Ben & Jerry's GMO food label fight puts parent Unilever in a squeeze - pundits

By

When Vermont Governor Peter Shumlin signed the first state law in the US that requires corporations to label their food products made with ingredients from genetically-modified organisms, there was a person on his side who industry pundits said has caused a company to look stupid: Ben & Jerry's CEO Jostein Solheim.

Bloomberg said Ben & Jerry's has been a vocal supporter of the law, which was odd considering that its parent company, Unilever, along with some of the world's biggest food companies, has opposed to the idea of labeling their GMO-made products. But Solheim's appearance during the signing of the state law would backfire mostly on Unilever, who has remained nonchalant about the event.

Professor of nutrition and public health at New York University and "Food Politics" author Marion Nestle said, "In the short run, they might get away with ignoring what B&J is doing, but sooner or later it will catch up with them."

In June, a month after Shumlin had signed the law, the Grocery Manufacturers Association (GMA), and industry group of which Unilever is a member of, has sued Governor Shumlin and other state officials in the hopes of blocking the law to take into effect, which would be in July 2016. The lawsuit prompted Minnesota-based advocacy group Organic Consumers Association to renew a boycott of food brands they think are traitors, of which Ben & Jerry's is included, Bloomberg said.

However, Ben & Jerry's responded differently, and has somewhat launched into a campaign to promote GMO labeling.

Solheim challenged Unilever's response to the law, which had since blasted it as a violation of free speech. The Ben & Jerry's CEO said, "If it's a fad, then why have over 60 countries around the world adopted it? I don't think it's a fad that people want to know what's in their food. If you believe in a consumer's right to know, you have to promote that belief. You can't not take a stand."

On the other hand, Solheim dismisses assumptions that Unilever would damage its own popular brand. He claimed that Unilever does respect the ice cream company's push for GMO labeling. He added, "Obviously, there have been some bumps in the road, but our relationship is very productive."

On the other hand, Sanford C. Bernstein Andrew Wood believed that Unilever did not want to take that business risk. He said, "I don't think they will ever want the potentially massive negative PR of trying to silence B&J."

Join the Discussion
More Business
Alan Harrison

Alan Harrison: From Naval Officer to Legal Innovator at Sandollar Business & Intellectual Property Law

Thieves Break Into California Wig Shop, Make Off with Dozens

Thieves Break Into California Wig Shop, Make Off with Dozens of Hair Pieces Made for Women with Cancer

What Happens When the IRS Issues a Levy on Your Assets?

What Happens When the IRS Issues a Levy on Your Assets?

IRS Hits $1 Billion Mark in Recovering Back Taxes from High-Income Taxpayers Under Biden’s IRA

IRS Hits $1 Billion Mark in Recovering Back Taxes from High-Income Taxpayers Under Biden’s IRA

Real Time Analytics