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The Disaster and Recovery of Nestlé India’s Maggi1

On June 5th 2015, the Food Safety and Standards Authority of India (FSSAI) directed Nestlé
India to recall all the nine approved variants of Maggi noodles from the market after finding it
unsafe and hazardous for human consumption as well as stop further production.

Maggi Instant Noodles

Nestlé (then Food Specialities Limited) had introduced Maggi 2-minute instant noodles in India
in 1982 as a new-generation food product. At that time, the adoption of pre-packaged food
products was very small in India. This product had then created a new category, instant noodles,
as packaged food in India (Exhibit I).

The Maggi brand built up on the caring working mother image, a mother who was able
to provide children with a ‘nutritious and tasty’ meal that could be prepared in just two minutes.
The product promotion involved TV spots featuring modern-looking mothers and cheerful
active middle class children. Cooked Maggi was distributed free of cost among up-scale
schoolchildren. Nestlé organised competitions like the Maggi Quiz among school-kids, where
Maggi was freely distributed among winners and everybody present could sample the product
during breaks. Nestlé had roped in Indian film stars like Amitabh Bachchan, Preity Zinta and
Madhuri Dixit to promote the product by being brand ambassadors. Lately, Nestlé was trying
to market to the bottom of the pyramid by focussing on advertisements targeting rural school-
going children positioning Maggi as an easy and nutritive alternative meal, and had created a
low unit price packaging towards this strategy.

As part of its global strategy, in 2005 Nestlé India brought in supposedly healthier
“Maggi Vegetable Atta Noodle” and “Maggi Atta Dal Noodle”. These were made from whole-
wheat flour, but retained the premise of the same 2-minute instant cooking property. Over the
years, loyal customers of Maggi have created a number of recipes, and quite a few roadside
joints opened have thrived on serving Maggi noodles in their own inimitable styles.

Nestlé had the first mover advantage in India in the category of instant noodles. It
retained almost complete hold of the market until 2000s when Top Ramen entered India. It also
got some challenge from ITC’s Yippee brand of Instant noodles. However, Maggi still had
over 70% market share of the INR4000 crore instant noodles segment in India and the
remaining 30% was shared by ITC’s Top Ramen, HUL’s Knorr, Top Ramen and Wai Wai
Brands. Everybody in India, on the average, consumed over three packets of Maggi noodles a
year12 – which is a lot for the second most populous country on earth.

Maggi Noodles in Trouble

In the state of Uttar Pradesh, there exists a state government agency Uttar Pradesh Food Safety
and Drug Administration (FSDA) for ensuring safety of food products sold in the state. FSDA
collected samples of Maggi Noodles from Barabanki and sent it for testing to the Gorakhpur-
based Government Regional Public Analyst Laboratory. The laboratory found the samples to
contain Mono Sodium Glutamate (MSG) despite the labelling of ‘No Added MSG’. Based on

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Prof. Ashok K. Sar prepared this case from published sources as the basis for class discussion rather than
illustrate either effective or ineffective handling of an administrative situation.

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this report, the FSDA sent a notice to Nestlé India. Nestlé visited FSDA and was reported to
have argued to cancel the proceedings and come in appeal to face the case. Later, Nestlé insisted
that the product be sent to a referral lab for testing. It was then sent to a referral laboratory in
Kolkata, West Bengal, that not only confirmed MSG in excess of the set limits, it also found
the samples to contain 17 parts per million of lead instead of the permitted maximum of 2.5
parts per million. This led to the FSDA to begin proceedings against Maggi noodles.

As a result of these findings, the FSDA asked Nestlé on May 21st 2015, to recall the
batch of the Maggi noodles from which the tested samples had been collected for testing, from
Barabanki. On June 3rd, retail chains like Big Bazaar took off Maggi from its shelves amidst
consumer apprehension. On the same day, the Delhi government ordered tests and banned
Maggi noodles in the state for 15 days. Business Standard reported the complete timeline of
events later (Annexure I).

Maggi instant noodles were manufactured at Nestlé’s five facilities in India. The entire
exported product was manufactured by a single facility at Goa, while the products of all five
facilities were distributed within the country.

Nestlé’s Reaction

Nestlé’s initial reaction at Barabanki FSDA was to ask for cancellation of proceedings. When
FSDA persisted, Nestlé asked for the samples to be tested at a reference laboratory when the
testing were done at Kolkata Central Food Laboratory that confirmed Gorakhpur RPAL results
and further found the samples to contain very high quantities of lead. Analysts at Gorakhpur
RPAL pointed out that Nestlé could have gone free by paying a very small fine, had it not
insisted on further testing at Kolkata.

