India’s best-loved instant noodles ‘Maggi’ may retrieve market shortly. On Thursday after many hours of confab, Mumbai High Court lifted ban on sale across the country and might be available in India within few couple of months.
According to the Food Safety and Standards Authority of India (FSSAI), India manufacturing Maggi was banned in several states across the nation as it found high amount of lead supplement in the product. Considering the food commodity ban, court directed Nestle in India to regulate new tests to grant endorsement to permit their products for sale back in the market. Six week lapse of time was granted to conduct test.
An official said, “Maggi would come into the market within two months after tests clearances. Production is not a challenge, but distribution could be.”
Swiss food major last month revealed their first quarter loss which is more than 15 years of Rs 64.4 crore
through out April and June where previous net profile was Rs 287.86. On Thursday Nestle reported 2.5% consecutive year abatement in combined net profile to $4.6 billion at the time between January to June 2015. Total sales fell 20.1% to Rs 1,933.8 crore within the quarter, as the business holders withdrew over 30,000 tones of Maggi from the market backpedaling Rs 288.4 crore worth sales.
Technopak consultancy trader Mr. Arvind Singhal said,
“For Nestle, filling the pipeline is not much of an issue, but re-distributing it to every nook and corner of the country will be a time-consuming process.”
Nestle spokesperson said,
“We are fully committed to bring Maggi noodles back to consumers. Nevertheless, the process is lengthy and complex and will require alignment with several stakeholders, including suppliers, distributors and retailers among others, as well as continuous engagement with the authorities. The process of re-activating the manufacturing process can only be finalized after we are aligned with the various stakeholders.”