The Delhi High Court has granted interim relief to Dabur India Ltd by staying an order from the Food Safety and Standards Authority of India (FSSAI) that was issued on August 3. This order directed the company to cease the sale of various food products that displayed claims such as “100% Pure”, “100% Natural”, and “100% Organic”. The court noted that such a directive should not have been issued without first giving the company an opportunity to respond.

Arguments Presented by Dabur

Dabur’s writ petition challenged the FSSAI’s August order, stating that several of its products had been sold under the same labels for many years. The company argued that the Designated Officer who issued the prohibitory order lacked the authority to do so without following due process. According to Dabur, the FSSAI did not provide prior notice or a show-cause opportunity, which it deemed a violation of principles of natural justice.

During the proceedings, Senior Advocate Sandeep Sethi, representing Dabur, asserted that the FSSAI’s action was primarily based on the usage of the term “100%”. He highlighted that the products in question had been part of the market for decades without any issues. The court, in its observations, deemed that a prima facie case existed supporting Dabur’s request for interim relief, as the order appeared to be issued without proper hearings.

Several products, including Dabur Honey and Dabur Cold Pressed Sesame Oil, were cited in the FSSAI order as needing withdrawal due to allegedly misleading claims. The court’s decision to stay this order has put a temporary halt on these prohibitory measures, allowing Dabur to continue selling its products while the case is deliberated further.

Government’s Position and Counterarguments

Counterarguments were presented by Central Government Standing Counsel Ashish Dixit, who opposed Dabur’s plea. He informed the court that an improvement notice had been previously issued to the company regarding its fruit juice products. Dixit also highlighted that another writ petition regarding “100%” claims on Dabur’s Real Fruit Juice products is currently pending in the same court.

In response, Sethi clarified that the earlier notice pertained specifically to fruit juice products and did not cover those mentioned in the recent prohibitory order. He further contended that the gravity of the current situation is distinct, as the FSSAI’s action abruptly halted the sale of multiple products, which could significantly impact the company’s operations.

The court expressed its concern regarding the lack of any emergency justification for the order, as Dabur’s products were not associated with any direct public health threats. The continuous market presence of these products underlines the company’s claim that they have operated within legal bounds.

Future Proceedings and Implications

The interim stay will remain in effect until the next hearing, during which the court has requested the respondents to file their replies to Dabur’s petition. The case raises important questions regarding the regulatory framework under which the FSSAI operates, particularly concerning its authority to impose prohibitory measures without following established legal procedures.

Dabur has stated that it will continue to contest the alleged prohibitory order while it seeks to clarify its standing in the market. The company is also preparing to address the points raised by the FSSAI and maintain its position that the claims made on its products are legitimate and compliant with industry standards.

The forthcoming hearings promise to be crucial for both Dabur and the FSSAI, potentially influencing the regulatory landscape concerning product claims and consumer rights in India’s fast-moving consumer goods sector.

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