CHFA Champions Fair Labelling for Non-Alcoholic Beverages
A Unified Industry Voice
CHFA coordinated a joint submission with Canadian and international organizations representing health-forward beverage innovators.
We are urging the Canadian Food Inspection Agency (CFIA) to update its labelling policies to allow beverages with less than 0.5% alcohol by volume (ABV) to be labelled as “non-alcoholic”, which is a long-standing international benchmark used by the U.S., EU, and Codex Alimentarius and in line with consumer expectations.
Our advocacy package includes:
- A detailed scientific literature review on the safety and public health value of low-alcohol beverages
- Over 60 pages of anonymized consumer testimonials showcasing life-changing experiences from switching to no- and low-alcohol options
- A thorough policy rationale for aligning Canadian regulations with international practices
Key Issues Raised by CHFA
- Regulatory Inconsistency - CFIA’s 0.05% threshold conflicts with other Canadian frameworks (e.g. the Excise Act defines alcoholic beverages as ≥1.1% ABV)
- Global Market Disconnect - Canada’s divergence from global norms creates trade barriers and limits the export potential of domestic producers.
- Consumer Confusion - Without a <0.5% definition for “non-alcoholic,” consumers lose clarity when making mindful beverage choices.
- Disproportionate Impact on Small Producers - Craft producers who naturally brew below 0.5% ABV, without costly dealcoholization equipment, are disadvantaged by an inability to label their products meaningfully. This limits their market competitiveness and consumer reach.
- Public Health Opportunity - Research shows that no- and low-alcohol products help reduce alcohol-related harm, particularly when used as substitutes in social settings. Canada’s current position undermines its own alcohol harm-reduction goals.
CHFA’s Position
To support innovation, consumer access, and public health, CHFA recommends that CFIA:
- Permit the term “non-alcoholic” for beverages with <0.5% ABV, consistent with global standards
- Require clear ABV labelling - disclosure on the principal display panel for products above 0.05% ABV to ensure transparency and consumer choice.
- Preserve distinctions between “non-alcoholic,” “alcohol-free,” and “dealcoholized” to reflect diverse consumer needs
Why it Matters and What’s at Stake
Canada’s non-alcoholic beverage market is one of the fastest-growing categories in food and beverage, with a projected 7.5% annual growth rate through 2028. Over 80% of brands in this space are brewed to <0.5% ABV, yet current policy risks cutting off these products from using the very term consumers are seeking.
Current CFIA guidance, which restricts the “non-alcoholic” label to beverages with less than 0.05% ABV, creates a confusing regulatory gap. Products brewed naturally to contain between 0.05% and 0.5% ABV, many of which are leading the category's growth, are left without an accurate or recognizable descriptor.
Public health goals are better served when consumers have access to appealing, lower-risk alternatives, yet this policy misalignment limits consumer understanding, harms public health goals, and stifles small producers from participating in Canada’s growing alcohol alternatives sector.
Without modernized labelling, Canadian innovation will stall, consumer health gains will be slowed, and industry growth could be curtailed by hundreds of millions of dollars.
CHFA’s Role and Commitment
As the national voice for the natural health and wellness industry, CHFA is proud to lead on issues that matter to our members and the Canadian public. We will continue to engage with CFIA to support practical, science-based regulations that unlock innovation, improve consumer clarity, and help Canadians live healthier lives.
Email regulatory@chfa.ca or subscribe to our regulatory updates through our Regulatory Report.