Now, food products need to seek approval from government-promoted FSSAI

Ratna Bhushan, ET Bureau Jan 29, 2013, 06.12AM IST

NEW DELHI: Probiotic ice-cream, digestive biscuits or low-sugar jams may be flying off retail shelves, butfood companies are no longer being allowed to sell new products without taking approvals from the government-promoted
 Food Safety & Standards Authority of India (FSSAI).According to a new and modified FSSAI advisory issued to all food companies last month, any new or existing product which is 'proprietary' - in other words not classified in the food act - will need to follow a regulatory 'new product approval' guideline, as laid down by the FSSAI. Even if food companies announce the ingredients on packs and in advertising, they will still need approvals

According to guidelines, makers of all proprietary products will now have to submit applications to the central government for approval and can launch only after all the necessary approvals have been obtained.

For example, while cheese and butter are standard products, a low-fat ice-cream or dessert would be classified as proprietary. Another example -- if the existing food law states that fruit-based jam can be made only with a specific amount of sugar, and if a company chooses to add more or less sugar than what is specified, the product becomes proprietary. Food companies say the move will delay new product development and product innovation, though it will help in filtering out incorrect product claims.

Piruz Khambatta, chairman of beverage concentrate and powder maker Rasna, called it a step backwards. "Such guidelines did not exist in the past... We welcome regulations but they should be conducive to growth instead of delaying both new product development and innovation - which is so important when the market is so competitive," Khambatta said. Till now, proprietary food products could be approved at the state level, but with the new guidelines in place, companies need to seek approval from the central food authority.

RS Sodhi, MD of dairy giant Gujarat Co-operative Milk Marketing Federation, which makes the Amul brand of milk, cheese, butter and ice-cream, said: "It's a good move from the consumer's point of view... when you deal with food products, you have to be very sure of the claims you are making. But it's also true that this may delay new launches."

The move comes at a time when functional foods are growing at a rapid pace. While categories like muesli are growing at 40% a year and are estimated at 100 crore, the 200-crore-plus oats market is growing at about 30%.

"We are applying for fresh approvals even for existing products which are not listed in the existing food act," said a top official of a leading multinational food company, requesting not to be named.

FSSAI declined comment on the matter, and an official from the authority said all relevant information had been posted on their website.

The FSSAI has also set up an exhaustive set of guidelines for self regulation in all advertising of foods and beverages, along with advertising monitoring agency Advertising Standards Council of India ( ASCI). The guidelines state that ads of foods and beverages making claims like making children taller, helping people lose weight or curing hair-loss will need to prove their declarations scientifically.

source