The ACCC has issued a $25,200 fine to Ozwear Connection, for alleged false country of origin claims.
Ozwear made claims on it website that it was, “100% Aussie Owned,” and that its 'Classic Ugg' range were made using “the best materials available in Australia,” between January and April this year.
Before May this year, Ozwear had also attached a tag that included the words, “this exclusive premium label is uniquely Australian owned brand for authentic Australian Ugg boots,” which was shaped like Australia and featured green and gold colours.
The ACCC found that the representations created a false impression that Ozwear's 'Classic Ugg' range were made in Australia, when in reality they were made in China.
ACCC deputy chair, Mick Keogh, said that businesses that genuinely make their products in Australia suffer when other companies intentionally misrepresent their country of origin.
“Ozwear’s conduct is unacceptable. Under the Australian Consumer Law, businesses are prohibited from making claims that create a false impression about products being made in Australia.
“Country of origin representations can be a powerful marketing tool for businesses, as many consumers are willing to pay extra for Australian made products.
“When false or misleading representations are made about a product being Australian made, consumers may end up paying more for no reason at all and businesses who are genuinely making their products in Australia lose out," he said.
Australian Made Campaign chief executive, Ben Lazzaro, responded to the ACCC's ruling and said that although the Australian Made Campaign supported the ACCC's findings, it would have liked to have seen a larger penalty.
“Australian shoppers and visitors to our country want to buy genuine Australian made products. This type of misleading marketing only makes it more difficult for consumers to find what they want.
“It’s unfortunate that the penalty imposed by the ACCC is relatively low. A higher penalty would act as a deterrent to other businesses in this industry contemplating exaggerating their Australian credentials.”
The best way to identify genuine 'Australian Made' products is to look for the green and gold kangaroo logo.
