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Indian court dismisses government’s claim in Nestlé Maggi case

Indian court dismisses government's claim in Nestlé Maggi case Nestlé Food and Beverage Business

India’s consumer court has recently cleared Nestlé of government allegations of “unfair trade practices” in relation to the lead contamination scandal that shook the Maggi brand back in 2015. The complaint, which was lodged with the National Consumer Disputes Redressal Commission (NCDRC), was officially dismissed on Tuesday (2 April).

The Indian government agency had previously accused Nestlé of processing Maggi oats noodles that did not meet the necessary standards for sale in the country. This led to claims that the products contained harmful levels of MSG and lead, which exceeded the permissible limits under national regulations. In response, the Department of Consumer Affairs demanded compensation from Nestlé totaling Rs2.8bn ($34m) along with an additional Rs3.5bn for “punitive damages”.

Following investigations by the Food Safety and Standards Authority of India (FSSAI) in 2015 confirming excessive levels of lead and MSG in Maggi noodles, a ban on the sale of the product was enforced. However, subsequent tests conducted by the Bombay High Court demonstrated that the samples were negative for high lead content, prompting the ban to be lifted.

Nestlé also reported that tests on Maggi products exported to the US, UK, Singapore, and Australia came back clear. As a result, the company was granted permission to resume production of Maggi noodles in India. Despite this, the FSSAI challenged the court’s ruling towards the end of 2015.

The Maggi range in India includes a variety of products such as flavored instant noodles, masala seasoned oats noodles, instant gravies, sauces, and milk powders.

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