Australian made logo

Australian made vs product of Australia

1. Australian Made or Made in Australia or Manufactured in Australia

According to current regulations, the ACL Australian Consumer Law states that the main criterion for claiming an Australian Made good is that the product must have undergone a substantial transformation within Australia. A product with an 'Australian made' label will not necessarily contain Australian ingredients or components.

What does substantial transformation mean?

When good part of the production has taken place in Australia, and the end product is fundamentally different in identity, nature or essential character from all of its imported ingredients or components.

The packaging of a product is not a substantial transformation and is not considered to be a component or ingredient of the product.

2. Product of Australia and Australian Grown

Each of the product's significant ingredients* or components has been grown or sourced in Australia, and all or nearly all of the manufacturing processes have been carried out in Australia.

*A significant ingredient is important to the product – if it were removed, the product would not be the same. An ingredient does not have to be a certain percentage to be significant.

3. Australian Owned

This is a concept brought to the public to promote and help identify real Australian Owned businesses. Australian Owned businesses are those whose profits remain in Australia and therefore all their taxes are also paid here.

4. Designed in Australia

This concept refers to products that are designed in Australia, manufactured in other countries and imported into Australia.

Australian products

What customers and manufacturers in Australia are saying

Often, if not always, customers and manufacturers in Australia logically interpret ‘Australian Made’ as a product that is manufactured in Australia and is expected to be made up of almost 100% raw Australian ingredients or components. Unfortunately, this is more of a ‘Product of Australia’ or ‘Australian Grown’ description.

Perhaps what needs to be clarified is that ‘Australian made’ relates to the place of manufacture of the end product, regardless of the origin of its raw ingredients or components; while ‘Product of Australia’ means that both the raw ingredients or components and the production processes originate and occur in Australia.

Some are of the opinion that the terminology ‘Australian made’ should refer to products made here using at least 80 per cent raw Australian ingredients or components; or, at a minimum, return to the old ACL rule that required a product to have a minimum of 50 per cent of Australian ingredients or components, and at least 50 per cent of the manufacturing cost to have been spent in Australia.

Notes to keep in mind

  • Products Made or Grown in Australia don’t certify whether the business producing the products is Australian Owned.
  • Products labelled as Australian Owned or Designed in Australia don’t certify whether the product contains Australian ingredients or components or has been manufactured here.

We can easily be confused between the different concepts of origin of the product. In my opinion, when shopping, it is best to read a little about the brands and the people behind them.

At PantryWise, we support Products of Australia, Australian Grown and Australian Made products for the significant economic, social and environmental benefits in Australia.

Check out our range of products and let us help you stock your Pantry Wisely.

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Read additional information about product concepts here

 

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