American Butter Institute urges FDA crackdown on plant-based products using “butter” labels, citing consumer confusion and regulatory gaps.
The American Butter Institute (ABI) is calling on the U.S. Food and Drug Administration to take decisive action against the use of the term “butter” by plant-based product manufacturers. ABI argues that such labeling misleads consumers and violates existing federal standards, which define butter as a dairy product derived solely from milk or cream.
In a recent statement, ABI emphasized that traditional butter has a clear legal identity under federal regulations. The Institute claims that plant-based brands using the butter label are capitalizing on dairy’s reputation while offering products that do not meet the same nutritional or compositional criteria. ABI is urging the FDA to enforce existing labeling laws to protect the integrity of dairy terms.
The request comes amid a broader debate in the food industry over labeling transparency. Similar disputes have unfolded around plant-based “milk” and “cheese,” with dairy producers arguing that these terms should be reserved for animal-based products. ABI maintains that the unchecked use of “butter” by dairy-free alternatives adds to growing consumer confusion.
Consumer advocacy groups and plant-based companies, however, argue that terms like “vegan butter” help inform shoppers about product usage and taste profiles. They contend that shoppers are fully aware of the differences and that any restriction would limit innovation and marketing clarity in the plant-based space.
As the FDA continues to evaluate labeling standards across food categories, ABI’s latest push underscores the dairy industry’s desire to reclaim regulated terminology. With plant-based butter substitutes gaining shelf space, the outcome of this debate could influence not only product labeling but the competitive landscape of both dairy and non-dairy markets.
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