Reliance sues India's food regulator over 'energy drink' label ban
BENGALURU: Mukesh Ambani’s Reliance Industries has sued India’s food regulator for barring it from marketing its Campa-brand products as “energy drinks”, non-public court filings show, the latest beverage maker to challenge the labelling crackdown. The writ petition, dated October 1 and reviewed by Reuters, targets a June 30 order from India’s food safety regulator directing makers of…
Mukesh Ambani's Reliance Industries has filed a lawsuit against India's food regulator for prohibiting the company from labeling its Campa-brand products as "energy drinks", according to recent court papers. The lawsuit, dated October 1, challenges a June 30 directive from India's food safety regulator that ordered manufacturers of high-caffeine beverages sold as "energy drinks" to stop using the term.
PepsiCo and Monster Beverage also sued the regulator over the ban, while Red Bull obtained a court stay to continue using the label. The regulatory crackdown is part of India's broader food safety initiative this year, which includes seizures, shutdowns, and new warning-label requirements. Reliance Consumer Products Ltd, the beverages division of Reliance, claims the actions have caused significant disruption to its business operations and are detrimental to its market presence and commercial goodwill.
The Food Safety and Standards Authority of India (FSSAI) has not yet commented on the matter. Reliance revived the Campa brand in 2023 and has leveraged its retail network and competitive pricing to challenge market leaders Coca-Cola and PepsiCo. The ban on labeling threatens Reliance's expansion plans in India's rapidly growing energy drinks market, where retail sales are projected to rise by 12.6% annually, surpassing growth in the US and China, as reported by Euromonitor.
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