The Delhi high court has granted interim relief to Dabur. The court has stayed the FSSAI order which had directed immediate stoppage of sale of products with claims like ‘100% Pure’, ‘100% Natural’ and ‘100% Organic’.
The bench of Justice Amit Mahajan has issued notices to the Centre and FSSAI seeking their response. The FSSAI’s ban order will remain suspended until the next hearing in the matter.
Questions and answers on this entire matter, the court’s decision, Dabur’s arguments and questions on FSSAI’s action…
Question 1. Which Dabur products did FSSAI ban?
Answer: FSSAI took action against those Dabur products whose labels carry “100% Pure”, “100% Natural” and “100% Organic”. These prominently include Dabur Honey, Dabur Honey Squeezy, Dabur Sundarbans Honey, Dabur Himalayan Apple Cider Vinegar, Dabur Virgin Coconut Oil, Dabur Cow Ghee, Real Active 100% Tender Coconut Water, Dabur Homemade Coconut Milk and Dabur Organic Honey.
Question 2. What was FSSAI’s objection to Dabur’s claims?
Answer: FSSAI stated that the use of claims like “100%” on the label is vague and misleading. The regulator argued that these claims cannot be verified. This creates a possibility of customers receiving incorrect information.
Question 3. Why did Dabur challenge this FSSAI order in court?
Answer: Dabur’s main argument was that FSSAI did not follow the prescribed procedure under the Food Safety and Standards Regulations, 2018. According to Dabur, before taking action, the company was neither issued a show cause notice nor any improvement notice. Without giving the company an opportunity to present its side or provide clarification, a sudden order to stop sales was issued.
Question 4. What shortcomings did Dabur point out in FSSAI’s order on legal and technical grounds?
Answer: Dabur argued that Section 18 of the FSSAI Act, 2006 only sets guiding principles, it does not give any officer the direct right to stop sales. Furthermore, the order did not clarify how terms like “100% Pure” or “100% Natural” violate the rules. The company said that calling single-ingredient or completely natural products “100% Pure” cannot be considered misleading in itself.
Question 5. Has any defect been found in the quality or safety of these Dabur products?
Answer: No, this case is not related to product quality or safety. Dabur clarified in court that FSSAI has nowhere stated in its order that these products are adulterated, unsafe, counterfeit or substandard. This dispute is limited only to the words written on packet labels and advertisements.
Question 6. What impact did this sudden ban by FSSAI have on Dabur’s business?
Answer: Dabur told the court that this order was causing heavy business losses to the company. The situation had arisen to recall existing stock from the market or repackage them. Additionally, FSSAI’s public disclosure of this order on social media and advising online retailers/channel partners to stop sales had an immediate adverse impact on the company’s business and reputation.
Question 7. What will be the market situation after this high court stay order?
Answer: After this interim order, Dabur will now be able to continue sales of all its affected products as before. Online and offline retailers will not stop selling these products. The company will not need to repackage or recall old stock from the market for now.
Question 8. What will happen next? What is the next step in the legal process between FSSAI and Dabur?
Answer: After the Delhi high court’s notice, FSSAI and the central government now have to file their responses. After that, the court will hold the next hearing on Dabur’s petition and will decide whether FSSAI’s order dated August 3 was legally correct or should be completely quashed.
Question 9. What is the significance of this case for the FMCG sector and consumers?
Answer: This case is quite important for FMCG companies from the perspective of regulatory compliance and branding. FSSAI has been taking a strict stance on claims like ‘100%’ and ‘Natural’ for some time now. However, with this step by the High Court, companies have received the right to procedural justice and to present their side. For customers too, it is important to understand that the dispute is not about product safety but about the technical language of labeling.
Knowledge Part: Know what FSSAI’s ‘Claims Regulation’ says?
- Show-Cause Notice Mandatory: According to food safety regulations, if FSSAI has an objection to any product’s advertisement or claim, it must first issue a notice to the Food Business Operator (FBO) to provide clarification.
- Single versus Multi-Ingredient: FSSAI believes that writing ‘100% Pure’ on processed or multi-ingredient food is incorrect, while companies argue that this claim is justified for natural products like honey or pure coconut water.