On May 21st, while reacting to the orders passed by FSDA, Nestlé India issued a
statement saying, “We do not add MSG to our Maggi noodles sold in India and this is stated
on the concerned product. However, we use hydrolysed groundnut protein, onion powder and
wheat flour to make Maggi noodles sold in India, which all contain glutamate. We believe that
the authorities’ tests may have detected glutamate, which occurs naturally in many foods.”

Nestlé India has also said it “regularly monitors” for lead, including testing by
accredited laboratories. On June 1st, the company said it had submitted samples from almost
600 product batches to an “external laboratory” for an “independent analysis”, but did not
identify the lab. It also said it had conducted in-house tests on 1,000 samples at its accredited
laboratory. “These samples represent around 125 million packets. All the results of these
internal and external tests show that lead levels are well within the limits specified by food
regulations and that Maggi noodles are safe to eat. We are sharing these results with the
authorities,” Nestlé said.

Upon detection of high amounts of MSG and Lead, Nestlé India was directed by FSSAI
through a written order to recall all nine variants of Maggi noodles and stop its further
production. Nestlé asked its officials to engage directly with stakeholders, dealers and trade
holders but not to talk publicly about the developments. On June 5th 2015, Nestlé issued the
following statement.

“The trust of our consumers and the safety of our products is our first priority.
Unfortunately, recent developments and unfounded concerns about the product have led to an

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environment of confusion for the consumer, to such an extent that we have decided to withdraw
the product off the shelves, despite the product being safe.”

Nestlé tried to reach customers directly through its website. It published statements
saying that tests had been carried out by public agencies in the US, Canada, Vietnam, Australia,
EU and Singapore and these did not find lead beyond permissible label in Maggi Noodles
sourced from India, and confirmed that Maggi noodles are safe to eat. FSSAI asked Nestlé
India for some of these test reports (UK & Singapore), whereby Nestlé said that it did not
possess these reports.

Nestlé also claimed that lead was present in Maggi noodles because it occurs in earth’s
crust and is present in air, soil and dust. Nestlé claimed that it tested lead levels in its raw
materials and sourced ingredients from regions with the lowest levels of lead. It however
remained silent on the high levels of lead detected in tests at the Kolkata CFL on its website.

FSSAI’s Findings and Nestlé’s Interaction with FSSAI

FSSAI found three major violations by Nestlé India with regard to Maggi noodles. Presence of
lead was detected in the product in excess of the maximum permissible level of 2.5 ppm. There
was misleading labelling information on the package of Maggi noodles reading “No added
MSG”. Nestlé had released a non-standardised food product “Maggi Oats Masala Noodles with
Tastemaker” in the market without risk assessment and grant of product approval. In the
hearing granted to Nestlé India on June 4, 2015, Nestlé’s response to FSSAI was that the testing
protocols had not been followed and interpreted correctly by the latter. It said that Maggi
noodles consisted of two parts, the noodle and the tastemaker. Each of these two components
had been tested separately when these should have been tested as a combined product as they
are finally supposed to be consumed. The tests at Kolkata CFL showing a very high level of
lead were not reliable because the samples had remained open for a very long period before
being tested. Nestlé claimed that the “No added MSG” on the product label was due to lack of
clarity in regulations and the company had followed the general industry practice. Such
labelling was done because Maggi noodles did not contain any added MSG (flavour enhancer
E621). The company was ready to rectify the labels if it was interpreted as a case of
mislabelling. Regarding “Maggi Oats Masala Noodles with Tastemaker” Nestlé agreed to
comply with the directions of FSSAI.

FSSAI further justified its order of recall by referring to the fact that not only Kolkata
CFL, but also GNCT, Delhi, and tests conducted by the states of Gujarat and Tamil Nadu on
samples drawn there had found Maggi noodles contaminated with excess lead, and therefore
the product was not fit for human consumption. FSSAI drew upon a publication of the Food
Safety Authority of Ireland to point out the harms of lead as follows:

“Short-term exposure to high levels of lead can cause brain damage, paralysis, (lead
palsy), anaemia and gastrointestinal symptoms. Long-term exposure can cause damage to the
kidneys, reproductive and immune systems in addition to effects on the nervous system. The
most critical effect of low-level lead exposure is on intellectual development in young children
and like mercury, lead crosses the placental barrier and accumulates in the foetus. Infants and
young children are more vulnerable than adults are to the toxic effects of Lead, and they absorb
lead more easily. Even short-term low-level exposure of young children to lead is considered
to have an effect on neuro-behavioural development. Consumption of food containing lead is
the major source of exposure for the general population.”

