The Australian federal government has started consultations on free-range age labelling on Monday, Oct. 5, which aims to end the growing confusion over labeling claims.

Australian Food News informed that Small Business Minister Kelly O'Dwyer released a consultation paper on behalf of Australia's consumer affairs minister as a first step towards developing a countrywide and lawfully enforceable free-range egg standard.

Hon. Kelly said she desired to heighten consumer confidence and cast-iron certainty around claims and support producer investment in the growing industry, Gippsland Times informed.

"The problem is that, in some cases, producers represent eggs as free range that are not farmed under conditions that consumers typically expect when they buy them," the paper read. "Some eggs labelled free range have been found to come from hens that either cannot or do not go outside on most ordinary days. It is relatively easy to mislead consumers and there is a financial incentive for producers to do so."

Consumer advocacy group CHOICE has come out in support of the consultations and stated that the paper has sketched quite a lot of options for clearer labelling.

"As the consultation paper shows, an increasing number of Australians are paying a premium for eggs labelled free-range without having any certainty they're getting what they pay for," CHOICE Director of Campaigns and Communications Matt Levey said.

"In the absence of a national, enforceable standard for free-range, it is relatively easy to mislead consumers, and unfortunately there is a financial incentive for some producers to do so. The result is that consumers lose, as do producers of genuine free-range eggs."

The consultation comes after a CHOICE investigation done in June 2015. It estimated that 213 million eggs were marketed as "free range" in 2014 which did not meet the consumers' expectations of the free-range claim.

"Based on consumers expectations, its estimated Australians could be paying between $21 - 43 million per year for eggs that aren't the real deal," Matt said. "It's a rip-off that distorts the market and undermines competition, and that's why it's so important that governments step in and agree a genuine free-range standard that reflects what consumers expect."

Matt also revealed that their research has shown that 84% of egg buyers agree that an obligatory coast-to-coast standard is needed while only 2% did not believe there should be a standard, adding, "Clearly it's time to get cracking."

Meanwhile, NSW Fair Trading Commissioner Rod Stowe encouraged consumers and businesses to have their say. "This is part of an important national discussion which is ultimately designed to provide clarity and consistency regarding the use of free-range egg labelling."

Consultations are open now until the November 2, 2015.