Nestle has announced the new names for its Allen’s Red Skins and Chicos lollies are Red Ripper and Cheekies.
The company said in June it would change the names of the popular confectionery products due to the overtones being “out of step” with its values.
Redskin is a slur used to describe Native Americans, while chico can be a stereotypical term for Latin Americans.
“Nestle has an unwavering commitment to upholding respect for our friends, neighbours and colleagues,” Nestle General Manager Confectionery, Chris O’Donnell said.
“We hope Australians will support the evolution of these two much loved lollies – while the names are new, the lollies themselves remain unchanged.
“We will keep pack changes simple to help lolly lovers find their favourites easily.”
The new packs will be available in early 2012.
The move follows similar decisions by a number of multinational companies in light of recent racial inequality debates.
In June, Uncle Ben’s Rice in the US announced it would be changing its brand to remove racial stereotypes.
The same week cheese brand Coon said it will also change its name in a bid to help “eliminate racism in all its forms”.