Fear of misleading consumers: What kind of milk did you intend to buy?

In the last year there has been a chronic shortage of supervised milk. Each time the reason is different: A malfunction in the production line of one of the factories, damage to the amount of milk that reaches the dairies due to the war, or simply an undeclared reduction of the dairies' production due to economic unviability - controlled milk does not bring in money, like the enriched, natural, low-lactose milk, milk 2 liter, and the abundance of inventions for which you can charge an exorbitant price of around NIS 10 or more.

Usually the difference between the regulated product, which is relatively cheap, and the more expensive products is noticeable. Different graphics and colors, special packaging, everything that can catch the consumer's eye on the shelf and prevent confusion.

However, recently a customer bought some carton milk 3% packages in the blue and white colors of the Golan Dairies, and when she got home she discovered that she had purchased a new product from the northern dairies, 4% milk, for which she paid NIS 9.90, instead of NIS 7.11, the price of the controlled milk which looks the same.

"The products were next to each other on the shelf, and looked exactly the same," she said to Walla. "It's a new product and I had no idea it existed, so I didn't even check, but put it in the cart and paid for it automatically. It's just that the price difference is very significant. Consumers should be aware of its existence and read carefully what's written on the packaging and not get confused, because the two products are the same colors And with the same painting, it feels like misleading the consumer."

Indeed, it is difficult to distinguish between the two packages at a glance, which most of us devote to buying our milk, certainly when the two products are placed next to each other. On the one hand, it is gratifying that the dairies are expanding their product portfolio, in order to increase competition in the market, certainly against the background of the difficulties experienced by the company, but it would be appropriate to make an effort not to fail the consumers.

"It is certainly possible to point out that the similar packaging, bordering on identity, raises a real fear of misleading consumers," says Attorney Hadas Jacobson, CEO of the new Consumer Council. to the market in a way that makes it difficult for consumers."

Golan Ramat Dairies has been operating since 1983 and employs about 100 workers and about 30 contractor workers in the industrial area of Katzrin, an area that has become threatened for the past six months, alongside a logistics center in the Emek Hefer industrial area. In November 2022, after a long period of cash flow difficulties and losses, and accumulating debts of NIS 40 million, the company submitted to the court a request to freeze proceedings.

The application states that the debt accumulated due to low profitability that has eroded over time, along with increases in the company's production costs in raw materials, inputs, manpower and electricity. Since most of its products are regulated, with a low gross profit margin of 3%, it was unable to make them more expensive. The dairy failed in its efforts to find an investor to inject capital, because the marketing chains did not agree to change the terms of the agreements in order to generate profitability for it.

In March 2023, the Zenalkal company, which owns the "Yachin" brand, and is engaged in the production of preserves and vegetables, purchased the Golan Heights dairies, after winning the bidding against Zvika Williger with a higher bid of NIS 33 million. Since then it has become a dominant player in the regulated milk market.

The Golan Heights dairies chose not to respond to our request.