Cosmetic Industry Increasing Supply Chain Ingredient Transparency

The United States Congress has introduced a bill (H.R. 3622, The Cosmetic Supply Chain Transparency Act of 2023) to amend the Federal Food, Drug, and Cosmetic Act to increase transparency regarding the ingredients used in cosmetic and personal care products. Currently, cosmetic brand owners are not entitled to reliable and accurate information from their suppliers, formulating laboratories,  or the companies that package their products. Access to composition information and cooperation in gaining such information from these parties varies. However, despite limited access to supply chain data, brand owners are ultimately liable for the safety of the final products. Subsequently, brand owners are open to FDA enforcement actions, civil lawsuits, and marketplace reputational damage if safety issues with their products arise.

If passed, the bill will require upstream providers — from fragrance houses and formulating laboratories to contract manufacturers and suppliers of  raw materials and finished products — to  provide cosmetic companies with the following information upon request:

  • Full ingredient disclosure, including ingredient names and chemical identity numbers (Chemical Abstract Service or CAS)
  • Toxicity and safety data for each chemical ingredient
  • Certificate of analysis for raw materials
  • Environmental exposure and fate information
  • Heavy metal testing results
  • Safety data sheets
  • Manufacturing flow charts
  • Composition statements
  • Fragrance allergen statements
  • International Fragrance Association (IFRA) Standards Conformity Certificates

The abovementioned parties must furnish this information to the requesting cosmetic company within 90 days of a data request, or they will be subject to penalties of up to $10,000 per day until the request is completed.