FIVE of the world’s biggest food manufacturers are to start a huge advertising campaign in an effort to defeat government proposals for “traffic light” labelling of food.

Kellogg’s, Danone, Kraft, Nestlé and Pepsico plan to promote their own rival labelling scheme instead.

The move is certain to put the industry on a collision course with the government and the Food Standards Agency.

Food manufacturers believe that they are being made scapegoats for Britain’s obesity epidemic and are frustrated by what they see as a lack of understanding in government.

In July, Tony Blair warned the industry against rejecting the traffic-light system advocated by the Food Standards Agency and food campaigners.

“We are encouraging the industry to adopt the Food Standards Agency’s clear system for labelling. We are prepared to act if the voluntary system does not work,” the prime minister warned.

But the big five manufacturers have drawn up plans for an unprecedented joint campaign that will promote the industry’s rival scheme, which tells consumers what percentage of their “guideline daily allowance” (GDA) of sugar, fat and salt is contained in a product.

The five produce many foods and drinks that children like, such as breakfast cereal, yoghurt and Pepsi. Unilever, which makes Flora margarine and Hellmann’s mayonnaise, and soup firm Campbell’s are also believed to be backing the idea.

The television and press campaign is being co-ordinated by the Food and Drink Federation, although the five manufacturers will provide most of the funding. Details are still being finalised, but industry sources believe it could be launched within weeks.

Traffic-light labels appear to have a big affect on consumer behaviour. The Sunday Times revealed in April that J Sainsbury — which has introduced the traffic-light scheme on some of its own-label products — had suffered a 40% fall in sales of chicken madras since the introduction of labelling. Other ready meals also had sharp declines.

But the food manufacturers claim that their GDA scheme is more popular with customers. “We think we have a better alternative that helps consumers to make sensible choices about what they eat,” said Julian Hunt, director of communications at the Food and Drink Federation.

However, the Food Standards Agency and food campaigners argue that GDA labelling is too confusing for consumers.

Traffic-light labelling — which gives red, amber or green traffic lights for levels of sugar, fat and salt content — is much better understood and effective, said the agency.

Plans for the GDA campaign could also cause a row within the food industry. A number of smaller food manufacturers and Food and Drink Federation members are understood to have worries about the campaign, which they fear could antagonise the government.

Many food manufacturers — alongside Tesco — have backed GDA labelling. But Sainsbury, Waitrose, Asda and the Co-operative Group have decided to support the traffic-light scheme.

The GDA campaign marks a big departure for the industry which has, to date, preferred to raise its concerns in private.

Times Recommends

• C&G axed - 1,660 jobs to be lost
• UK house prices rise 1.1% as buyers return
• Mixed reaction to US banks repaying bailouts