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Pointing out that the claim “No added MSG” was not required to be put on the product
packaging, FSSAI contended that this was done deliberately by Nestlé to derive undue
commercial advantage by creating an erroneous impression in the minds of the consumers
regarding the character of the product. Towards this contention, FSSAI drew upon the
following information contained on the website of United States Food and Drug
Administration.

“How Can I know if there is MSG in my food?

FDA requires that foods containing added MSG listed in the ingredient panel on the packaging
as monosodium glutamate. However, MSG occurs naturally in ingredients such as hydrolysed
vegetable protein, autolyzed yeast, hydrolysed yeast, yeast extract, soya extracts, and protein
isolate, as well as in tomatoes and cheeses. While FDA requires that these products be listed
on the ingredient panel, the agency does not require the label to also specify that they naturally
contain MSG. However, foods with any ingredient that naturally contains MSG cannot claim
“No MSG” or “No Added MSG” on their packaging. MSG also cannot be listed as “Spices and
flavouring”.

FSSAI also pointed out that it had sought certain clarifications from Nestlé regarding
“Maggi Oats Masala Noodles with Tastemaker” on 25.02.2015 to which Nestlé had not
responded. However, it had released the product in the market without completing the process
of risk assessment and was promoting its sale, which it said was disturbing.

Based on these violations, Nestlé was asked by FSSAI to recall all the nine variants of
Maggi noodles from the market and stop its further manufacture.

Nestlé India recalled the stock in the market as well as any unopened packet with
consumers. It was reported that stocks of Maggi noodles were recalled from 3.5 million retail
outlets to 38 warehouses from where these were sent to six cement plants across India using
10000 trucks. These cement manufacturers were paid INR20 crore to crush Maggi noodles,
mix it with fuel and incinerate it in cement production facilities and the value of Maggi noodles
so destroyed was INR320 crore.

In the Courts of Law

Nestlé India challenged the ban imposed on Maggi noodles by FSSAI in the Bombay High
Court, praying for a stay on the FSSAI order. The court initially refused to grant a stay on the
ban order.

In later hearings, the points put forward by Nestlé India to a two-judge bench of the
Bombay High Court were that FSSAI had prejudged the issue. FSSAI (and Maharashtra FDA
that had also banned Maggi noodles in Maharashtra) had not issued any show-cause notice to
Nestlé before passing the orders for banning Maggi noodles. The test results were not credible
because they were carried out by laboratories not qualified to carry out the tests. The product
components- the noodle and the tastemaker were tested separately whereas they should have
been tested as a composite product. Some of the samples were past their shelf life and remained
unsealed for three months before testing. The multiple tests of the same sample across different
laboratories had shown different results. Nestlé had carried out 2700 tests across the world.
High lead content was not discovered in any of these tests.

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FSSAI told the court that Nestlé, as a multinational company believes that it is above
the laws of India. It is trying to mislead the court by doubting the tests carried out by the
regulatory agencies. In the process, it is also playing with the lives of the ordinary people. In
banning Maggi noodles, the regulator only complied with its mandate. A show-cause notice
was not issued by because of overwhelming evidence of lead contamination in 30 out of 72
samples collected by FSSAI. Even then, before the ban order was issued FSSAI gave Nestlé a
hearing on June 04th 2015. The Food Safety Act under which Maggi was banned is of
prohibitive nature. Under the Constitution, it is the responsibility of the regulator that food
should be safe and fit for human consumption and if found unfit and substandard, then under
the Act, FSSAI can pass orders to stop manufacture and sale in the public interest and in interest
of consumers.

It further said that while the laboratories where the tests had been carried out were
accredited or notified laboratories, one or the other requisite specific accreditations for testing
lead, spices or cereals was missing. This was because these accreditations were not required as
per the Act. In the process of testing food products available in the market, a food safety officer
divides a food sample picked up from the market into four parts when it is picked up. A food
analyst who sends the report back to the food safety officer tests the first part. If a company
does not agree with the food analyst’s report, the second part of the sample is sent to an
accredited laboratory. In case this report is different from the food analyst’s report, the third
part of the sample is sent to a referral laboratory for testing. The report of the referral laboratory
is taken to be final. Nestlé had never disputed the food analyst’s report in the first place. FSSAI
claimed that nestle could not come into the court brandishing 2700 reports of foreign
laboratories if it did not submit itself to the discipline of the statutes of India where it was
operating and generating profits. It also said that the reaction of Nestlé that none of the
accredited laboratories in India were trustworthy or worthy of Nestlé’s standards was malafide.
In addition, FSSAI submitted a report in court from Avon Food Lab in New Delhi that had all
the accreditations required by Nestlé and evidence of the presence of excess lead in Maggi
noodles. FSSAI also claimed that several people used to consume the noodle and the tastemaker
separately and not as a combined product. Nestlé had itself submitted for the product to be
approved not as a composite but as two separate parts – the noodle and the tastemaker. Nestlé
could not argue otherwise.

