The Cosmetic Compliance Report highlights the trends and concerns for the cosmetic industry globally in 2019. The cosmetic industry is poised to see a 7% annual growth over the next five years and is expected to reach a marketing value of more than $800 billion by 2023. 

As the industry grows and welcomes news entrants, it is more important than ever for cosmetic stakeholders to comply with the latest regulations regarding ingredients of concern, such as allergens, parabens, and residual toxins. 

Cosmetic Compliance Regulation Challenges:

• International Regulations: Cosmetic companies have to continuously stay up-to-date on new and rapidly changing international regulations. 
• Claims Substantiation: It is difficult in today's regulatory climate to write truthful claims supported by adequate scientific evidence with no formal definition for 'natural' cosmetic products. 

Investment Priorities over the Next 18 Months:

• Testing: California's Cruelty-Free Cosmetics Act, passed a bill on 31 August 2018, banning the sale of any beauty products tested on animals. Brands have until 1 January 2020 to adopt cruelty-free practices.
• Investing in Labeling and Packaging: A facts table is required alongside risk information, which should be clearly displayed and expressed in plain language. This is intended to better support customers in selecting and safely using a product. 
• Regulatory services: Independent brands are more capable of using software solutions to help keep them compliant, while larger organizations traditionally have a harder time integrating compliance service solutions.

Global Export Activity and Corresponding Challenges: 

• European Union: Presented the biggest challenge for compliance. This is because 50% of providers are focused on exporting to the European Union. 
• China: Is the largest hurdle in exporting as China is steadily doubling in cosmetic growth. 

To read the full report, please following this link.