Court Holds Such Claims Are Statements of Fact, Not Misleading Advertisements; Permits Marketing Without "100% Millets" Claim
In a significant ruling on October 16, 2026, the Delhi High Court, presided over by Justice Amit Mahajan, stayed the Food Safety and Standards Authority of India's (FSSAI) directive that ordered Britannia Industries Limited to remove certain claims from the labels of its biscuits and cookies. The disputed claims include "No Added Sugar," "No Maida," and "No Palm Oil." The court found these claims to be prima facie factual statements rather than misleading advertisements that undermine competitors or influence consumer behavior in violation of the Food Safety and Standards (Advertising and Claims) Regulations, 2018.
The FSSAI had issued a communication dated October 9, 2026, directing Britannia to remove these claims from its packaging. The regulatory authority contended that such claims could imply that the omitted ingredients-sugar, maida (refined wheat flour), and palm oil-are unsafe or inferior, thus misleading consumers and unfairly affecting competing products. This was viewed as a potential breach of Regulations 4(1) and 10(5) governing advertising and claims on food products.
Britannia challenged the communication through a writ petition (W.P.(C) 15649 of 2026), arguing that the claims are truthful factual statements about their products and do not denigrate other manufacturers or manipulate consumer choices. Senior Counsel Mr. Sandeep Sethi, representing Britannia, emphasized that the company's labeling aimed merely to inform consumers about the absence of these specific ingredients.
While Britannia agreed to discontinue the claim "100% Millets" from its packaging, the company sought to continue marketing its products with the claims "No Added Sugar," "No Maida," and "No Palm Oil." The Court agreed with Britannia's stance and stayed the FSSAI's order, allowing the company to continue using these claims on its product labels. However, the Court also took note of Britannia's compliance in removing the "100% Millets" claim and accepted the revised packaging submitted by the company.
The Court issued notice to the FSSAI and directed the parties to appear for further hearing on January 15, 2027.
This judgment underscores the fine balance between truthful product information and regulatory oversight against misleading advertising in the food sector. It reinforces that factual claims about product composition, when not disparaging competitors or creating false impressions, deserve protection under the current regulatory regime.
Bottom Line:
Food Safety and Standards (Advertising and Claims) Regulations, 2018 - Claim on food label such as "No Added Sugar", "No Maida" and "No Palm Oil" held, prima facie, to be a statement of fact and not an advertisement undermining products of other manufacturers or influencing consumer behaviour in violation of regulations - Impugned communication directing removal of such claims stayed - Petitioner permitted to market product without claim "100% Millets".
Statutory provision(s):
Food Safety and Standards (Advertising and Claims) Regulations, 2018, Regulations 4(1), 6(1), 10(5)
Britannia Industries Limited v. FSSAI, (Delhi) : Law Finder Doc Id # 2999342