The effect of front-of-package nutrition labelling on product composition

Abstract

We analyse the effect of front-of-package nutrition labelling using the example of France, where Nutri-Score was adopted in 2017. Our focus is on changes in available products, i.e. on producer choices rather than consumer choices. Employing a difference-in-differences approach, we find that products introduced or altered after the change receive better Nutri-Score ratings than those introduced before the adoption, indicating a shift to items that are healthier overall. In addition, there is some evidence of bunching at the cutoffs for better Nutri-Score grades, which suggests that the improvements are at least in part a strategic reaction to the Nutri-Score introduction.