The Delhi High Court on Tuesday asked the Food Safety and Standards Authority of India (FSSAI) to hold off on any decision to cancel FMCG major ITC’s licence over its use of “100%” claims on its ITC Aashirvaad Shudh Chakki Atta product, while seeking the regulator’s response to the company’s plea.
Justice Swarana Kanta Sharma issued notice to the FSSAI and other respondents on ITC’s petition challenging the regulator’s advisory on the use of “100%” claims on food products.
The court will hear the matter next on September 9.
The court said no decision regarding cancellation of ITC’s licence should be taken until the next hearing and asked the FSSAI to “hold its hands” in the meantime.
The parties have also been directed to file a brief note on the issue of jurisdiction, after the FSSAI opposed ITC’s plea on the ground that the high court lacked jurisdiction to entertain the challenge.
As per its petition, filed by counsel Rohit Sharma, ITC has termed the FSSAI advisory arbitrary, arguing that it goes beyond the regulator’s powers under the Food Safety and Standards Act, 2006, and bypasses the framework prescribed under the law.
The company said food business operators are bound by the Act, its rules and regulations, and that the law does not provide for them to be bound by an advisory issued outside this framework.
ITC has challenged the FSSAI’s May 28, 2025 advisory, which asked food business operators to discontinue the use of the term “100%” on food product labels, packaging and promotional material.
The company has also challenged a show-cause notice issued on August 10 alleging violation of the advisory and an improvement notice issued on August 13, directing it to remove certain terms from its labels, advertisements and website and submit a compliance report within 15 days.
The August 10 notice had given ITC 30 days to submit its clarification.
ITC has argued that existing regulations do not prohibit the use of “100%” on food products. It cited Regulation 4(4) of the Food Safety and Standards (Labelling and Display) Regulations, 2020, which permits information on labels as long as it does not conflict with the regulations.
The company has also pointed to the Food Safety and Standards (Advertising and Claims) Regulations, 2018, saying these too do not prohibit the use of “100%”.
