During a major vote this week, European Parliament members decided by a margin of 355-247 to restrict product terms such as "burger" and "sausage" solely for meat products.
Should the measure becomes law, common vegetarian products such as plant-based burgers, tofu steak, and cauliflower schnitzel may need to be renamed throughout EU markets.
Nevertheless, before the restriction to be enforced, it must gain support from a majority of the 27 EU member states, which remains uncertain.
Supporters contend that customers need clear labeling and while meat terms must only describe products derived from animals.
"An escalope and sausages are goods from our livestock: not from synthetic production or vegetable sources," stated France's lawmaker the proposal's author.
Opponents, including Green MEPs, called the decision pointless regulation.
"Veggie burgers, seitan schnitzel and soy sausage don't mislead shoppers, only certain lawmakers," declared Austrian lawmaker Thomas Waitz.
The isn't the first effort to regulate such names. EU lawmakers voted down a comparable prohibition in four years ago.
The French government earlier enacted a national restriction on meat terms for plant-based foods in 2020, but the European court of justice determined it illegal under European legislation in this year.
Major Germany's retailers including Aldi and Lidl object to the proposal, cautioning that changing established names would confuse shoppers.
Advocacy organizations point to research showing that most shoppers comprehend product labels when products are clearly identified as vegetarian.
"Almost 70% of consumers recognize these names as long as items are clearly labelled vegan or vegetarian," noted Irina Popescu, a food policy expert at BEUC.
This proposal next requires consideration by EU member states, where it needs to obtain majority support to become law.
Given the mixed views within various lawmakers and the public, the outcome of this initiative remains uncertain.