
In a bid to reduce greenwashing and better manage environmental claims, the Canadian government has made amendments to the country’s Competition Act: a law that regulates trade, mergers and marketing practices in Canada.
The changes came into effect on 20 June 2020. They will allow the Competition Bureau – Canada’s law enforcement agency overseeing competition for the benefit of Canadian consumers and businesses – to regulate marketing practices and unsupported environmental claims more effectively.
Under these new regulations, businesses are required to substantiate claims made to promote the environmental benefits of a product or business interest, according to an internationally recognised methodology. These claims must be supported by adequate testing.
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