Chile is considering a new bill to regulate the food tech industry and establish fair competition between traditional and plant-based food industries. The proposed legislation, authored by Representative Harry Jürgensen, aims to protect consumer rights and prevent misleading practices in the food industry.

The bill introduces "simulated food" to define plant-based products that closely resemble meat, dairy, or eggs. It mandates clear labeling for such products, requiring them to be explicitly identified as "simulated food." The bill also prohibits misleading advertising and the use of animal imagery to promote these plant-based alternatives.

While the bill aims to protect consumers and ensure fair competition, some industry representatives argue that it could hinder innovation in the food tech sector. Matias Latugaye, VP Latam at NotCo, expressed concerns that the bill might discourage the development of an innovative and strategic industry in Chile.

Analyst QuickTake: While there are no definitive, signed regulations on plant-based labeling in the LATAM region, this new development indicates the emergence of such laws. Conversely, in the US, several states, including Texas and Kansas, have banned the use of meat-like terms to describe and market plant-based meat alternatives. Iowa, on the other hand, took it a step further, imposing penalties for violations of labeling laws.