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New Mexico Advertising Act - FAQ


What is the New Mexico Chile Advertising Act (NMCAA)?

The NMCAA ensures the sale of authentic New Mexico ‘chile pepper’ products. It is unlawful to knowingly or unknowingly advertise and sell a product that can lead a consumer to believe the ‘chile pepper’ contents are sourced from New Mexico.

How do I obtain a copy of the Act and associated Rules?

The Act and associated Rules are available on the New Mexico Department of Agriculture website.

What is a ‘chile pepper’?

"chile pepper" means the fruit from Capsicum annuum, (NMCAA 25-11-2. B.) i.e. Green/Red Chile, Jalapenos, chipotle, bell peppers (red, yellow, orange and green), chile de arbol, guajillo, pasilla, paprika/cayenne pepper, etc.

What is a verification form?

A verification form is a guarantee by the submitter that chile sold as New Mexico chile was grown in New Mexico.

What is the penalty for violation of the Act and associated rules?

Any violations of the Act and associated rules can result in a stop-sale.

Who will be conducting audits of Fresh and Processed Chile Vendors?

The New Mexico Department of Agriculture (NMDA) is empowered to audit the required purchasing and sales records of any vendor coming under the provisions of the New Mexico Chile Advertising Act, Chapter 25, Article 11,  Sections 1 through 4, NMSA 1978. The New Mexico Chile Association will audit its members under an existing Memorandum of Understanding with NMDA.

What are the record keeping requirements under the NMCAA?

1 year. The only exemption under the Act and rules is for growers of under 20,000lbs per calendar year. These growers are exempt from any record keeping requirements.

Do chile growers who produce under 20,000lbs per calendar year still need to submit verification forms to NMDA?

Yes.

If my product’s label contains a Specialty Logo, i.e. New Mexico True (Tourism Department), NEW MEXICO–Taste the Tradition/Grown with Tradition (NMDA Marketing) and/or New Mexico Certified (New Mexico Chile Association), am I subject to submit verification forms with the NMDA?

Yes. Being a member of those programs leads the consumer to believe the contents of the product are sourced from New Mexico and in compliance with the Act and rules.

Can I sell products at trade shows hosted by Specialty Logo programs?

Yes, provided you have submitted verification forms to NMDA prior to the event.

Do Verification Forms expire?

Yes. Fresh and Processed Chile vendor Verification Forms expire annually on June 30.

If I have an existing Verification Form filed with NMDA, do I have to complete a new form to add a product?

Yes.

If my chile supplier is not listed on NMDA’s website, how will that affect me and my product/s?

Your chile supplier will have to submit verification forms. Once they do so, your verification forms can be submitted and processed accordingly.

Does my business have to be in New Mexico to submit Verification Forms?

No. You simply have to source your ‘chile peppers’ from New Mexico if your label indicates as such, (NMCAA 25-11-3 A.).

Do I qualify for a disclaimer statement on my products?

If your business name, brand name or trademark was used in advertising, product descriptions, labels or offers for sale and was established prior to the effective date of the New Mexico Chile Advertising Act; provided that, on and after July 1, 2013, the person, in all advertising, descriptions and labels containing that business name, brand name or trademark, shall include in a prominent location and in a prominent typeface a disclaimer stating “NOT GROWN IN NEW MEXICO” if the product contains chile peppers that were not grown in New Mexico.

If I don’t sell my products in New Mexico, do I need to submit verification forms?

No

My chile product/s contain more than 5% non-New Mexico chile. Is this allowed under the rules?

No. Five percent is the maximum allowable amount.