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Advertising regulation looms as SA ban junk food ads

Food and drink companies are bracing for widespread limitations on advertising and marketing, following a junk food ad ban on public transport in South Australia.

The Outdoor Media Association has run an annual national healthy eating campaign since 2020 to help encourage Australians to eat more fruit and vegetables.
The Outdoor Media Association has run an annual national healthy eating campaign since 2020 to help encourage Australians to eat more fruit and vegetables.

Greater regulation to limit the marketing of unhealthy foods and drinks to children is likely, following South Australia’s ban of junk food advertising on public transport.

The SA government this month announced a ban on junk food advertising on Adelaide buses, trains and trams from July 1, in a bid to tackle obesity. It follows the ACT’s 2016 policy to limit unhealthy food advertising on buses and light rail.

The move comes as the federal government considers its response to a feasibility study on limiting unhealthy food marketing to children. The long-awaited response is expected to be finalised in the first half of 2025, one year later than initially anticipated.

The Department of Health & Aged Care has welcomed the move by South Australia, suggesting greater regulation may be on the cards nationally.

“The government congratulates the SA government for leading the way (alongside the ACT) on limiting unhealthy food marketing on public transport,” a spokesman told The Growth Agenda.

“The feasibility study on limiting unhealthy food marketing to children will provide a better understanding of the options available for consideration by ­governments.”

“The Australian government is committed to creating a healthy and active Australia for all children. Unhealthy food marketing to children is a significant public health challenge that requires careful consideration.”

The spokesman outlined three key points: “Food marketing mostly promotes unhealthy foods”; “Children are more likely to choose marketed foods, with poor diet leading to overweight and obesity”; and “Unhealthy food marketing also contributes to health inequalities with higher exposure to unhealthy food advertising in low socio-economic areas/groups”.

The spokesman said the government was also currently considering its response to a House of Representatives standing committee on health, aged care and sport report, The State of Diabetes Mellitus in Australia in 2024.

This report recommended regulating the marketing and advertising of unhealthy food to children aged under 16 across television, radio, gaming and online. It also recommended food labelling reforms and a sugar levy.

The push to regulate unhealthy food and drink advertising is one of a number of marketing regulations currently in the federal government’s scope, with gambling advertising reforms also under consideration.

The move by the South Australian government aims to reduce unhealthy food and drink marketing, which “has long been recognised as having a harmful impact on the diets of children”, according to a SA government spokesman.

According to data from Cancer Council SA, almost 80 per cent of food and drink advertisements on SA buses promote unhealthy food and drinks.

SA Health and Wellbeing Minister Chris Picton said: “Each year, big brands spend millions of dollars on catchy slogans and appealing ads to encourage South Australian children to consume more highly processed foods containing high fat, high salt and high sugar. Banning these ads in some of the key places they are seen regularly – especially by children – is a sensible step towards a healthier South Australia. Food habits and relationships established early in life have a lasting impact on food habits and health outcomes of adults.

The “evidence-based policy” has been endorsed by the Cancer Council SA, the Public Health Association of Australia and the Royal Australasian College of Physicians. Similar policies have been implemented in London and Amsterdam.

However, the Australian Association of National Advertisers (AANA) has questioned the effectiveness of the ban, which it maintains does not address the more complex causes of obesity.

AANA chief executive Josh Faulks said: “Australia enforces some of the world’s strictest regulations for advertising occasional food or drinks, effectively prohibiting their promotion to children.

“Experience from around the world indicates that similar advertising bans have not been effective in reducing obesity rates. Considering the anticipated impact on both the community and the industry, it is crucial that the South Australian government provide evidence demonstrating where such measures have successfully reduced obesity worldwide.”

The SA Government told The Growth Agenda the ban’s impact would be evaluated through “an audit of marketing practices to assess compliance and investigate the effectiveness in reducing the exposure of the advertising of unhealthy food and drinks in South Australia”.

However, AANA director of policy & regulatory affairs Megan McEwin argues this methodology only measures the effectiveness of reducing children’s exposure to advertising and not the subsequent impact on obesity.

“They are measuring it based on how many ads people see. Therefore, it’s a success because people see fewer ads, but they haven’t linked it to obesity or to people being healthier. The problem we have with this policy is that they haven’t targeted the issue. The issue is that Australians on the whole, not just children, are not eating enough essential healthy food – fruits and vegetables – so our question is, how does banning occasional food advertising make Australians eat more essential everyday foods?”

AANA also maintains the ban will lead to a reduction of investment in SA’s public transport network, leaving the government and ultimately commuters “to wear the burden”.

Ms McEwin said: “Our concern is that these assets will be worth less in terms of advertising tenders as a result of the ban, so there will be less revenue going to subsidise public transport.”

The Outdoor Media Association (OMA) has also criticised the ban, which targeted “a compliant and responsible medium” that contributes more than $40m to the South Australian economy in addition to its investments in local communities through the development and maintenance of bus shelters and pedestrian bridges.

The OMA has also criticised Preventative Health SA’s decision not to partner with the trade body for this year’s national healthy eating campaign, which sees outdoor companies donate media space to the campaign. The 2024 campaign, which focused on promoting fresh vegetables, reached more than 11.6 million people between January 28 and February 24 and “encouraged behaviour change and drove action”, with 70 per cent of people who saw the campaign encouraged to consider vegetables as the cheaper and healthier alternative to junk food.

According to research conducted by Nielsen for AANA, 65 per cent of Australians feel additional advertising restrictions are unnecessary, while 74 per cent want health education and subsidies for healthy food over additional bans.

Original URL: https://www.theaustralian.com.au/business/growth-agenda/advertising-regulation-looms-as-sa-ban-junk-food-ads/news-story/ab0ad1e99fb68e9c2b00860f4f660edc