FILE - In this April 7, 2016, file photo Nestle's directors speak in front of the Nestle's logo during the general meeting of Nestle Group, in Lausanne, Switzerland. Nestle has entered an agreement to bring Starbucks products to millions of homes worldwide, announced Monday, May 7, 2018. (Laurent Gillieron/Keystone via AP, File)
India is taking legal action against a sample of Nestle's baby food after the country’s food regulator found it to be substandard, a development closely watched in the Maldives, where these product lines are widely used.
According to the Food Safety and Standards Authority of India (FSSAI), a sample of Nestle's follow-up formula was found to be “substandard with respect to biotin (vitamin B7)”, failing to meet India’s prescribed reference range. A re-analysis by a referral laboratory also confirmed that the sample was non-conforming under Indian infant nutrition regulations.
In addition, FSSAI has filed three separate adjudication cases against Nestle' India over alleged misleading promotional claims on two infant nutrition products, NAN Excella Pro Stage 1 and Lactogen Pro 1. Regulators said the claims relating to “5 HMOs”, “whey protein”, and “easy to digest” breached India’s infant food marketing restrictions under the Food Safety and Standards (Foods for Infant Nutrition) Regulations, 2020, and the Infant Milk Substitutes Act, 1992.
Nestle' India has rejected the allegations, stating that its products are fully compliant with all applicable regulations and that the statements on its labels are factual and supported by scientific literature. The company said the labels were approved by FSSAI’s expert committee, and it has submitted detailed responses to the regulator.
Following the announcement of regulatory action, Nestle's shares in India fell nearly 3 percent, reflecting investor concern in one of the company’s largest global markets. Infant formulas and baby foods are Nestle' India’s biggest revenue category, generating roughly one-third of its USD 2.4 billion product sales in the year ending March 2026.
The move is part of India’s broader crackdown on its USD 100 billion food industry, which includes surprise factory inspections and product testing. Nestle' has previously faced major regulatory action in India, most notably the 2015 temporary ban of Maggi noodles over alleged excess lead levels and labelling lapses.