The Australian Competition and Consumer Commission has issued a leaflet on country of origin claims made in relation to souvenirs. The publication is part of the ACCC's broad industry compliance and education program relating to country of origin claims.
Many visitors to Australia buy souvenirs. They often make their buying decision based on the souvenir's connection with Australia. The ACCC wants to ensure tourists are not misled into believing that souvenirs are made or produced in Australia when this is not so.
The leaflet will assist manufacturers, importers and retailers of souvenirs to identify the circumstances in which origin claims may be implied by the use of packaging, pictorial representations and icons, such as maps of Australia or pictures of Australian native flora and fauna.
The publication also outlines issues relevant in determining whether an origin claim will negate a misleading impression created by the use of icons and pictorial representations. The most common claims are 'Made in Australia' and 'Product of Australia'—or similar claims about goods from other countries.
Guidance is also provided on the ACCC's interpretation of defences set out in Part V, Division 1AA of the Trade Practices Act 1974.
The Made in Australia defence, in Division 1AA, has two components:
- the goods must have been substantially transformed in the country claimed to be the origin and
- 50 per cent or more of the cost of production must have been carried out in that country.
The Product of Australia defence has two rigorous criteria which must be met:
- the country of the claim must be the country of origin of each significant component of the goods and
- all, or virtually all, processes involved in the production or manufacture must have happened in that country.
The ACCC has also produced a number of country of origin guides for specific industries. These guides are designed to ensure that consumers and industry have a similar understanding of what is meant by Made in and Product of claims. More specifically, the guides assist different industries to ensure that they comply with the Act's country of origin rules and provide guidance on the ACCC's interpretation of defences set out in Part V, Division 1AA of the Act. The leaflet is available in both English and Chinese on the ACCC website, or by contacting the ACCC Publishing Unit on (02) 6243 1143. The publication is free.