Manufacturers will face higher costs to comply with mandatory new labelling rules for Australian food products.
But Industry Minister Ian Macfarlane says those costs will be small and customers appear willing to pay more for labels that tell them where their food is coming from.
The government is considering six options to help consumers easily identify which food products are Australian, or in the case of mixed-source goods how much of a product is produced or processed in Australia.
Mr Macfarlane says labelling reforms are long overdue and ambiguous phrases in current use, such as made in Australia from local and imported produce, mean nothing.
"Consumers have reached a point where they are demanding this information," he told ABC radio on Tuesday.
"We are very mindful that this will add a cost to manufacturing in Australia but consumers are saying they are prepared to pay that cost. It's somewhere between half and one cent per container."
Mr Macfarlane's department is seeking community feedback on the options, via an online survey, before a recommendation is put to cabinet later this year.
The labels have been developed in the wake of the contaminated berries scandal earlier this year.
The minister said legislation to enshrine the new labelling requirements was expected sometime after August.
"It's going to be a new world but consumers want it and I believe Australian farmers deserve it as well," he said.
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