The Food Safety and Standards Authority of India (FSSAI) has taken a decisive legal stand against PepsiCo, accusing the multinational beverage giant of deliberately marketing high-caffeine products as “energy drinks” to dupe consumers. In a 57-page affidavit filed before the Delhi High Court on October 28, the country’s top food safety regulator argued that India lacks prescribed statutory standards for products sold under the specific “energy drink” category. FSSAI alleged that PepsiCo was fully aware that beverages like Adrenaline Rush and Sting Energy fall under regulations for caffeinated drinks, yet chose to promote them using unverified marketing terminology. The regulator highlighted bold promotional slogans such as “vitalises body and mind” and “helps in general weakness,” condemning them as misbranding and deceptive. This courtroom drama follows a June 30 communication in which FSSAI ordered beverage manufacturers to stop using the term “energy drink” on product packaging, labels, and advertisements, mandating compliance and stock clearance within 90 days under the Food Safety and Standards Act of 2006. PepsiCo, seeking an open-ended 12-month extension to exhaust its existing packaging inventory, challenged the directive in court. However, FSSAI firmly rejected the request, contending that public health concerns—specifically safeguarding children from impulsive consumption of drinks containing high concentrations of caffeine, sugar, and taurine—must strictly override commercial timelines and corporate financial losses. Presiding over the matter, Justice Amit Mahajan granted temporary relief by staying the regulatory order on existing inventory, permitting companies to clear current stocks while explicitly barring the placement of the “energy drink” label on any freshly manufactured batches. The legal friction is not isolated to PepsiCo; FSSAI has leveled similar accusations against Monster Beverage Corporation, prompting legal pushback from other prominent market players, including Red Bull, Hell Energy, and Reliance Consumer, who argue that the regulatory restrictions were enforced without prior notice or fair opportunity to present their position. This regulatory crackdown comes at a critical juncture for the industry, as data from market research firm Euromonitor indicates that India’s high-caffeine beverage sector is expanding at an impressive 12.6 percent annually—outpacing growth rates in both the United States and China—and is projected to reach a massive $1.6 billion valuation by 2028. As the Delhi High Court prepares for its upcoming hearing, the outcome will likely reshape marketing boundaries, consumer transparency standards, and regulatory compliance across India’s rapidly growing functional beverage landscape.
Delhi High Court Intervenes as FSSAI Targets PepsiCo, Monster, and Red Bull Over Misleading Claims
