Health star ratings may become mandatory: What it means for food businesses

After more than a decade as a voluntary initiative, Australia’s Health Star Rating (HSR) system may soon become a mandatory front-of-pack requirement. On 10 April 2026, Food Standards Australia New Zealand (FSANZ) released Proposal P1067 (Health Star Rating System), setting out the regulatory framework for requiring front-of-pack star ratings on most packaged foods sold in Australia and New Zealand. The proposal is currently being assessed and open for public consultation. A final decision is expected to be reached by late July 2027 if no review is requested. Food businesses should start assessing the portfolio, packaging and reformulation implications now, rather than waiting for a final decision.

Background

The HSR is a voluntary front-of-pack nutrition labelling system, in use since June 2014, that rates packaged foods from ½ star to 5 stars. More stars indicate a healthier choice among similar products within a food category.

Why Mandate?

• Voluntary uptake targets (70% of intended products display the HSR by November 2025) were not met. Currently, only 39% of intended products in Australia and 36% in New Zealand display the HSR.
• The products that display the HSR tend to carry a rating skewed toward higher-rated items (median rating in Australia: 3.5 stars). This could mean that the HSR is currently primarily being used where it serves as a marketing advantage rather than as a neutral consumer information tool.
• A mandatory HSR may change how consumers compare products at shelf and, potentially, increase commercial pressure to reformulate lower-scoring products to gain a higher HSR.
• Research indicates that front-of-pack labelling improves consumer awareness of nutritional content and helps guide healthier food selection and purchasing decisions.

Key Proposed Changes

• Mandatory display: The HSR symbol would be required on the front of most packaged foods where a Nutrition Information Panel (NIP) is currently required, with a location exception for re-labelled imported foods.
• Stars-only symbol: A standardised design using only the stars element: optional energy and nutrient elements, would no longer be permitted.
• Advertising: HSR use in advertising (for foods not prohibited from displaying it) must meet the same calculation and design requirements as on-pack display.
• Prescribed algorithm: Largely unchanged from the current voluntary formula, but with some category and calculation refinements.

Next Steps

The first consultation round is now closed. If FSANZ proceeds, a second consultation round would follow before FSANZ decides on a final variation for referral to the Food Ministers' Meeting. Although the final rules are not yet settled, businesses with long packaging lead times should begin scenario planning now.

How should food businesses prepare?

The key issue is not simply whether HSR becomes mandatory, but how quickly businesses can understand the impact across their portfolio and build compliance into packaging, product development and marketing planning. In the short term, businesses should:

• Monitor FSANZ’s progress and consider participating in further public consultations, if further opportunities arise.
• Plan for greater transparency across the product portfolio, as lower-scoring products may no longer stay unrated.
• Review packaging inventory and begin assessing which products may require the HSR.
• Factor HSR changes into packaging refresh cycles, artwork approvals and budget planning.
• Consider whether recipe reformulation is required to improve low star scores before the rules potentially change.
• Assess impact on claims and consumer messaging.