Delhi High Court stops FSSAI from acting against Emami for using "Healthy & Tasty" mark for edible oils

The Delhi High Court on Thursday restrained the Food Safety and Standards Authority of India (FSSA) from taking any precipitative action against Emami Agrotech over the branding and advertising of its edible oil products sold under the “Emami Healthy & Tasty” brand.

Justice Amit Mahajan passed the order after giving a prima facie finding that the notice issued by the FSSAI indicated no reasons as to how Emami's use of the term “Healthy & Tasty” was misleading. 

The Court said that the matter will be heard next in February. 

Justice Mahajan passed the order after Emami approached the Delhi High Court challenging a show-cause notice issued by the FSSAI on June 5. 

It also challenged a subsequent letter issued by the food regulator on July 17 directing food safety commissioners across states and Union Territories to take enforcement action against listed food business operators, including Emami.

The company argued that the show-cause notice alleged that labels on and advertisements of products such as sunflower oil and kachchi ghani (cold pressed) mustard oil could mislead consumers and violate food advertising and labelling regulations.

Emami submitted its reply on June 23. However, no decision on this reply was communicated, Emami alleged, before the FSSAI's subsequent letter was issued on July 17.

The company contended that the FSSAI's directions were arbitrary and unlawful, as they were issued without an independent assessment of its products, consideration of its reply or an opportunity of hearing.

Emami further claimed that State authorities had initiated proceedings against it based on the letter, violating its fundamental rights under Articles 14 and 19(1)(g) of the Constitution.

“The Impugned Letter issued by Respondent No. 4 has resulted in several authorities across various state and union territories initiating proceedings (sometimes at their whims and not in accordance with law), issuing orders and/or take other actions against the Petitioner, in relation to its business and products, purportedly on the basis of the Impugned Letter,” Emami argued. 

Senior Advocate Sandeep Sethi argued Emami's case. He was briefed by Shardul Amarchand Mangaldas & Co Partners Smarika Singh and Saifur Rahman Faridi, Senior Associate Jasneet Jolly and Associate Ridhima Bhardwaj. Advocates Krisna Gambhir, Shreya Sethi and Ritwik Sharma also appeared for Emami.