SUPPLIED

Gaia was censured for its "pure, natural, organic" claim.

Gaia Skin Naturals, a producer of baby skincare products, has been fined in Australia for making misleading claims that its products are organic.

The products are also available in New Zealand.

Across the ditch, Gaia has been fined for describing some baby products including a "Natural Baby" bath and body product as pure and organic.

The products contain two synthetic chemical preservatives.

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The company paid a A$37,800 (NZ$40,558) fine after the Australian Competition and Consumer Commission issued the company three infringement notices over the alleged false or misleading claim.

While companies do not legally need organic certification to label their products "organic", ACCC Commissioner Sarah Court said businesses must make sure they are not misleading or deceiving customers with that description.

"Businesses making organic claims must be able to substantiate those claims," she said.

The commissioner said the ACCC was concerned about what a consumer would understand when they looked at the label of a product.

A Commerce Commission spokeswoman said it had received no complaints about the product in New Zealand and was not investigating.

In New Zealand, the Fair Trading Act prohibits false or misleading claims and companies must be able to back up any claims to be organic.

Consumer NZ has previously raised concerns about companies claiming products were organic when only a small component could truly be described that way,

"In the absence of labelling rules, it remains largely up to shoppers to work out whether they're getting organic products that meet their expectations," it said. 

"Consumers could end up paying a premium for goods that fall short of the organic claim on the label as companies try to cash in on growing demand.

 - Stuff