Australia's food safety authority decided to allow the voluntary addition of fluoride into packaged water today after lengthy appeals by the Australasian Bottled Water Institute.

Bottled water companies argued that lifting restrictions would increase consumer choice.

It is understood several will now move to include the chemical, which boosts dental health, in their products. The first bottles will hit shelves in less than six months.

Meanwhile, fluoride is expected to be added to the Bellingen shire water supply shortly.

General Manager, Mike Colreavy said testing and commissioning of fluoridation equipment was delayed by flood. “It is now expected to be completed in July.”

“It relies on the availability of specialist staff from Department of Water and Energy being available for final approval before it will be switched on,” Mr Colreavy told the Courier-Sun.

Anti-fluoride advocate Keith Oakley denounced the move to add fluoride to bottled water, saying it would make it harder for him and his colleagues to access water.

He said the move would also backfire.

"If they want to put fluoride in there, then that's their problem. But bottled water sales will go down," he said.

"It's a bit disappointing but at the very least it should be labelled so I can still buy non-fluoridated water."

Mr Oakley is a resident of Geelong where the most recent fluoride battle took place last month. He said the options available to opponents of fluoridation were getting smaller.

Since the introduction of fluoride into tap water last month, he has been buying bottled water and is trying to install a rainwater tank at home.

The Bottled Water Institute, which has been advocating fluoridated bottled water since 2006, said its campaign was driven by a need to offer customers with non-fluoridated water supplies a choice.

"We're expecting any sort of negative response to be limited ... but ultimately the market will sort itself out," chief executive Geoff Parker said.