On 3 August, the Food Safety and Standards Authority of India (FSSAI) barred Dabur India from selling products carrying misleading “100%” claims. Dabur's shares fell 4% the next day, their steepest decline in 20 weeks. On Thursday, the company moved the Delhi High Court seeking an urgent hearing against the latest FSSAI ban.
Separately, Diageo-owned United Spirits has challenged an FSSAI order prohibiting the sale of some of its products in the Bombay High Court.
The regulator's latest actions are drawing companies into court and moving stocks. What's driving the tougher scrutiny? Mint explains.
Has the FSSAI stepped up enforcement recently?
The FSSAI has not introduced any new laws. What has changed is the regulator's approach to enforcement and public communication. It has become more vocal on social media, publicly highlighting violations by companies. In July, the FSSAI urged consumers through its official X account to report unsafe food. Its Food Safety Connect mobile app also allows users to report misleading packaging claims by uploading photographs of product labels.
The heightened enforcement follows months of criticism from health influencers and NGOs, who argued on social media that India's food standards lag those in Europe.
What laws govern food labelling in India?
Food and beverage labelling in India is governed primarily by the Food Safety and Standards Act, 2006 (FSS Act) and its subordinate regulations. The use of the 100% claims contravenes the FSS (Advertising & Claims) Regulations, 2018, as they are ambiguous, unverifiable and likely to mislead consumers.
Product packaging provides the clearest evidence of misleading claims, making labelling violations among the most common enforcement actions by the FSSAI, according to industry experts.
Why has labelling become so important?
Labelling has emerged as a key competitive tool as health-focused products see rapid adoption. According to market intelligence platform 1DigitalStack, sales of protein bars, makhana, healthy chips, nuts and seeds doubled to ₹327.7 crore in Jan-Mar 2026 from ₹154 crore a year ago on quick commerce platforms.
A Redseer report found that two out of three millennials are willing to pay about a 15% premium for cleaner ready-to-eat and ready-to-cook products, increasing the commercial value of health-related claims.
How are companies responding?
Companies are either revising packaging or challenging the regulator in court. In May, clean-label food brand The Whole Truth dropped the "no added sugar" claim from its packaging, replacing it with "sweetened with dates," after receiving an FSSAI show-cause notice. The notice followed a complaint by a rival chocolate brand.
Reports indicate that energy drinks like Pepsico’s Sting are updating labels to avoid health claims on their packaging. Dabur had challenged the FSSAI's earlier directive on its “100% fruit juice” claims in the Delhi High Court in 2025. Following the latest action, the company said it had already begun replacing labels and advertisements carrying the “100%” claim.
On Thursday, Dabur moved the Delhi High Court seeking an urgent hearing against the latest FSSAI ban.
What are the labelling standards globally?
The European Union (EU) and several Latin American countries are considered global leaders in food labelling and consumer disclosure.
The EU enforces some of the world's strictest food safety standards, including tighter limits on pesticide residues. Where a pesticide is not specifically approved, a default residue limit of 0.01 mg/kg applies. The bloc has also withdrawn approvals for certain food additives and closely regulates food colourings.
Latin America has emerged as a global leader in front-of-pack (FOP) warning labels, designed to combat obesity and non-communicable diseases. Several countries have adopted mandatory “high in” or “excess” warning seals for products that exceed prescribed limits for nutrients such as sugar, sodium, saturated fat, trans fat and, in some cases, calories.