The Food Safety and Standards Authority of India (FSSAI) has told the Delhi High Court that PepsiCo marketed its Sting Energy and Adrenaline Rush beverages as “energy drinks” despite the absence of prescribed standards for that product category, alleging that the label could mislead consumers.
The regulator made the submission in a 57-page affidavit filed in response to PepsiCo’s challenge to FSSAI’s direction restricting manufacturers from using the term “energy drink” on high-caffeine beverages. The filings, dated October 28, were cited in a report by Reuters.
FSSAI said PepsiCo was aware that its products had to comply with standards applicable to caffeinated beverages but nevertheless marketed them as energy drinks. The regulator described the practice as an attempt to “dupe” consumers and argued that the term amounted to misbranding and misleading representation under the Food Safety and Standards Act, 2006, and related regulations.
The dispute follows a June 30 communication from FSSAI directing PepsiCo not to use “energy drink” as the name or descriptor of any food product. According to the regulator, the communication did not create a new prohibition but sought compliance with existing legal provisions. FSSAI also objected to product claims including “vitalises body and mind” and “helps in general weakness”, saying such language could mislead consumers.
The regulator’s direction required manufacturers to withdraw labels, advertising material and marketing communications using the term “energy” within 90 days. PepsiCo sought an open-ended 12-month extension to use its existing packaging material, but FSSAI opposed the request, citing public health concerns and the need to protect children from impulse consumption of products containing high levels of sugar and caffeine.
Justice Amit Mahajan has stayed the FSSAI order while the legal challenge is considered. The court has allowed companies to exhaust existing stock carrying the “energy drink” label, but restrained PepsiCo from using the term on new batches of its products. The court had also sought FSSAI’s response, and the matter is scheduled to be heard on Friday.
The case extends beyond PepsiCo. FSSAI has also accused Monster Beverage of using the “energy drink” description to mislead consumers. Monster has challenged the regulator’s June decision, arguing that companies were not given prior notice or an opportunity to present their views before the restrictions were imposed. Legal challenges also involve Red Bull, Hell Energy and Reliance Consumer, according to Reuters.
The regulatory action comes as India’s market for energy drinks expands. Reuters, citing Euromonitor data, reported that the market is projected to reach $1.6 billion by 2028, with annual sales growth of 12.6 per cent, ahead of projected growth in the United States and China. FSSAI has raised concerns over the caffeine, sugar and taurine content of such products and their potential health implications.
The Delhi High Court’s next hearing will determine the immediate legal position on the regulator’s restrictions and the use of the “energy drink” descriptor on new product batches.
