Diageo-owned United Spirits has moved the Bombay High Court against a Food Safety and Standards Authority of India (FSSAI) order concerning McDowell's No. 1 Rum manufactured at its Baramati plant, according to Business-Today. The company disclosed the legal challenge on Tuesday, days after the food regulator barred the sale of certain rum and whisky products made by United Spirits and other liquor companies.
FSSAI's flavouring rule
FSSAI said manufacturers cannot add "rum flavour" to rum or "whisky flavour" to whisky and market them as regular spirits, Business-Today reported. According to FSSAI, the characteristic taste and aroma of rum and whisky should be derived from their ingredients and the manufacturing process, including fermentation, distillation and ageing. Inspections found that some manufacturers were using neutral alcohol with little inherent flavour and adding flavouring agents to replicate the taste and aroma of rum or whisky. The regulator said such products should instead be labelled as "rum-flavoured spirit" or "whisky-flavoured spirit" and classified the products tested as "substandard" under the Food Safety and Standards Act.
Affected products and companies
United Spirits challenged the regulator's June 29 order on Aug 1. The company said the order pertains to the labelling of a single product manufactured at its Baramati facility, which FSSAI alleged was not compliant with food safety regulations. Business-Today reported that FSSAI's bar also applied to certain rum and whisky products made by other liquor companies, in addition to United Spirits. The exact scope of the other affected companies and products was not named in the source.
| Issue | FSSAI position | United Spirits position |
|---|---|---|
| Adding flavours to spirits | Adding "rum flavour" to rum or "whisky flavour" to whisky and marketing them as regular spirits is not permitted | Product label declarations are compliant with India's current legal and regulatory framework |
| Required labelling | Products using added flavouring should be labelled "rum-flavoured spirit" or "whisky-flavoured spirit" | Matter is sub judice; company declined further comment |
| Product classification | Products tested were classified as "substandard" under the Food Safety and Standards Act | The FSSAI order has had no material financial or operational impact so far |
United Spirits' legal position
"Based on legal advice, the company is of the view that the declarations on the product labels in question are in compliance with the current applicable legal and regulatory framework in India and are consistent with long-standing industry practice," United Spirits said in a regulatory filing, as reported by Business-Today. The company added that the order has had no material financial or operational impact so far. It declined to comment further as the matter is sub judice.
Timeline of the dispute
FSSAI issued the order on June 29. United Spirits filed its challenge with the Bombay High Court on Aug 1. The company disclosed the legal challenge on Tuesday, days after the regulator barred the sale of the affected products, according to Business-Today. As of the source report, the Bombay High Court has not issued a ruling.
The dispute turns on whether the taste and aroma of rum and whisky must come from the manufacturing process — fermentation, distillation and ageing — or whether flavouring agents may be used. For trade compliance professionals following India's food safety regime, FSSAI's order establishes a labelling boundary between regular rum or whisky and "rum-flavoured spirit" or "whisky-flavoured spirit," based on the source's reporting. Entities importing or selling such products in India should track the Bombay High Court's proceedings and the applicable labelling requirements under the Food Safety and Standards Act as described by FSSAI.