Capitol Copycat: How Small-State Laws Can Go Full-On Federal

In today’s increasingly complex regulatory landscape, one thing has become clear: a single state law has the power to shift national practices and disrupt even the most sophisticated food brands. While many companies focus on federal guidelines, they often underestimate the speed and significance with which state-level food regulations can reshape the entire market. 

Brands that don’t monitor these legislative changes—particularly those that begin in trendsetting or activist-driven states—face risks ranging from costly reformulations 
to lost shelf space and even legal challenges. 

The State-to-Federal Domino Effect 

While federal agencies like the FDA and USDA are often seen as the primary regulatory authorities, state legislatures have become increasingly active in setting food safety, labeling, and ingredient standards, and their influence extends far beyond their borders. 

Let’s look at some well-known examples: 

• Trans Fat Bans: California was among the first to enact a ban on artificial trans fats in restaurants in 2008. This later influenced national FDA action in 2015, which led to a full phase-out of partially hydrogenated oils. 

• GMO Labeling: Vermont’s 2016 GMO labeling law served as the catalyst for the first federal law requiring disclosure of bioengineered foods. 

• Animal Welfare Standards: Massachusetts and California enacted laws requiring cage-free production for eggs and humane treatment for other livestock, eventually influencing national supply chain standards and retailer requirements. 

• PFAS Restrictions: Maine became the first state to ban Per- and Polyfluoroalkyl Substances (PFAS) chemicals in food packaging, prompting other states and retailers to evaluate their own chemical safety protocols. 
• West Virginia’s Food Dye Act: Most recently, West Virginia passed legislation limiting synthetic food dyes (e.g., Red 40, Yellow 5) due to emerging health concerns. It is now taken up by the state of Texas with similar legislation, is included as part of the MAHA (Make America Healthy Again) Initiatives, and will most likely be making its way to Congress in various acts. Yet another example of state adoptions launching nationwide reform.    

The key takeaway? State-level policy is no longer siloed; it’s the spark for federal and industry-wide change.  

Global Influences: When International Policy Starts Conversation 

In addition to state-led legislative initiatives, global food safety and chemical regulations are influencing U.S. manufacturers and retailers—especially in export-sensitive sectors. Whether through trade requirements or international public pressure, American food brands are increasingly adapting to meet stricter international standards. 

Here are a few examples where global momentum is setting the tone:  

• Titanium Dioxide (TiO₂): Already banned in the European Union for use as a food additive due to potential genotoxicity concerns—meaning it can damange DNA and lead to genetic mutations—this whitening agent remains under scrutiny in the U.S. As retailers begin to remove it from their private label products, U.S. brands that export or co-manufacture globally are following suit. 

• Ethoxyquin: This synthetic antioxidant—commonly used as a preservative in animal feed and pet food—has been restricted or removed in several international markets due to concerns about its long-term safety. Regulatory pressure abroad has pushed many U.S. pet food brands to proactively phase it out. 

• Silicon Dioxide: Permitted in many jurisdictions as an anti-caking agent, Silicon Dioxide’s use is now being challenged by some clean-label advocates and regulatory bodies abroad. While still allowed in the U.S., European and Asian markets are pressuring companies to justify or limit its use in consumables. 

• BPA & PFAS Chemicals: Canada and the EU have already banned or tightly regulated Bisphenol A (BPA) and PFAS in food contact materials. As a result, many U.S. brands are accelerating their packaging innovation and transitioning away from these substances even before federal mandates catch up.  

The ripple effect? When one region bans or limits a substance, multinational brands often reformulate across all markets for efficiency, compliance, and brand integrity. This puts pressure on domestic-only brands to evolve sooner rather than later. 

The Hidden Cost of Waiting 

Brands often delay action on new state or international standards until they are forced to comply, usually occurring at the federal level. This passive strategy can lead to significant costs, such as reformulation expenses, packaging and labeling redesign, operational disruption, reputation risk, and  legal exposure. 

