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Ankush

4th Aug · SEBI-Registered Analyst

DABUR

Shares of FMCG major Dabur India declined 2.42% to ₹415.50 on Tuesday after the Food Safety and Standards Authority of India (FSSAI) barred the company from selling several food products carrying allegedly misleading "100%" claims. The regulator directed Dabur to immediately discontinue the sale of products featuring such claims, including honey, cow ghee, apple cider vinegar, virgin coconut oil, sesame oil, coconut water and coconut milk. According to FSSAI, labels such as "100% Natural", "100% Pure", "100% Purity Guaranteed", "100% Organic" and "100% Tender Coconut Water" are ambiguous, unverifiable and likely to mislead consumers. FSSAI also raised concerns over Dabur Himalayan Organic Apple Cider Vinegar and Dabur Organic Honey for displaying the Jaivik Bharat logo without a valid FSSAI organic endorsement. In addition, Dabur Hommade Coconut Milk was marketed with a "100% Purity" claim, which the regulator said is not permitted for compound foods under the Food Safety and Standards (Advertising and Claims) Regulations, 2018. The food regulator said it had previously issued a notice directing Dabur to withdraw the disputed claims, but found the company's corrective measures to be inadequate. It has now asked Dabur to submit an Action Taken Report within 15 days. The move is part of FSSAI's broader crackdown on misleading food labels and advertising claims. In a similar action, PepsiCo India recently removed the word "energy" from new cans and bottles of Sting after the regulator stopped recognising "energy drinks" as a separate product category. The company is also revising its packaging and marketing material, including promotions linked to its Formula One sponsorship, to comply with the updated regulatory requirements.

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