The Australian Competition and Consumer Commission has accepted court-enforceable undertakings from Austwide Wholesalers Pty Ltd after products which breached the cosmetics information standard were found on the market in Darwin.

Austwide is a market leader in the import and distribution of variety discount merchandise. Austwide had supplied a number of children's cosmetic products without a list of ingredients on their containers.

"Products that are not properly labelled may pose risks for children who are allergic to particular ingredients", ACCC Chairman, Mr Graeme Samuel, said. "Ingredient labels help parents base their purchasing choice on accurate information, to avoid such risks".

The standard requires all cosmetic products and toiletries, including children's cosmetics, to be labelled with a full list of ingredients, either on the container or on the product itself (if the product is not packed in a container), or alternatively a list of ingredients be available to consumers at the point of sale.

After contact from the ACCC, Austwide voluntarily removed the products at the wholesale level and had printed labels listing the products' ingredients to be supplied to the products' retailers.

Austwide has now undertaken to:

  • strengthen its existing compliance program with an emphasis on the consumer product information and safety standards
  • institute an effective complaint handling system
  • provide adequate training for staff on product safety
  • ensure an independent review of the program within 12 months, and
  • provide a report of the review to the ACCC.

"Children's cosmetics are popular items at Christmas, so Austwide's undertaking and compliance program upgrade have come at a pertinent time. Mandatory product safety and information standards are in place to protect consumers.

"Cosmetic suppliers must ensure that they prevent breaches of the cosmetics information standard through their own internal compliance mechanisms", Mr Samuel said.

Further information on product safety and information standards is available on the ACCC's website.