And with compliance windows shortening and enforcement increasing, the “wait-and-see” approach is no longer viable. 

Why “We Don’t Sell in That State” Isn’t a Strategy 

Even if a brand does not actively sell in each state or country, e-commerce platforms, third-party retailers, and distribution hubs often make products available far beyond a brand’s intended reach.  

Once a regulation is passed in a major region, national retailers often adjust sourcing standards across the board, turning what seems like a local rule into a de facto national requirement. 

Proactive Strategies to Stay Ahead 

The most resilient food companies have shifted from reactive to proactive compliance. Here are the key actions industry leaders are taking: 

1. Monitor State and Global Legislative Trends: Build internal or third-party systems to actively track state, federal, and international regulatory developments. Don’t wait for a cease-and-desist letter to find out your ingredients are banned somewhere.
2. Standardize to the Highest Common Denominator: Where practical, align formulations and labeling with the strictest regulatory environment your product may encounter. This simplifies manufacturing and reduces risk exposure. It may mean an extra cost upfront, but can save millions on future reformulation and recall scenarios.
3. Integrate Regulatory into Core Business Functions: Regulatory affairs shouldn’t be a last-minute stop before launch. In leading companies, compliance professionals sit at the table with R&D, procurement, marketing, and QA. Cross-functional communication ensures regulatory limitations are baked into innovation and supply chain decisions from the start.
4. Participate in Trade Associations: Many trade groups are actively involved in lobbying, education, and setting industry standards. Membership can provide an early warning system, access to experts, and sometimes influence in how rules are written or interpreted. If your business doesn’t have a seat at the table, it’s likely on the menu.
5. Conduct Regular Preemptive Audits: Waiting for a regulator or retailer to discover a misstep is a dangerous strategy. Proactive, independent audits of your labeling, sourcing, and ingredient documentation will not only keep your team sharp but offer evidence of due diligence should issues arise later. This is especially important for claims like “natural,” “GMO-free,” “no artificial colors,” or “Made in the USA”, which are frequent targets of consumer litigation.

Building on these, businesses should incorporate flexibility into their operational strategy. Develop a Plan B for ingredient sourcing, identify co-packers who are pre-approved in multiple jurisdictions, and invest in technologies (such as E-beam or high-pressure processing) that enable cleaner labels and longer shelf life while reducing food safety risks. 

A Call to Action: Plan Now, Not Later 

The evolving regulatory landscape shows no signs of slowing. Brands that treat state and international legislation as afterthoughts risk being caught off guard, paying more in rushed reformulations, emergency PR, and legal cleanup than they could have spent on early planning.  

Food and pet food brands must now treat compliance as a dynamic, global, and cross-functional priority. What happens in California, Maine, or West Virginia may soon echo in Washington, D.C., and what happens in Brussels or Ottawa might already be reshaping supply chains behind the scenes. 

By building a proactive compliance culture, companies will not only protect themselves against disruption, but they’ll also position themselves as market leaders in transparency, safety, and consumer trust. 

BSM Partners can help brands design systems that keep them “in the know” about important state and federal regulations.  Our experts can further be resources for sourcing ingredients, providing first-in-class strategies for compliance with new laws, and redesigning your business model when necessary. We are thought partners and can provide industry-wide guidance on various fronts as well as recommend when best to pull the trigger on necessary pivots. 

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About the Author

August Konie has been a Food Safety, Quality and Regulatory Professional for over 30 years. He was worked in many sectors of the food industry including fisheries, beverages, poultry, pork and pet food, under both FDA and USDA regulatory oversight. As an active committee member in various trade organization for food and pet food organizations, he was successful of implementing new regulatory guidance. He has worked with various teams across Asian, Europe, North and South American on various food safety, quality and import/export concerns. He currently serves as the Principal of BSM Assurance overseeing FSQAR activities at BSM Partners.