Nestle India has rejected a recent media report about alleged legal action by the Food Safety and Standards Authority of India (FSSAI) over its baby formula products, calling the report “factually incorrect”.
Nestle issued the clarification on September 18, 2026, after receiving a query from the stock exchanges regarding a news report published on Moneycontrol the same day. Nestle India said its products, including NAN Excella Pro and Lactogen Pro, comply with applicable regulations.
“Our products are fully compliant with all the applicable regulations. The said products (i.e., NAN EXCELLA PRO & LACTOGEN PRO) and their labels were approved by the expert committee of FSSAI,” it said.
The company further informed that it had submitted a detailed response to the authorities regarding statements appearing on the product labels. According to Nestle India, these statements were factual and supported by scientific literature.
Nestle India issues clarification
Nestle India also reiterated its compliance with regulations covering product labels and declarations. It also said it would continue working with FSSAI on consumer awareness.
“We confirm to adherence of all regulations including all norms and label declarations as per applicable laws. We will continue to work closely and support FSSAI in its efforts towards consumer awareness,” said the firm.
The company further pointed out that all material information that could have an impact on its operations or performance had been disclosed to the stock exchanges in accordance with Regulation 30 of the SEBI Listing Regulations. Nestle India stated that such disclosures had been made regularly, accurately and in a timely manner.
Furthermore, responding specifically to the exchange’s query on whether there was any undisclosed information that could explain movements in the company’s shares, Nestle India said it had no such information to report. The company also said the reported news item had no material impact on the company.
Nestle India also reiterated its compliance with regulations covering product labels and declarations. It also said it would continue working with FSSAI on consumer awareness.
What’s FSSAI baby formula controversy
FSSAI had taken regulatory action against Nestle India after identifying multiple compliance issues involving its infant nutrition products. The regulator filed three adjudication cases concerning Infant Nutrition, NAN Excella and Lactogen.
The action followed an examination of the products and their promotional material listed on e-commerce platforms. FSSAI found that NAN Excella Pro Stage 1 carried claims about “5 HMOs” and “Whey Protein”, while Lactogen Pro 1 promoted Whey Protein as being easy to digest. The regulator determined that these claims breached provisions restricting promotional material for infant foods under the 2020 regulations and the IMS Act, 1992.
Separately, testing of a Nestle follow-up formula sample found its Biotin content below the prescribed level. A subsequent re-analysis by a referral laboratory also found the sample did not meet the required Biotin standard.
FSSAI said the findings formed part of its broader food-safety enforcement measures. Following the product and laboratory findings, it proceeded with three separate adjudication cases against Nestle India.
Why FMCG stock declined?
Nestle India remained under pressure on Friday, with the FMCG major’s stock settling 1.4% lower at ₹1,353.10 after the FSSAI launched legal action over multiple food safety violations. The regulator filed cases regarding three products, following laboratory tests failing to meet Biotin requirements.
The recent performance has been mixed depending on the time frame. The stock has slipped 3% in the past week and 8% over the last month, while its decline over four months stands at 4%.
Looking at the longer term, however, the stock has retained gains. Nestle India is up 11.5% over six months and has advanced 11% in the past year. Over a five-year period, the stock has delivered a 33% return.
The stock’s 52-week trading range has been between ₹1,145.10 and ₹1,553. It touched the lower end in October 2025 and reached its 52-week peak in August 2026.
Why it matters to consumers?
The FSSAI action matters to consumers because the products under scrutiny are infant nutrition products, making questions around their composition and claims. The regulator examined NAN Excella Pro Stage 1 and Lactogen Pro 1, flagging claims related to “5 HMOs”, “Whey Protein” and the digestibility of whey protein.
More importantly, FSSAI separately found a sample of a Nestle follow-up formula to be below the prescribed Biotin requirement. A second analysis by a referral laboratory also found the sample non-conforming with the required Biotin level.
For consumers, the episode highlights why accurate nutritional information and regulated claims matter when choosing infant food. At the same time, the proceedings should not be interpreted as a blanket finding that all Nestle infant products are unsafe.
FSSAI has initiated adjudication proceedings, while Nestle India maintains that its products comply with applicable regulations and that the labels in question had been approved by an FSSAI expert committee.
Disclaimer: This story is for educational purposes only. Please consult with an investment advisor before making any investment decisions.
