The packaged food industry has failed to meet the government’s target for adopting the health star rating system, prompting authorities to consider making the scheme mandatory. More than a decade after its launch, uptake has stalled at just 37 per cent—far below the government’s goal of 70 per cent. Food ministers across Australian states and territories had previously warned that mandatory labelling would be introduced if the industry did not meet the target by today’s deadline.
Associate Professor Alexandra Jones from The George Institute criticised the poor progress, saying, “The government’s targets were extremely generous, yet the multibillion-dollar packaged food industry has not come anywhere close to meeting them. Simple nutrition information shouldn’t be optional. Shoppers deserve clear, reliable information that helps them quickly assess the healthiness of products on supermarket shelves.”
What is the health star rating system?
The health star rating system scores the overall nutritional quality of packaged foods on a scale from 0.5 to 5 stars. Manufacturers enter their product’s nutritional details into a government website, which uses an algorithm to assign a rating. The algorithm awards points for protein, fibre, fruits, vegetables, nuts and legumes, while deducting points for saturated fat, sugar and salt. Consumers can then compare similar products and make healthier choices.
However, experts say its usefulness is limited because only one-third of products currently display a rating. The system is also being used unevenly as a marketing tool—61 per cent of products with five stars display the rating, compared to just 16 per cent of products rated half a star.
VicHealth chief executive Professor Anna Peeters said the findings highlight a need to strengthen Australia’s food labelling system. She noted that ultra-processed foods contribute 42 per cent of Australians’ daily energy intake, while over 60 per cent of supermarket shelf space is occupied by discretionary items. “This is an opportunity for government, industry and the community to work together to create a fairer, more transparent food system that supports health and wellbeing,” she said.
When could the system become mandatory?
Jones said ministers should be able to approve the necessary regulatory standards by this time next year and urged them to commit to that timeline. Food Standards Australia New Zealand (FSANZ) told 9news.com.au that it is continuing preparatory work for a potential mandatory system. A spokesperson said food ministers are expected to receive final uptake data in early 2026, along with an update on the work already underway. Based on that information, ministers will decide whether to ask FSANZ to formally develop a proposal to mandate the system. Any proposal would require following legislated processes, including public consultation, and FSANZ says it would treat the matter as a priority.
