Free range egg labelling is misleading, with some of the most expensive products coming from farms with the highest density of chickens, NSW Fair Trading says.
NSW Fair Trading commissioner Rod Stowe on Saturday said it would push for a national standard that would for the first time provide an enforceable definition of what constituted "free range".
Following a three-month investigation, NSW Fair Trading found the system of classifying eggs was unclear.
"NSW Fair Trading has observed examples of egg packaging imagery that seems inconsistent with the production system used and consumer expectations," Mr Stowe said in a statement.
"Also NSW Fair Trading found some of the highest-priced free range eggs actually have some of the highest stocking densities."
Under the present system, a voluntary model code is co-ordinated by federal and state agriculture and primary industry departments.
But Mr Stowe said the code was not legally enforceable and multiple industry accreditation schemes had led to different interpretations of free range.
Without consistent ground rules, protecting consumers' rights was difficult, he said.
NSW Fair Trading has recommended a binding national information standard be developed that sets a clear definition of free range and enforces minimum labelling requirements.
The decision comes after consumer advocate Choice lodged a "Super Complaint" with the department calling for legislation to lay down what "free range" meant.
While close to 40 per cent of the egg market is free range, Choice said many products labelled as such did not meet the voluntary standard.
"Consumers are confronted with cartons awash with images of solitary chooks standing in sunlit pastures, but there's no guarantee you're getting what you pay for," Choice campaigns manager Angela Cartwright said.
"Even the national egg industry group admits there is huge variation in the stocking densities its own members use for supposedly free range eggs."
