Business news from Ukraine

UKRAINE PLANS TO BAN USE OF PALM OIL IN BABY FOOD

The Verkhovna Rada intends to prohibit the use of hydrogenated palm oil in the production of food products, mostly consumed by children, to regulate the use of trans fatty acids in them, as well as to establish labeling requirements for foods containing palm oil and fines for their sale. Corresponding bill No. 5148 on amendments to certain laws of Ukraine concerning improving the quality of food products eaten by children was supported at first reading by 304 MPs with the required 226 votes.
According to an explanatory note to the document, it is proposed to ban the use of palm oil in traditional dairy products, as well as hydrogenated palm oil and other hydrogenated vegetable fats in baby food and confectionery.
In addition, the bill prohibits the production and circulation of food products in which the content of trans fatty acids exceeds 2 grams per 100 grams of the total amount of fat in the food product.
The explanatory note states that the sale of food products containing the above substances and ingredients entails the imposition of a fine on legal entities in the amount of 40 minimum wages (currently the minimum wage is UAH 6,000), on individual entrepreneurs – in the amount of 25 minimum wages.
The document also establishes the labeling of products containing palm oil, which, if the bill enters into force, will have to be marked with the easily visible phrase “Contains palm oil” next to the name of the product.

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PARLIAMENT PASSES AT FIRST READING BILL BANNING PALM OIL USAGE

Ukraine’s Verkhovna Rada on Tuesday passed at first reading bill No. 3871 amending some Ukrainian laws regarding the ban on the use of palm oil in food. A total of 233 lawmakers backed the document.
The bill proposes amending the Code of Administrative Offenses of Ukraine, the laws on milk and dairy products, on the key principles and requirements to safety and quality of food. The amendments introduce administrative punishment for production and sale of food with palm oil content. It is banned to use palm oil in production of dairy products and food made in Ukraine.
The violation of the law implies a fine from 20 to 100 non-taxable minimum incomes of citizens (UAH 17) imposed on officials. The repeated violation committed during one year after imposing the first fine entails a fine from 100 to 200 non-taxable minimum incomes of citizens.

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