How to identify substantial transformation
Last Updated: 24 June 2020
This page provides guidance and examples on how to identify if your food product has undergone substantial transformation.
Substantial transformation
According to Australian Consumer Law (Schedule 2 of the Competition and Consumer Act 2010), a food is substantially transformed in a country when either:
- each of its significant ingredients was grown in that country and all, or virtually all, processing occurred in that country
- as a result of one or more processes undertaken in that country, the product is fundamentally different in identity, nature or essential character from all of its ingredients or components that were imported into that country
Examples of substantial transformation
| Product | Australian ingredient/ component | Imported ingredient/ component | Substantially transformative or material process/change | Primary reason why it is considered to be substantial transformation |
|---|---|---|---|---|
| Cake | Sugar, eggs, flour | Spice | Mixing and bakin | The imported ingredients (spices) are fundamentally different from, and do not have the identity, nature or essential character of the finished product (cake) |
| Apple pie | Pastry, suga | Apples, spice | Forming a pie and bakin | The imported ingredients (apples, spices) are fundamentally different from, and do not have the identity, nature or essential character of the finished product (apple pie) |
| Frozen crumbed prawn | Prawns, eg | Crumbs, spice | Cultivating and shelling prawns and raising chickens (from which eggs are, gathered) before crumbin | The imported ingredients (crumb, spices) are fundamentally different from, and do not have the identity, nature or essential character of the finished product (frozen crumbed prawns) |
| Frozen battered seafood snac | Flour, eggs, water (to form batter | Prawns, squid, seasonin | Mincing, mixing, forming and batterin | The imported ingredients (seafood) are fundamentally different from, and do not have the identity, nature or essential character of the finished product (frozen battered seafood snack) |
Examples of what isn’t substantial transformation
| Product | Australian ingredient/ component | Imported ingredient/ component | Substantially transformative or material process/change | Primary reason why it is NOT considered to be substantial transformation |
|---|---|---|---|---|
| Canned apricot | Syru | Apricot | Peeling, cooking and cannin | The imported ingredients (fresh apricots) are not fundamentally different from, retain their identity and nature, and have the essential character of the finished product (canned apricots) |
| Orange juic | Water, sugar, preservative | Orange juice concentrat | Reconstitutio | The imported ingredient (orange juice concentrate) is not fundamentally different from, retains its identity and nature, and has the essential character of the finished product (orange juice) |
| Frozen crumbed prawn | Crumb, eg | Prawns, spice | Crumbing, packing, freezin | The imported ingredients (prawns) are not fundamentally different from, retain their identity and nature, and have the essential character of the finished product (frozen crumbed prawns) |
| Mashed pea | Pea | Mashing and packin | The imported ingredients (peas) are not fundamentally different from, retain their identity and nature, and have the essential character of the finished product (mashed peas) |
