FSSAI orders Dabur to halt sale of products with misleading '100%' claims
Synopsis
Key Takeaways
The Food Safety and Standards Authority of India (FSSAI) has issued a prohibition order against Dabur India Limited, directing the FMCG major to immediately cease the sale of food products bearing allegedly misleading claims such as '100 per cent Natural', '100 per cent Pure', and '100 per cent Organic'. The regulator determined that these claims were ambiguous, unverifiable, and likely to deceive consumers, violating the Food Safety and Standards (Advertising and Claims) Regulations, 2018.
What FSSAI Found
The food regulator identified several specific products and claims that fell foul of its standards. Dabur Himalayan Organic Apple Cider Vinegar and Dabur Organic Honey were found to be displaying the Jaivik Bharat logo without a valid FSSAI organic endorsement, allegedly breaching the Food Safety and Standards (Organic Foods) Regulations, 2017.
Additionally, Dabur Hommade Coconut Milk was marketed with the claim '100 per cent Purity' — a label not permitted for compound food products under applicable regulations, according to FSSAI.
A Repeated Violation
Notably, FSSAI stated that it had previously issued a notice directing Dabur to discontinue the misleading '100 per cent' claims, but the company did not take satisfactory corrective action. The prohibition order is thus an escalation, signalling that the regulator's patience with voluntary compliance has run out. This pattern — initial notice followed by a harder enforcement action — is consistent with FSSAI's stated policy of progressive enforcement against repeat non-compliance.
What Dabur Must Do Now
Under the prohibition order, Dabur is required to immediately stop selling all identified products and submit an Action Taken Report (ATR) within 15 days. The company has not yet issued a public statement in response to the order, according to available reports.
Market Impact
Shares of Dabur India fell more than 2 per cent to ₹414.60 per share on the BSE in morning trade on 4 August, hitting an intraday low. The stock has a 52-week low of ₹401.05 and a 52-week high of ₹576.80. The FMCG counter has declined over 20 per cent in the past year and has shed nearly 30 per cent over the last five years, reflecting broader pressure on the company beyond this regulatory development.
The FSSAI action adds fresh reputational and operational risk to a stock already under significant medium-term pressure, and investors will be watching Dabur's ATR submission and any product reformulation announcements closely in the weeks ahead.