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AB InBev adds ‘US farmed’ labels to some of its beers
A selection of AB InBev brands will soon feature a label that identifies the beer’s ingredients having been ‘US farmed’.
The label, which has been created by the American Farmland Trust, is anticipated to become the equivalent of a ‘Made in USA’ label, but for packaged food and drink products.
Local reports state that the first products in line to feature the labels from May onwards will be cans of Busch Light, Budweiser, Bud Light, and Michelob Ultra.
To be awarded the label, at least 95% of the weight of the product’s contents must be farmed in the US, excluding water, packaging, and labelling. Then, the claims must be verified by the American Farmland Trust’s certification board.
Speaking about the labelling, Anheuser-Busch CEO Brendan Whitworth said: “We source nearly all the ingredients in our iconic American beers from hardworking US farmers — many of whom we have worked with for generations.”
Whitworth explained: “The US farmed certification takes our commitment to the next level, and we are proud to lead the industry in rallying behind American farmers to ensure the future of US agriculture, which is crucial to our country’s economy.”
According to The Federal Trade Commission, bogus and fraudulent country-of-origin labeling has been “rampant” in the US due to it being a surefire way to boost sales.
To back these claims, researchers from the University of Chicago Booth School of Business found that after four products were forced to drop their ‘Made in USA’ labels, weekly sales for three of the four plummeted. Additionally, in a follow-up experiment when selling products on eBay, the researchers found that the items sporting the ‘Made in USA’ label sold for more.
The American Farmland Trust has outlined that it plans to use the new labelling to “support American farmers navigating succession planning and provide American farmers with farmland protection tools for their operations”.
The nonprofit organisation added that over the next 15 years more than 30% of US agricultural land could be “in transition” as farmers prepare to retire from the business.