FSSAI also pointed out that there was haste apparent in destroying the recalled stock
of Maggi. Nestlé might have been done so in order to destroy evidence. The 750 cartons of
Maggi that Nestlé had preserved as sample for further testing if ordered could be doctored.
FSSAI requested the court to dismiss Nestlé’s petition on these grounds.

Nestlé claimed that the regulator was playing an adversarial role. Recalled stocks of
Maggi were destroyed with the prior knowledge of FSSAI. FSSAI had never filed product
approval documents with FSSAI asking the two parts of the product be tested or approved
separately. Nestlé also claimed with alleged proof that the report from Avon Food Lab of Delhi
was a fabricated one. It also claimed that the Food Safety Act was a bit absurd in not specifying
that foods produced in India be tested in notified labs only while mandating so for imported
foods. Few of the 72 samples from FSSAI had been tested in labs accredited for testing lead in
food products. The Food Safety Act specified that the sample be tested in the form intended
for use, which was the composite product in case of Maggi noodles, and not two separate parts.
Nestlé also argued at this stage that it did not have faith in FSSAI and the fourth part of the
sample kept with the latter. It was however willing to get its own samples from the 750 recalled

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cartons of Maggi noodles tested in five laboratories under the supervision of independent
experts.

FSSAI finally argued that the labs recommended by Nestlé for further testing were not
even under the Food Safety Act. The company was resisting the testing of the fourth sample as
provided for in the Act because it was afraid that that sample contained excess lead. FSSAI
also had the apprehension that the 750 cartons of Maggi stored with Nestlé might even have
been manufactured later and would not be true samples and that would be against the Act.

On August13th 2015, the two-judge bench of Bombay High Court set aside the
nationwide ban on Maggi noodles (Annexure I). The court said that the laboratories where the
72 samples tested were not accredited to carry out these tests. The sanctity of the fourth sample
held by FSSAI was not tenable. The court directed the company to submit five samples each
of nine variants of Maggi noodles for tests at laboratories certified by NABL—in Jaipur,
Hyderabad and Mohali. The tests would have to be carried out in the next six weeks. If the
results of these tests show the presence of lead within permissible levels of 2.5 ppm, Nestlé
would be free to resume the manufacture and sale of Maggi noodles.

FSSAI has the option of challenging this verdict of Bombay High Court in the Supreme
Court of India.

The Ministry of Consumer Affairs of the Indian Government filed a complaint against
Nestlé in the National Consumer Disputes Redressal Commission, seeking about INR640 crore
in damages for alleged unfair trade practices, false labelling and misleading advertisements.

The company opposed the Government’s suit saying that due to the ban, around 9,000
vendors and 10,000 suppliers had been rendered unemployed and it has suffered a loss of nearly
INR250 crore.

Maggi’s Brand Ambassadors

Noted Indian film stars Amitabh Bachchan, Preity Zinta and Madhuri Dixit have been brand
ambassadors for Maggi noodles. Due to the Maggi controversy, a court Bihar ordered an FIR
to be filed against the three brand ambassadors. The three actors are already facing a similar
case in a Barabanki court in Uttar Pradesh.

The Central Government has told that Maggi brand ambassadors will also be liable for
action if the advertisements for the snack are found to be misleading.

G. Gurucharan, Additional Secretary (Consumer Affairs) had said that everybody


associated with the “misleading ad” put out on the nutritive value of Maggi Noodles was liable
for action under the Food Safety and Standards Authority of India (FSSAI), but that the final
decision would be taken by the courts.

According to Food and Consumer Affairs Minister Ram Vilas Paswan, everybody
associated with the “misleading ad” put out on the nutritive value of Maggi Noodles was liable
for action under the Food Safety and Standards Authority of India (FSSAI).

