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Thursday, August 13, 2015

Bombay High Court lifts Ban on Maggi for Six Weeks Thursday Aug 13,2015

The Bombay High Court has lifted the ban on Maggi, the flagship instant-noodles brand from Nestle.

 The Bombay High Court clarified that this was conditional on Nestle conducting fresh tests within six weeks at three labs in Mohali, Jaipur and Hyderabad.

It wasn't immediately clear whether Nestle is allowed to instantly bring Maggi back to store shelves or only after results from the tests were clear.

Even as the consumer affairs ministry was gearing up to sue Nestle India for a staggering Rs 640 crore, the court order comes as an indictment of the way the ban was effected


Note

On June 5, 2015 the Food Safety and Standards Authority of India (FSSAI) ordered Nestle India to withdraw all nine variants of Maggi instant noodles from the market terming them “unsafe and hazardous” for human consumption.

The company had earlier argued in court that the FSSAI, while passing the order, had acted in an “emergent, drastic and arbitrary” fashion while raising doubts over his jurisdiction. Nestle also argued that the food regulator had not served any notice before the ban.

The ban had an immediate impact on Nestle's profits after it recently posted its first quarterly loss in nearly two decades.

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