Hungarian Competition Authority Fines Lidl for Misleading Advertising on Wholegrain Products
The GVH imposes a 186 million forint penalty following complaints from diabetic consumers regarding Lidl's marketing practices.
Hungary's Gazdasági Versenyhivatal (GVH), or Economic Competition Authority, has levied a fine of 186 million forints (approximately €500,000) against Lidl Magyarország Bt. for misleading communication practices related to its wholegrain products.
The fine arises from complaints filed by diabetic consumers who alleged that Lidl's marketing could mislead potentially vulnerable groups regarding the health implications of these products.
According to GVH communications director Bálint Horváth, over one million individuals live with diabetes in Hungary, making food and ingredient transparency crucial for their health and quality of life.
The authority emphasizes that businesses must ensure that their commercial communication is clear and truthful, particularly when the audience includes potentially vulnerable populations such as those with health conditions.
In a statement responding to the fine, Lidl expressed disagreement with the GVH's conclusions, citing contractual assurances with its suppliers and other considerations.
The company’s response highlighted a commitment to consumer safety and the integrity of its marketing practices.
Horváth noted that the affected products were among Lidl's private labels.
He further emphasized that the GVH's investigation determined that Lidl was in violation of Article 8 of the European Parliament and Council Regulation (EU) No 1169/2011, which states that the food business operator responsible for food information is the operator under whose name the food is marketed.
Additionally, the GVH has prohibited Lidl Magyarország from continuing its infringing practices related to the marketing of wholegrain products.
The authority has indicated its intention to propose a review and potential extension of regulatory measures regarding wholegrain product labeling to enhance consumer protection.
The GVH is also examining the marketing practices of other retail chains concerning wholegrain products, ensuring compliance with consumer protection standards.
The authority continues to assert its commitment to defending the interests of consumers, especially those in vulnerable situations, such as diabetics.
The fine arises from complaints filed by diabetic consumers who alleged that Lidl's marketing could mislead potentially vulnerable groups regarding the health implications of these products.
According to GVH communications director Bálint Horváth, over one million individuals live with diabetes in Hungary, making food and ingredient transparency crucial for their health and quality of life.
The authority emphasizes that businesses must ensure that their commercial communication is clear and truthful, particularly when the audience includes potentially vulnerable populations such as those with health conditions.
In a statement responding to the fine, Lidl expressed disagreement with the GVH's conclusions, citing contractual assurances with its suppliers and other considerations.
The company’s response highlighted a commitment to consumer safety and the integrity of its marketing practices.
Horváth noted that the affected products were among Lidl's private labels.
He further emphasized that the GVH's investigation determined that Lidl was in violation of Article 8 of the European Parliament and Council Regulation (EU) No 1169/2011, which states that the food business operator responsible for food information is the operator under whose name the food is marketed.
Additionally, the GVH has prohibited Lidl Magyarország from continuing its infringing practices related to the marketing of wholegrain products.
The authority has indicated its intention to propose a review and potential extension of regulatory measures regarding wholegrain product labeling to enhance consumer protection.
The GVH is also examining the marketing practices of other retail chains concerning wholegrain products, ensuring compliance with consumer protection standards.
The authority continues to assert its commitment to defending the interests of consumers, especially those in vulnerable situations, such as diabetics.
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