A food regulator's firm deadline could cost beverage makers millions in unsold inventory.
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A food regulator's firm deadline could cost beverage makers millions in unsold inventory.
India's food safety regulator will not give beverage companies more time to remove the term 'energy drink' from high-caffeine beverage labels, a government official said. The Food Safety and Standards Authority of India (FSSAI) privately told companies in July they had 90 days to drop the label, arguing there are no Indian standards for such products.
The regulator has refused industry requests for a one-year extension. The official said this decision was made because many Indian states reported that existing stocks could be sold within 60 to 90 days. Companies like PepsiCo, Red Bull, Monster Beverage, and Reliance have asked for more time, citing millions of cans already in the market or on order.
The government official said the companies had broken regulations by using the 'energy drink' label and 'should be happy' they are not being prosecuted. The official also accused the firms of failing to provide state-by-state inventory data required for traceability. In response, industry sources told Reuters that tallying such large stock volumes across states was difficult.
Some Indian states have already begun seizing the drinks. Last month, the state of Rajasthan seized thousands of cans of Pepsi's Sting, Reliance's Campa Energy, and Red Bull. The food safety office in Ladakh also told Reuters it would be seizing stock as part of an inspection drive.
The beverage companies are asking the central government to stop these state-level seizures. Industry executives recently took their concerns to Food Processing Minister Chirag Paswan, seeking his support.
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In July, the FSSAI privately gave the companies 90 days to drop “energy drink” or any similar description from high-caffeine beverages, saying there were no Indian standards for such products and that using that term breached regulations.
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