Govt response sought on PIL for ban on junk food in schools

Thursday, March 21, 2013,10:27

New Delhi: The Delhi High Court Wednesday asked the city government if it had issued any direction to schools on regulating sale of junk food and aerated drinks in and around their premises even as the Centre said it would come up with guidelines on the issue by July.

Issuing notice to Delhi government on a PIL seeking ban on sale of junk food and aerated drinks in and around schools, a division bench of Chief Justice D Murugesan and Justice V K Jain sought its response by April 17.

"We want to know whether the Delhi government has issued directions to the schools here regarding sale of junk food and carbonated drinks under the Delhi Education Act," the bench said.

Meanwhile, Additional Solicitor General(ASG) Rajeeve Mehra told the bench that the central government would finalise the guidelines by July this year to regulate the availability of junk foods and carbonated drinks within 500 yards of a school.

Earlier, the government had informed the court that the task of framing guidelines on making available quality and safe food in the schools has been assigned to AC Nielsen QRG-MARG Pvt Ltd.

The Food Safety and Standards Authority of India (FSSAI) said that in pursuance of the court`s earlier order; it has given the task to formulate the guidelines to the private firm after inviting proposals from various expert agencies that do similar work.

The report had stressed the need for guidelines saying besides the students studying in public schools, there are more than twelve crore children studying in government-run primary and upper primary schools in the country.

"There are several reported incidents of food poisoning in the schools due to unhygienic food served there," it said adding that hence, it necessitated the framing of guidelines.
In January last year, the court had given six months` time to FSSAI for framing guidelines on banning sale of junk food and aerated drinks in and around educational institutions in the country.

The court had also asked the FSSAI to consult the All India Food Processors Association (AIFPA) and restaurant associations for framing the guidelines.

AIFPA, in its application, had said that it deals with processing of fruits and vegetables, meat and fish, milk and milk products and also the manufacturers of biscuits and confectionery products and may give some precious pieces of advice to the FSSAI.

The court was hearing the PIL filed by Rakesh Prabhakar, a lawyer for NGO `Uday Foundation` seeking a direction banning sale of junk food and aerated drinks in and around schools. 

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F&B companies cannot sell proprietary foods without govt's nod anymore

Monday, March 18, 2013 08:00 IST 
Our Bureau, Mumbai

The food companies will not be able to sell new products -be it digestive biscuits, probiotic ice-cream or low-sugar jams – hereafter without the nod of the health ministry and the country's apex food regulator, 
the Food Safety and Standard Authority of India (FSSAI).

All food companies, which are coming up with new or selling existing products., which is proprietary – in other words, not classified in the Food Safety and Standards Act (FSSA), 2006 – would need to follow a regulatory 'new product approval' guideline, as laid down by FSSAI.

Even if the food companies are announcing the ingredients on packages and in advertising, they would still need approvals, according to the modified FSSAI guidelines issued to all food companies recently.

The new guidelines by FSSAI state that the makers of all proprietary products would now have to submit applications to the Central government for approval, and can launch them only after all the necessary approvals have been obtained.

The food companies are saying that the move will delay the development and innovations of new products, even if it helps in filtering out incorrect product claims.

According to Piruz Khambatta, chairman, Rasna, said, “It is a step backwards. The regulations are welcomed by us, but the regulatory body should be conducive to growth instead of delaying both new product development and innovation, which is so important when the market is so competitive.”

He added, “Till now, proprietary food products were approved at the state level, but with new guidelines in place, the company will now need to seek approval from the central food authority.”

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

When contacted, K Chandramouli, chairman, said, “I would not like to comment on the issue. Everything is mentioned on the FSSAI website.”

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States, UTs urged to issue directions to schools to withdraw junk food

Saturday, March 16, 2013 08:00 IST 
Our Bureau, New Delh

The ministry of health and family welfare, Government of India has requested the chief ministers, the health ministers of all states and Union Territories and the minister of human resources development to issue directions to schools and colleges to withdraw junk food and carbonated beverages from their canteens, and promote healthy eating habits to make children aware of the benefits of consuming fruit, vegetables and whole grains.

In a written reply to a query in the Lok Sabha, health minister Ghulam Nabi Azad said although the term junk food has not been defined under the Food Safety and Standards Act (FSSA), 2006, and Rules/Regulations made thereunder, foods with a high fat, salt and sugar content and with little or no protein, minerals and vitamins are considered as unhealthy foods and belong to the category of fast foods. 

As per Food Safety and Standards (Packaging and Labelling  Regulations, 2011, every pre-packaged food is required to contain on its label a list of ingredients in the descending order and nutrition information, calorie in Kcal, carbohydrate, protein and fat in g/100g or ml/100ml. If hydrogenated vegetable fat or bakery shortening is used in food, it must also be declared on the label that these contain trans-fats.

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Aahar 2013 commences in Delhi; 671 exhibitors showcase latest products

Friday, March 15, 2013 08:00 IST Ashwani Maindola, New Delhi

Aahar International Fair 2013, one of India’s leading food and hospitality events, started at New Delhi's Pragati Maidan on March 14, 2013. 

More than 671 participants showcased their latest offerings at the expo. This was up by almost 10 per cent from the 2012 edition, which witnessed the participation of 565 exhibitors.

