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The Hidden Enemy of Your Wallet

Based on the provided text, stretchflation itself is not currently illegal. However,it's operating in a gray area and is subject to scrutiny under consumer protection laws. Here's a breakdown: * Not explicitly prohibited: The text states that "reduflation"…

The Hidden Enemy of Your Wallet

Based on the provided text, stretchflation itself is not currently illegal. However,it’s operating in a gray area and is subject to scrutiny under consumer protection laws. Here’s a breakdown:

* Not explicitly prohibited: The text states that “reduflation” (the French term for stretchflation) is not illegal. Companies have discretion over recipe changes and how they inform customers.
* Subject to Consumer Code: Brands must adhere to the Consumer Code, which prohibits unfair or misleading commercial practices that could influence a customer’s purchasing decisions. This means if stretchflation is deemed intentionally deceptive, it could be challenged.
* Calls for Clarity: Consumer associations are pushing for greater transparency, specifically requiring the display of both old and new prices per kilo/liter, to help consumers make informed comparisons.

in essence: While not outright banned, stretchflation is being watched closely, and companies risk violating consumer protection laws if they are seen as deliberately misleading customers.

About the author: Marcus Liu - Business Editor

MBA and ex‑B bureau chief specializing in global finance and fintech. Marcus speaks Mandarin, Japanese, and English, and has interviewed CEOs from the Fortune 50 to Y‑Combinator unicorns. Marcus Liu delivers sharp analysis on markets, startups, and corporate strategy for investors and entrepreneurs alike.