FAO Publishes Recommendations for National Food e-Commerce Regulations

The Food and Agriculture Organization of the United Nations (FAO) recently published recommendations for national authorities on measures to ensure e-commerce food safety, informed by a study of six global jurisdictions’ regulatory frameworks.

Although e-commerce food sales have risen in significance in recent years, especially since the COVID-19 pandemic, most jurisdictions globally do not explicitly address food e-commerce with specific regulations, instead relying on legislation related to conventional food trade, general e-commerce, and consumer protection to oversee the sector. At the international level, the Codex Alimentarius Commission has proposed draft guidelines on the food information requirements for pre-packaged foods intended for online sale.

FAO closely analyzed the legal frameworks of Canada, Chile, China, the EU, Indonesia, and Nigeria. The countries’ regulatory responses have varied widely:

• China has already enacted an extensive framework specific to food e-commerce, notably specifying food intermediary’s liability
• Canada recently initiated partial discussions on food e-commerce regulation that are centered on information online
• The EU has introduced certain limited provisions related to food information online and enforcement on e-commerce channels
• Chile, Indonesia, and Nigeria have not yet adopted regulation tailored to food e-commerce, but the three jurisdictions have worked on rules and guidelines regarding online platforms and/or e-commerce activities in general.

Recommendations for Developing National E-Commerce Regulations

Based on its study of global regulatory frameworks on food e-commerce, FAO recommends national policymakers follow a multidisciplinary approach to the sector’s regulation, focusing on food safety and food controls, consumer protection, and e-commerce. Legislators should adapt or integrate existing legal frameworks where available. Additionally, food e-commerce regulatory options should be flexible and focus on both preventive and reactive mechanisms.

Some of the regulatory aspects that could be taken into consideration and clarified to improve food e-commerce regulation within national law include:

• The legal status of new online actors, especially related to responsibilities for online intermediaries or platforms in general (e.g., registration/licensing, supervisory mechanisms, traceability, cooperation with public authorities, food recalls, development of complaints mechanisms, and staff training).
• Liability of online actors, clarifying which liability regime (and potential liability immunity) apply to online actors for infringements related to food e-commerce
• Monitoring and enforcement mechanisms, such as food controls, monitoring and enforcement measures for online infringements, and regulatory options to address the challenges of cross-border e-commerce and anonymous/virtual traders
• Online food information, extending food information laws to food sold online, specifying that online customers have the right to receive food information before the purchase is concluded, and indicating which information requirements that are provided for general food trade apply to food e-commerce (distinguishing between prepacked and non-prepacked foods
• Public authorities, giving competent authorities adequate tools and resources to monitor food e-commerce and enforce regulations
• Private regulation, involving private self- and co-regulatory schemes, parallel and complementary to state regulations (e.g., codes of practice developed by private stakeholders or voluntary agreements between food control authorities and online platforms).

The full FAO publication, titled, Regulatory Options to Address Food e-Commerce in National Legislation: Policy and Legal Challenges, can be read here.