FSSAI imposes Rs. 1 lakh penalty on Marico over alleged misbranding

New Delhi: Marico, the FMCG company behind brands such as Parachute, Saffola, Livon, and Nihar, has received an order from the Food Safety and Standards Authority of India (FSSAI) imposing a penalty of Rs. 1,00,000 under Section 52 of the Food Safety and Standards Act, 2006. 

The penalty relates to alleged misbranding of certain product samples at a retail store in 2016, with proceedings conducted by the adjudicating officer on July 30, 2025.

The company said the order has no material impact on its financials or operations and that it reserves the right to file an appeal at the appropriate forum.

FSSAI has in recent years increased inspections and enforcement across packaged foods, beverages, and nutraceuticals, focusing on consumer protection and accurate product labelling. Legal experts note that Section 52 of the Act covers misleading advertisement and misbranding, and even minor deviations in label information, such as nutritional content, expiry dates, or imagery, can result in regulatory action.

“The Food Safety and Standards (Packaging and Labelling) Regulations, 2011, and subsequent amendments require strict compliance on ingredients, additives, manufacturing dates, allergen warnings, and health claims,” said a Mumbai-based food law consultant, as per news report. 

“Accurate labelling is central to consumer protection, and enforcement actions remind companies of this obligation.”

Marico described the matter as procedural and reaffirmed that its manufacturing and quality control practices comply with regulatory standards. The order comes amid broader scrutiny of the company, including recent Income Tax Department proceedings, which Marico said do not materially affect its operations.

Industry analysts suggest that the latest FSSAI action signals a more assertive regulatory phase, with the authority increasingly monitoring compliance across supply chains and product disclosures. 

“FSSAI is no longer content with being a passive licensing body, it is becoming an active compliance enforcer,” said one analyst. “Misbranding and misinformation in food marketing are areas where the regulator expects zero tolerance.”