The overseas participation also increased this year, with exhibitors from 50 countries taking part in the event, which combined two co-located events – Food India and Hospitality India, which were concerned with the processed food and beverage industry and the equipment industry respectively. A large number of food business operators (FBOs) visited the various stalls on the inaugural day.

Product-wise display was introduced at this year's event, but it remains largely broad-based. A show window was also arranged for the exhibitors to showcase their energy-efficient green products. Another highlight of the event was the culinary shows, where live cooking could be witnessed by the audience.

“The agriculture and food processing sectors are the mainstay of our economy. These sectors have the potential to provide employment in the country and were therefore given priority in the Union Budget recently,” said Rita Menon, chairman and managnig director, Indian Trade Promotion Organsation (ITPO).

Rakesh Kacker, secretary, ministry of food processing industries (MoFPI), Government of India, said, “Aahar has become a signature event for the ministry, and as the National Food Processing Mission (NFPM) moves ahead, the states’ participation will increase to help the sector further.”

Charan Das Mahant, minister of state, MOFPI, said, “Aahar has given the ministry the opportunity to showcase the developments in the field of food processing.” He urged the industry to develop new processed products from the raw farm produce like milk, meat, poultry and marine products, as the country ranks among the top two in the world in the production of these products.

He added, “Now as food standards and health issues are making headlines, there is a need to address these issues.” He pointed that even small cities are taking keen interest in safety measures.

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Nestlé expects stratospheric growth from India operation

By RJ Whitehead,12-Mar-2013

Nestlé’s regional head has revealed that he expects India to be one of the company’s top five markets by 2020. Speaking to Livemint, Nandu Nandkishore, who heads up the Swiss firm’s Africa, Oceania and Asia zone, said India currently contributes less than 2% to the overall balance sheet, but will quickly grow to an anticipated fourth place in the company’s standings by the end of the decade.

To achieve this growth, he said that investment in R&D and staff will play a big part in its strategy: “We invest in R&D directly and we invest in people. We identify high potential resources and send them overseas and, at the same time, we bring expats in the Indian market.”

Serious investment

This is an extension of current policy which, along with investment in capacity, saw Nestlé India receive approvals from shareholders for investments worth Rs10bn (US$184m) last year.

“We have invested directly in India in a research and development centre in Manesar [in November], where we invested Rs2.8bn (US$515m). It is a global R&D centre and for India as well,” he said.

The company has been studying and “coming to terms with” the rate of trading among consumers, with Nandkishore admitting it had “been a bit of an eye-opener” to see how fast consumers in the emerging markets are willing to pay a higher price for better quality products. This, he added, will open the door for Nestlé to bring in premium products, as it has done in more developed markets.

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Cadbury to face tough questions over so-called “phantom factory” scam

By RJ Whitehead 06-Mar-2013

Almost exactly a year ago, Cadbury India was showing off its position as the country’s fourth most admired company, according to Fortune magazine; but today the chocolate major is preparing to fight accusations from tax authorities that it had deliberately set out to dupe the treasury out of Rs252 crore (US$45m). 

The story, broken by Forbes India, revolves around Cadbury’s Baddi manufacturing unit in Himachal Pradesh. The authorities suggest this has been a “phantom factory” that has pretended to produce chocolate and sweets since 2010, and say as much in a 103-page report that accuses Cadbury of manipulating invoices and other documents to gain tax exemption.

This exemption applies to any company that began production in a new plant in the northern state by March 31, 2010. For its part, Cadbury India emphatically denies the allegations, saying the company plans to contest the allegation as its executives “acted in good faith based on legal advice in the decision to claim excise benefit in respect of our plant in Baddi”, Forbes reported.

Delayed by red tape

However, according to the Directorate of General Excise Intelligence, there is no way that Cadbury could have begun operations by the HP deadline because government agencies were still reviewing approvals for the site.

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Finance minister shows no love for food makers this year

By Ankush Chibber,01-Mar-2013

Sometimes, just sometimes, you don’t want to have to say “I told you so”, and this is indeed one of the times. 

The Indian finance minister, P Chidambaram, stood up in the Indian Parliament at 11 am on the last day of February to present one of the most eagerly anticipated budgets of our time. And like so many before it, Budget 2013 disappointed.

The last time I wrote here , I looked at how the food and beverage industry has been demanding lower taxes and excise duties. My prediction, if you didn't read it, was that the finance minister would be loathe to do any such thing. A widening deficit and an election year would deter him from any such favorable action towards the industry.

And that’s just what happened. In fact, even before the minister got into the nitty gritty of the budget, he made clear that the current account deficit is a worry, and something that would determine the direction of his economic measures.

As expected, the industry’s demand for the government to reduce CENVAT on processed food products by almost half–from 12% to 6%– didn't even given a mention. Our prediction was that it would be hiked to 14%, but thankfully for all, the minister did not go in that direction either.

The second major demand by the food processors has been that the excise duty on food processing equipment also be reduced from 12% to 6% in order to decrease costs and increase production in the coming year.

No love there either.

Instead the Budget introduced a hike in the surcharge paid by domestic companies earning more than Rs10 crore (US$1.8m) from 5% to 10%, while for foreign companies, this has been increased from 2% to 5%.

Say bye-bye to a better bottom line.

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