In a press release, the Confederation of All India Traders (CAIT) said that it was
worried as lakhs of traders across the country dealing in fast moving consumer goods (FMCG)

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products were suffering losses due to the Maggi controversy since it had damaged the
confidence of consumers and traders as well. It added, “The brand ambassadors of Maggi have
violated section 24 of the Food Safety and Standards Act, 2006 and, therefore, proceedings
must be initiated against them also besides taking action against the manufacturer”.

Amitabh Bachchan reacted to these demands by saying that he had stopped being the
brand ambassador of Maggi noodles sometime back and was not promoting the product in the
recent times. Madhuri Dixit said that she had contacted Nestlé India that had confirmed to her
that there was nothing harmful in the product.

Related Happenings

While there was not much explicit response from competing brands of instant noodles in the
press, all except ITC’s Yippee noodles were missing from the shelves. ITC claimed that its
Yippee brand of noodles had passed the lead test in Gujarat. However, other reports suggested
that this brand of noodles too had been banned in Gujarat due to the presence of excess lead.
Bihar banned 11 brands, almost all the better-known instant noodles due to the presence of
monosodium glutamate in them.

Alleging bias, Nestlé India Limited on September 30th 2015 told the National
Consumer Commission that it was being “singled out” by the government in the Maggi noodles
ban case as no action was being taken against other manufacturers of similar products.

Patanjali Ayurved, that uses Swadeshi (Nationalist) for its brand image, said that it
would soon launch a “healthy” and “safe” version of instant noodles at much lower price than
Maggi noodles in order to fill the space vacated by the latter. The chief promoter of the firm
Swami Ramdev is known to be close to the Bharatiya Janata Party government at the centre
and it has already entered into contracts to manufacture ready to eat meals to supply to Indian
defence forces posted in inhospitable terrains.

Nestlé India replaced its Managing Director Etienne Benet with an Indian Suresh
Narayanan who was the Chairman of Nestlé Philippines. Five weeks into his new role as MD
of Nestlé India, Narayanan assured that the company is committed to engaging with the food
safety regulator FSSAI on a “professional forward looking basis”. He said, “A lot of work
needs to be done by the industry as a whole along with the regulator to define the infrastructure,
protocol, safety standards, not just of noodles but standards of all processed foods.” “Nestlé
has taken a big hit, but this is a rallying point to define standards for putting out genuinely safe
products using fair principles,” he added. He called it a “golden moment” for the food
processing industry to become organized and contribute significantly to the ‘Make in India’
programme. He also said that nearly 7,200 employees of Nestlé India have been engaged in
alternate programmes and training and not one of them has lost his job. “We are keen to resume
business,” he indicated. Five factories presently remain shut. Besides, over 15,000 spice
farmers, four lakh wheat farmers, 38 distribution centres, hundreds of distributors, suppliers,
vendors, retailers and hawkers are impacted by the ban on Maggi noodles, he pointed out.

Contrary to Narayanan’s claim, there were reports of 1100 contract workers at Nestlé’s
Rudrapur manufacturing unit losing their jobs. The workers whose jobs were preserved were
on the rolls of Nestlé India were just 25% of the total worker strength. The rest 75% were asked
to look for other options, as there was no work at the plant.

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Yudhvir Singh Malik (Malik), the CEO of FSSAI, a career civil servant was transferred
out on September 22nd 2015 to the Niti Aayog, a central planning body that recently replaced
the Planning Commission of India. It is alleged that everybody in the regulatory body was in
the dark about this transfer. Malik himself came to know about his transfer when one of his
friends, a bureaucrat, called him late in the night on September 22nd to ask why he was
transferred. Malik is known for his upright attitude and was not the favourite of the industry.
He had also handled the critical issue of land acquisition in Haryana.

At FSSAI, after the Maggi ban, Malik faced criticism from both, government and the
industry. Food Processing Minister in the Central Government Harsimrat Kaur Badal had said
that the food regulator had created an environment of “fear” in the industry. The minister also
said that actions taken by the FSSAI were discouraging innovations in the food-processing
sector. Despite all the criticism, FSSAI under Malik continued to remain vigilant regarding
food safety issues and keep on issuing advisories. During his tenure, the regulator issued
advisories for nutraceuticals issued guidelines to regulate salt, sugar and fat in food products
sold or served at eating joints. It was during his tenure only that regulator started working on
framing the standards for alcohol products including whiskey, among others.

