Only 19.5% whole wheat, 52% maida: CCPA slaps Rs 1 lakh fine on biscuit company

On August 28, the Central Consumer Protection Authority (CCPA) imposed a fine of Rs 1 lakh on a biscuit company for falsely labeling its products as "whole wheat." The company, known for its "whole wheat Marie Biscuits," had only 19.5% whole wheat in its composition, with the remaining 52% being refined flour, known as maida. The CCPA's Chief Commissioner Nidhi Khare and Commissioner Anupam Mishra determined that the misleading representation was based on the prominent use of "whole wheat" on the product packaging, despite the disclaimer stating otherwise.

The agency noted that consumers typically rely on clear and unambiguous labels to make informed purchasing decisions. The CCPA concluded that the small, inconspicuous disclaimer was not enough to counterbalance the bold labeling, which led consumers to believe the product was primarily whole wheat. Following a thorough investigation, the agency concluded that the company's marketing practices constituted misleading advertising and an unfair trade practice, warranting the penalty and directives to cease such marketing immediately.