FSSAI Issues Notices to Lotte, Ferns N Petals Over Labelling
The Food Safety and Standards Authority of India (FSSAI) has adopted a firm approach towards deceptive claims and labeling breaches in food items, sending notices to Lotte India, Ferns N Petals, and Kuber Foods.
The businesses have been instructed to provide their response within a week following the regulator's discovery of multiple cases of non-compliance that might mislead consumers.
FSSAI indicated that if the companies do not offer satisfactory justifications, measures could be taken under the Food Safety and Standards Act, 2006. The regulator stated that the action is intended to safeguard consumer interests and guarantee that food labels offer precise and clear information.
FSSAI states that Lotte India breached several labeling regulations by employing pre-printed labels with old product names without obtaining prior approval. The regulator additionally pointed out that the company's Lotte Choco Pie products featured a "100 percent Vegetarian" label that was deemed misleading. Furthermore, Pepero Biscuit Sticks were discovered to be missing nutritional details in the required format, while Lolly Bliss Lollipops did not meet the standards for vitamin declaration.
The regulator also observed that certain Lotte products had fruit images on their packaging while lacking actual fruit ingredients, leading to a deceptive impression. It was also reported that front-of-pack disclaimers were absent.
The notification to Lotte India Corporation focuses on multiple concerns, including the use of pre-printed labels that are outdated and refer to a previous company name lacking essential regulatory approval.
The FSSAI has raised concerns about certain claims on well-known items such as Lotte Choco Pie, where the '100 per cent vegetarian' label was deemed misleading.
Other items, like PEPERO biscuit sticks, allegedly did not supply required nutritional details, while the 'Lolly Bliss' and 'Fruitz Eclairs' products were noted for discrepancies in vitamin levels and deceptive representations of fruit components. The regulator also observed the lack of required front-of-pack warnings on these products.
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Kubera Foods is being examined for its 'Soft and Fresh Cream Bun Pineapple'. The FSSAI found a discrepancy between the promotional statements asserting the product is '100 per cent natural' with 'no preservatives, colours, or flavours' and the label, which reveals the inclusion of artificial additives and preservatives. Labels such as 'pure,' 'fresh,' and 'natural' on products are rigorously regulated by the Food Safety and Standards Act, 2006, and inconsistencies of this kind are seen as breaches of consumer confidence.
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Ferns N Petals also received a notification concerning its 'roasted almond chocolate'. The regulator indicated that the term 'premium chocolate' could be misleading, highlighting the inclusion of hydrogenated vegetable fat in the list of ingredients. Moreover, the FSSAI pointed out the absence of disclosures related to the Recommended Dietary Allowance (RDA) and an incomplete list of ingredients.
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These notices give the companies a seven-day period to address and resolve the problems before additional enforcement measures are implemented. For both investors and consumers, this scenario highlights the increasing demand on food and beverage companies to guarantee complete transparency in their marketing and packaging.
The FSSAI has become more involved in overseeing claims, especially after comparable measures were implemented against other industry participants such as Heritage Foods. The main aspect for investors to observe will be how these firms handle their packaging stock, revise their marketing messages, and if these regulatory announcements result in any short-term supply chain issues or extra compliance expenses. Subsequent orders or penalties from the FSSAI after these notices will be the next key update to monitor.