FTC Warns Food Industry Groups and Influencers About Disclosures on Social Media Posts

(NEWSnet/AP) — Federal Trade Commission on Wednesday said it issued warnings to two food and beverage industry groups, as well as a dozen online influencers, for failing to adequately disclose paid social media posts that promoted a sweetener and sugary products.
The letters point to Instagram and TikTok posts made by influencers who apparently were hired by American Beverage Association, a lobbying group whose members include Coca-Cola Co. and PepsiCo, and The Canadian Sugar Institute, which represents Canadian sugar manufacturers.
The warnings follow updated guidelines the agency published this summer requiring influencers to prominently disclose advertisements and paid social media posts that promote products for companies.
FTC said it reviewed posts by health influencers, including registered dietitians, who endorse “sugar-containing products” and appear to be paid by The Canadian Sugar Institute.
The agency warned American Beverage Association about posts that tout the safety of aspartame, a sweetener found in diet soda and other food. In July, World Health Organization determined the sweetener could be a possible cause of cancer, although other experts assembled by the health organization have said aspartame is safe to consume in small quantities.
FTC said some of the posts it reviewed had no disclosures. Others had disclosures in the text description, but not in the videos. Some dietitians identified “ameribev” as their partner, but the agency said that is inadequate, since viewers may not understand the abbreviation for American Beverage Association.
The agency wrote in the letters to the trade groups that the posts may violate federal law and could cost them up to $50,120 in penalties per violation. Neither American Beverage Association nor Canadian Sugar Institute immediately responded to requests for comment.
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