The court said FSSAI had not given Red Bull an opportunity to respond before directing it to stop using the “Energy Drink” descriptor
The Delhi High Court on Tuesday set aside a Food Safety and Standards Authority of India (FSSAI) direction asking Red Bull India to stop describing its caffeinated beverages as “energy drinks”. Justice Amit Mahajan, who heard the matter on Monday and Tuesday, noted that the food regulator had not given the company an opportunity to respond before issuing the 30 June direction.
“It remains undisputed that the order dated June 30 directing (Red Bull) to not use the term ‘Energy Drink’ in its product was passed without affording any opportunity to the petitioner to file any reply or give any explanation,” Justice Mahajan recorded in his order.
FSSAI Says Label Change Was Requested
During Tuesday’s hearing, counsel appearing for FSSAI argued that the 30 June communication should be treated as a show-cause notice rather than a final regulatory order, contending that the regulator had only “requested” Red Bull to amend its product labelling.
“We are only saying the word ‘energy drink’ is the problem, the product itself is not the problem,” the counsel said.
FSSAI also submitted that a meeting was held with Red Bull on 24 July, during which the company participated and agreed to make the required changes within 60 days.
“A meeting happened on 24 July, where they participated and they agreed that they will make the relevant changes within 60 days,” FSSAI’s counsel told the court.
The court, however, questioned whether the communication could be treated as a request when it was issued by a government regulator.
Justice Mahajan orally asked the FSSAI counsel: “You don’t request anyone, you’re the government. Which notice asked them to explain? Did you issue any notice?” Senior advocate Sandeep Sethi, representing Red Bull, also submitted that the regulatory action followed the company’s representation and discussions with FSSAI on 24 July, during which it had agreed to make the relevant changes.
The High Court has left it open to FSSAI to reconsider the matter. The regulator can take a fresh decision after following due process, including issuing a show-cause notice to Red Bull and giving the company an opportunity to be heard.
The court clarified that it had not considered the substantive question of whether Red Bull’s products breach any provision of the FSSAI Act. It also did not examine the regulator’s authority to issue such directions on the merits.
Red Bull Challenges Change In Regulatory Position
Red Bull told the court that it has used the “Energy Drink” descriptor for its beverages in India since 2002. The company maintained that FSSAI had earlier recognised the terminology for the applicable category of caffeinated beverages.
The company also pointed to an FSSAI advisory issued in March 2024, which it said permitted the use of the expression “Energy Drink” for products covered under the relevant food categories.
The latest order, therefore, concerns the procedure followed by FSSAI in directing the labelling change and does not determine whether the “Energy Drink” descriptor is ultimately permissible for Red Bull’s products.
