Food Labelling Rules May Reshape FMCG Strategies

Front-of-pack labelling is becoming an important discussion for India’s packaged food industry. Nestlé’s global CEO Philipp Navratil has supported mandatory labelling for products high in salt, sugar or fat, while also suggesting that food companies should have a say in how the framework is designed. What caught my attention is Nestlé’s argument that nutrition information should consider the portion people actually consume rather than only looking at a fixed quantity in grams. I feel this is worth considering because the normal serving size can vary significantly from one product to another. At the same time, I believe clearer labelling is important for consumers. FSSAI scrutiny of packaged food companies has increased, particularly around misleading or incorrect claims. If regulations become stricter, companies will have to be much more careful about both product formulation and the way nutritional information is communicated. Nestlé India already voluntarily provides front-of-pack information for fat, sugar and sodium on products such as Maggi and larger packs of KitKat and Milkybar. Another thing I noticed is that regulatory scrutiny has not stopped the company from investing in India. Nestlé India has invested around ₹2,830 crore in capacity expansion over the past two financial years. For me, the larger takeaway is that the FMCG industry will have to balance growth with transparency. Consumers are becoming more conscious about what they eat, and I think clear and scientifically designed labelling will become increasingly important.