Nestlé India faces legal action over infant formula standards and marketing claims amid regulatory crackdown

India’s food regulator has escalated scrutiny on Nestlé India, citing substandard infant formula samples and misleading marketing claims, as part of a broader crackdown on the country’s food industry and recent changes to labelling regulations.

India’s food regulator has escalated its scrutiny of Nestlé India, saying it found a sample of the company’s infant formula to be below required standards and has begun legal proceedings over separate marketing claims on two other baby food products. The move adds to pressure on the Swiss company in one of its most important growth markets and comes amid a wider crackdown on the country’s food industry, where officials have increased surprise inspections and product testing.

The Food Safety and Standards Authority of India said a sample of Nestlé’s “follow-up formula” failed to meet the prescribed biotin standard after re-analysis. Biotin, also known as vitamin B7, is one of the nutrients regulated in baby food under Indian rules. The regulator did not say whether it would seek a recall, but said it was pursuing legal action after determining the sample was non-conforming.

The agency has also filed cases over Nestlé India’s NAN Excella Pro Stage 1 and Lactogen Pro 1 products, saying promotional statements tied to the items breached rules governing infant nutrition products. According to local reports, the regulator took issue with claims including references to “5 HMOs” and “Whey Protein” on NAN Excella Pro Stage 1, as well as an assertion that whey protein in Lactogen Pro 1 was easy to digest. Nestlé India said its products comply with all applicable regulations and that it had submitted a detailed response to the authorities, while adding that the labels in question had been approved by an expert committee of the regulator.

The case matters because infant nutrition is a major business for Nestlé in India. Reuters reported that milk and nutrition products, including infant formula and baby food, were the company’s biggest revenue category in the year ended March 2026, accounting for around a third of product sales, or about $2.4 billion. Shares in Nestlé India fell after the news emerged. The company has had a fraught history with Indian regulators, including the 2015 Maggi noodles crisis, when authorities banned the brand over alleged excess lead levels and labelling problems before it later returned to shelves.

The latest dispute also lands at a sensitive moment for food labelling in India. Reuters reported last month that the government had adopted a weaker labelling regime after lobbying from Coca-Cola and groups supporting Nestlé and PepsiCo, which argued that warning labels were ineffective. That debate has sharpened the broader argument over how far regulators should go to protect consumers, particularly parents buying foods for infants and young children.

Disclaimer: This content is for informational purposes only and is not intended to be a substitute for professional medical judgment, advice, diagnosis, or treatment.