Thursday, December 28, 2006
Food Labelling
Many consumers use the labeling on food packages in making purchasing decisions. We look at the nutrition label and consider the possible impact of the food on our lives. I came across some interesting information while reading the January 2007 issue of "Smartmoney" magazine. The labeling is a sales pitch and any sales pitch needs to be taken with a grain of salt, like that beauty cream that will make you years younger or the investment that will make you rich.
If the label makes a statement about its nutrition in comparison with other foods such as "low sodium" or "reduced fat", these claims are likely defined by the FDA and have standard definitions.
When the label makes claims that deal with disease such as "reduces the risk of heart disease", then these claims usually have some study backing the claim. But you need to be careful because the manufacturer may pick and choose among the studies that have been done and choose to highlight the studies that show positive results and ignore those that are neutral or negative. There used to be a claim that eating dairy could "help you lose more weight and burn more fat than just cutting calories alone." However, this was the result of just one study by a researcher who was funded the the dairy industry. An advocacy group filed a law suit about this claim, and this claim has mostly disappeared. Another angle used by manufacturers is that claim may be true but the effects might be minimal. For example, studies have shown that soy reduces cholesterol, but it turns out the reduction is only 3%.
If the label uses words like "promotes", "enhances", "supports", "boosts", or "maintains", the buyer should be skeptical. Though the claim may sound reasonable, there usually isn't a scientific study backing the assertion. One researcher has said that "the claim is often based on wishful thinking".
Its funny that this article should appear in an investing magazine, but it goes to show that broad appeal of this topic.
If the label makes a statement about its nutrition in comparison with other foods such as "low sodium" or "reduced fat", these claims are likely defined by the FDA and have standard definitions.
When the label makes claims that deal with disease such as "reduces the risk of heart disease", then these claims usually have some study backing the claim. But you need to be careful because the manufacturer may pick and choose among the studies that have been done and choose to highlight the studies that show positive results and ignore those that are neutral or negative. There used to be a claim that eating dairy could "help you lose more weight and burn more fat than just cutting calories alone." However, this was the result of just one study by a researcher who was funded the the dairy industry. An advocacy group filed a law suit about this claim, and this claim has mostly disappeared. Another angle used by manufacturers is that claim may be true but the effects might be minimal. For example, studies have shown that soy reduces cholesterol, but it turns out the reduction is only 3%.
If the label uses words like "promotes", "enhances", "supports", "boosts", or "maintains", the buyer should be skeptical. Though the claim may sound reasonable, there usually isn't a scientific study backing the assertion. One researcher has said that "the claim is often based on wishful thinking".
Its funny that this article should appear in an investing magazine, but it goes to show that broad appeal of this topic.
