FSSAI Fines Marico ₹1 Lakh for Misbranding Case Linked to 2016 Incident

The Food Safety and Standards Authority of India (FSSAI) has fined FMCG major Marico Limited ₹1 lakh for alleged misbranding of some product samples, in a case that dates back nearly a decade. The order, issued under Section 52 of the Food Safety and Standards Act, 2006, relates to a 2016 incident where certain products sold at a retail outlet were found to have labelling inconsistencies. The final decision was made on 30 July 2025, and the penalty order was issued in October 2025.

Marico Confirms Receiving the Order

Marico confirmed receiving the FSSAI order in a stock exchange filing under SEBI’s disclosure regulations. The company stated that the penalty of ₹1 lakh was imposed due to alleged misbranding of a few products, and it intends to appeal against the order at the appropriate forum. Marico also clarified that the issue is old and procedural, and it will not affect its financial or operational performance.

Industry Views on the Penalty

Experts see the move as a symbolic but important step by FSSAI to tighten food labelling and advertising standards. Although the penalty is small, it reflects the regulator’s strict approach toward ensuring accuracy in product packaging, ingredient lists, and claims. In recent years, FSSAI has increased inspections and enforcement actions against several major brands in the food and beverage sector. A food law consultant explained that Section 52 covers cases of false or misleading branding, even if the error is minor such as an incorrect nutritional value or image.

FSSAI’s Stronger Oversight

Under the Food Safety and Standards (Packaging and Labelling) Regulations, 2011, companies must provide clear and accurate details on ingredients, manufacturing dates, allergens, and health claims. With rising consumer complaints about false or exaggerated claims, FSSAI has become more active in enforcing these rules. In today’s health conscious market, transparency is essential. When a leading company like Marico faces such action, it reminds all food brands to review their labelling and compliance practices as noted by a former FSSAI official.

Marico’s Response and Broader Context

Marico, known for popular brands such as Parachute, Saffola, Livon, and Nihar, stated that it follows all regulatory standards and will consider legal action against the order. The company also highlighted that the issue has no impact on its core operations. The penalty comes soon after Income Tax Department raids at Marico’s offices and factories. The company said it fully cooperated with the authorities and maintained that its business continues as usual.

A Sign of Tighter Regulation Ahead

Analysts believe this development marks a new phase of assertive regulation by FSSAI. With upcoming amendments to the Food Safety Act and the rollout of GST 2.0, which introduces stricter compliance measures, food companies could face more frequent checks and audits. FSSAI is moving from being just a licensing body to becoming an active watchdog for food safety said an industry expert. The message is clear there will be zero tolerance for misbranding or misleading food claims.

🎖️ Food Technology Training Course
ISO 22000:2018 Internal Auditor Training

Date : 27 to 31 October 2025
Time : 7 PM to 10 PM
Fee : Rs. 3000

Click here to apply

 

To get regular Food Industry updates, feel free to join our WhatsApp group: Joining link