agriculture products that have been certified as organic. Organic production on the farming level aims to replenish soil fertility without the use of prohibited substances such as synthetic fertilizers and pesticides. Preparation of organic products includes carefully selected organic or organic suitable ingredients prepared using organic procedures around handling, packaging, and transportation to maintain the organic integrity of the product.
- In Canada, there are two organic claims for multi-ingredient organic products, (1) 95% to 100% organic content or ‘Organic’ products and (2) between 70%<95% organic content where the product needs to claim the percentage of organic in their product (example, ‘made with 75% organic ingredients’).
- To achieve either claim, ingredients used in your recipe need to be reviewed for compliance with the organic standard to ensure they are organic certified or suitable to be used in an organic product.
ORGANIC - PROS AND CONS
What can you expect to experience producing organic products?
Potential Advantages
- Reduced exposure to pesticides, potentially better for the environment
- Potentially improved customer perception of the product and willingness to accept higher prices due to perceived quality advantage
- North American marketplace size estimated to be approximately $64 Billion in 2021
Potential Disadvantages
- Higher cost of goods produced
- Limitations on supply of ingredients, restricts product development and range of offerings
- Additional time required for approval of formulations through government approved certifier
WHAT DOES NATURAL MEAN?
One of the most popular food claims is using the term Natural. Consumers have a very positive reaction to the use of this term and are willing to search for the products and become extremely brand loyal. The pricing is also higher than traditional style products. So, what is Natural?
- From nature, minimally processed.
- In Canada, natural is defined by CFIA through a guidance. Recently, the government changed the approach to natural claims also allowing an outcomebased approach.
- In general, a food can be described as ‘natural’ if the following criteria are met:
- does not contain an added vitamin, mineral nutrient, artificial flavouring agent or food additive,
- has not had any fraction removed or significantly changed, except the removal of water
- minimally processed (has not been subjected to processes that have significantly altered their original physical, chemical or biological state)
- In the past, natural claims in Canada were more rigid and natural claims could only be made when these criteria were met. With the new outcome-based approach, companies can follow the existing guidance, partially adhere to the guidance, or use their own outcome-based approach to justify their natural claim. When using the outcome-based approach, companies are required to demonstrate with evidence that the claim is truthful and not misleading to consumers. An example of using this new approach to utilize a natural claim would be a natural claim on a product containing a food additive that sourced naturally.
US Natural (FDA)
- Though the FDA has not established a formal rule for the term natural, there is a brief guidance around the term natural used on food labels. It is similar to the historical Canadian definition meaning nothing artificial or synthetic. What differentiates this rule though is the inclusion of colour additives regardless of their source. A product that contains even a natural colouring agent would not be considered FDA natural.
NATURAL - PROS AND CONS
What can you expect to experience producing Natural products
Potential Advantages
- Most easily recognized claim by consumers
- No clear distinction of Natural market versus Organic for most consumers
- Large market segment and growing rapidly
Potential Disadvantages
- Higher cost of goods produced
- Limitations on supply and types of ingredients, severely restricts product development and range of offerings
- Differences in acceptable ingredients between Canada and US may require different formulations based on markets
WHAT DOES CLEAN LABEL MEAN AS OPPOSED TO KITCHEN LABEL?
Product Developers hear these terms continuously from Marketing and Sales teams within their companies. Let’s make the products Clean Label, as well as great tasting and inexpensive. It should be easy, but anyone involved in product development knows that this isn’t the case. The most important thing is to first agree on what Clean Label versus Kitchen Label actually is. So, what are the differences?
- Clean Label is a marketing term that is not regulated by the government. Clean label can be defined differently company to company.
- Clean label can mean developing a product with as few ingredients as possible, using ingredients that will be recognized and accepted as clean by consumers or omitting certain ingredients that are not considered clean by consumers. Many companies will develop a list of acceptable or unacceptable ingredients based on their own interpretation of clean label as a tool to be used in their product development.
- Kitchen Label is again a marketing term that is not regulated by the government. It is very differently defined by each company that uses it, but the two terminologies are just slightly different.
- Kitchen Label means developing a product with as few ingredients as possible, using ingredients that are normally found in a consumer’s kitchen and are either very familiar or readily identifiable. The lists of these acceptable ingredients should be developed before product development commences and understood by all parties within the company. It is the least restrictive of any product claim.
CLEAN OR KITCHEN LABEL - PROS AND CONS
What can you expect to experience producing Clean or Kitchen label products
Potential Advantages
- Easily recognized claim by consumers
- Simple to understand
- Allows greater flexibility when developing products with improved flavour, texture and cost
- Wider range of sources allows for increased availability of ingredients and broader range of product offerings
Potential Disadvantages
- No artificial flavours or colours allowed
- Limitations on supply and types of ingredients, severely restricts product development and range of offerings
- Differences in acceptable ingredients between Canada and US may require different formulations based on markets
Have a product idea? Tell us all about it and your search for the perfect ingredients. Find it all at Hela Spice. Let’s talk about your next best-seller.
