Key Event & Details

The Company received a communication dated 29 July 2026 from the FSSAI, Regional Office, Mumbai. The communication prohibits the sale of one of the Company's Whiskey and Rum brands.

The regulatory action was taken on the ground that the declaration of "artificial flavour" on the product's label is not in conformity with the Food Safety and Standards Act, 2006 and the rules and regulations framed thereunder.

Company's Response & Legal Stance

The Company has been advised by its legal counsel that the declaration on the labels of the products in question is in line with long-standing practices across the industry and is in accordance with the provisions of the applicable law. The Company believes the action by FSSAI is unjustified.

Consequently, the Company is approaching the Hon'ble High Court for immediate intervention in the matter.

Industry Context

The disclosure notes that such actions have recently been initiated by FSSAI on a pan-India level. The matter has been taken up by industry bodies, namely the Confederation of Indian Alcoholic Beverage Companies (CIABC) and the International Spirits & Wines Association of India (ISWAI), with the FSSAI authorities.

These bodies have stated that the practice is a long-standing industry practice and established IMFL (Indian Made Foreign Liquor) nomenclature. They contend that the use of permitted flavoring substances declared in the ingredient statement is in accordance with the Food Safety and Standards (Labelling and Display) Regulations, 2020.

Financial and Operational Impact

The Company is currently in the process of assessing the operational and financial impact of this regulatory action. The financial impact has not been quantified in this disclosure.

The Company has committed to keeping the Stock Exchanges informed of any further material developments in accordance with the applicable SEBI LODR regulations.

Additional Information from Annexure A

  • Name of Authority: Food Safety and Standards Authority of India (FSSAI)
  • Nature of Action: Prohibition on sale of the "article in question" in respect of one Whiskey and Rum brand.
  • Date of Receipt: The notice was received on 29-07-2026 after office hours.
  • Alleged Violation: The declaration of "artificial flavour" on the label is alleged to be non-conforming with the Food Safety and Standards Act, 2006 and its rules.