FSSAI Proposes Stricter Rules for Quick Commerce Platforms in India

The Food Safety and Standards Authority of India (FSSAI) is set to introduce more stringent regulations targeting quick delivery online food platforms such as Blinkit, Swiggy’s Instamart, and Amazon Now. This move is part of a broader effort to enhance food safety compliance across India, the world’s largest consumer market.

Rajit Punhani, CEO of FSSAI, highlighted in a recent interview that the regulator is focusing on ecommerce platforms as the next critical area for enforcement. "We are working to tighten regulations and hold these platforms accountable," he said, emphasizing the need for greater transparency and responsibility in the online food retail sector.

The proposed rules would require ecommerce platforms to clearly display manufacturing dates, expiry dates, and batch numbers for all food products listed online. Platforms would also bear responsibility for addressing misleading claims made by manufacturers. Additionally, FSSAI is considering mandating that quick commerce operators provide photographs and addresses of their dark kitchens. More rigorous inspections of dark stores will be enforced to confirm that storage conditions, particularly for frozen goods, meet safety standards.

In recent months, the regulator has stepped up enforcement actions triggered by consumer complaints and proactive investigations. Several major players, including Blinkit, Swiggy Instamart, Flipkart (owned by Walmart), and Amazon India, have faced penalties for issues such as misbranding, selling banned items, and operating with invalid licenses.

This crackdown could have significant implications for India’s rapidly expanding online retail market, valued at around $80 billion, with grocery sales comprising roughly 51% of that total according to Redseer Strategy Consultants.

Following an FSSAI inquiry in July, Instamart stated it was reviewing listings flagged by the regulator and engaging with authorities to resolve concerns. Amazon, which functions as a marketplace for third-party sellers, confirmed removal of non-compliant products after similar scrutiny.

The scope of FSSAI's enforcement now extends beyond ecommerce platforms. Food manufacturers, hotels, and restaurants are under greater observation for compliance with advertising standards, product claims, infant-product marketing rules, labeling accuracy, and proper food storage. Notable companies such as Nestle India, PepsiCo, Dabur India, and hospitality groups like JW Marriott have been cited for violations.

State-level food and drug enforcement agencies, which operate independently of FSSAI, are encouraged to boost oversight efforts. Punhani noted that prosecutions involving ecommerce companies have increased five to six times over the past year. While some progress is evident, the pace of improvement remains slower than desired.

Heightened enforcement comes after social media exposes and consumer complaints spotlighted unsafe practices by manufacturers, restaurants, and small businesses. Between April and September alone, regulatory bodies carried out approximately 700,000 inspections, nearly doubling the count from the previous year.

Maharashtra, India’s wealthiest state, has been particularly active under the leadership of bureaucrat Tukaram Mundhe, who has revamped the state's Food and Drug Administration approach. Other states including Jammu and Kashmir, Karnataka, and West Bengal have also intensified monitoring of food-related businesses and quick-commerce operations.

FSSAI is also expanding its scrutiny of the burgeoning supplements and nutraceuticals sector, especially products sold online. The regulator is reviewing product approvals issued three to five years ago to verify that companies are not making unauthorized claims. Notices and license suspensions are planned where violations are uncovered. Weight-loss claims remain prohibited under current guidelines.

Recently, FSSAI took action against a supplement joint venture between Dr. Reddy’s Laboratories and Nestle India for misleading advertising. The agency is also evaluating trademarks like "GLP Plus" for potentially misleading consumers, coordinating with trademark authorities to ensure branding and labeling accurately reflect product content.

Despite the regulatory push, enforcement challenges persist, particularly due to the reliance on state governments for inspections. Major food companies have begun legally contesting FSSAI directives. PepsiCo, Reliance Consumer Products, and Monster Beverage have all filed court challenges, citing procedural concerns such as insufficient opportunity to respond to notices.

These legal battles have resulted in some procedural wins for companies, indicating that resistance to stricter food safety standards may grow. Nevertheless, Punhani expressed confidence in FSSAI’s position, noting strong consumer backing and regulatory authority. "They are resisting, but we are far stronger and have consumer support," he stated.

The FSSAI’s intensified focus on online food platforms and broader food safety practices reflects an evolving regulatory environment in India. As the ecommerce and food sectors grow, ensuring consumer protection through clear rules and effective enforcement remains a key priority.