Assignment Questions

1 What ethical issues emerge from the conduct of Nestlé India with reference to
marketing of Magi? [Examine the issues based on the related concepts and frameworks
discussed in the course]
2 Examine the rationale of approach to marketing on the part of the leadership in Nestlé
India, and the impact of its marketing approach.
3 Elucidate the stage of corporate moral development of Nestlé India is as brought out in
this case.
4 Examine the role of the regulator and related authorities in the light of the relevant
ethical theories.
5 Reflect on the learning from the episode.

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Exhibit I: Excerpts from Nestlé India Code of Business Conduct
Introduction

Since its founding, Nestlé’s business practices have been governed by integrity, honesty, fair
dealing and full compliance with all applicable laws. Nestlé employees worldwide have upheld and
lived this commitment in their everyday responsibilities ever since, and Nestlé’s reputation remains
one of the Company’s most important assets today.

The Nestlé Corporate Business Principles prescribe certain values and principles which
Nestlé has committed to worldwide. This Code of Business Conduct specifies and helps the continued
implementation of the Corporate Business Principles by establishing certain non-negotiable
minimum standards of behaviour in key areas.

The nature of this Code is not meant to cover all possible situations that may occur. It is
designed to provide a frame of reference against which to measure any activities. Employees should
seek guidance when they are in doubt about the proper course of action in a given situation, as it is
the ultimate responsibility of each employee to “do the right thing”, a responsibility that cannot be
delegated Employees should always be guided by the following basic principles:

– Avoid any conduct that could damage or risk Nestlé or its reputation; – act legally and
honestly; – put the Company’s interests ahead of personal or other interests. For the purposes of this
Code, references to “employees” include employees, associates, officers and directors of Nestlé S.A.
and its subsidiaries.

Compliance with laws, rules and regulations

We respect the law at all times


Nestlé and its employees are bound by the law. Compliance with all applicable laws and
regulations must never be compromised. Additionally, employees shall adhere to internal rules and
regulations as they apply in a given situation. Those internal rules are specific to the Company and
may go beyond what is required by the law.

Reporting illegal or non-compliant conduct

We take responsibility for ensuring that we all act with integrity in all situations
Employees shall report any practices or actions believed to be inappropriate under this Code
or even illegal to their Line Managers or the appropriate members of the HR or the Legal or
Compliance function. If it is appropriate, in view of the nature of the reported matter, reports of
violations may be made directly to higher levels including the Group’s Chief Executive Officer
and/or Chief Compliance Officer.

Where appropriate, complaints may be made on a confidential basis or through employee


Hotlines. All complaints shall be properly investigated. Nestlé prohibits retaliation against any
employee for such reports made in good faith, while it also protects the rights of the incriminated
person.
Source: https://www.nestle.in/investors/documents/02_nestl%C3%A9-india-code-of-business-conduct.pdf

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Annexure I: Timeline (year 2015) of Maggi Noodles’ Ban

Aug 13, 2015: Bombay High Court lifts ban on Maggi noodles. Orders fresh tests on samples

Aug 11: Indian government files INR640 crore class action suit against Nestlé alleging unfair
trade practices on Maggi noodles; hearing by National Consumer Disputes Redressal
Commission on Aug 14

Aug 7: Several operators in the food business, including Nestlé and Amway, have violated
regulatory and manufacturing standards leading to recall of their products or withdrawal of
NoCs, Health Minister J.P. Nadda says

Aug 6: Union Consumer Affairs Minister Ram Vilas Paswan responds on Maggi noodles,
saying once public perception becomes negative about a product, its credibility gets affected

Aug 5: Goa Deputy Chief Minister Francis D’Souza favours re-think on the Maggi ban
following the latest tests conducted at a central government lab in Karnataka finding it safe for
consumption

Aug 5: Sectoral regulator Food and Safety Standards Authority of India (FSSAI) says Nestlé
India has not been given a clean chit on Maggi and that its June 5 ban order still operative
despite the Karnataka lab’s finding

Aug 4: Five samples of Maggi noodles sent from Goa to Karnataka lab found safe for
consumption

Aug 1: Suresh Narayanan, takes charge as the new India Chief Nestlé and says that Maggi will
soon be back on retail shelves, even as the company will launch more instant snacks and also
focus on other areas of operations

July 24: Nestlé announces that Nestlé India Managing Director Etienne Benet will be leaving
on July 25 and relocating to Nestlé Group Head Office in Switzerland and would be replaced
by Suresh Narayanan, former CEO and Chairman of Nestlé Philippines.

July 21: Consumer Affairs Minister Paswan says while the government had nothing against
Nestlé on the Maggi controversy, the episode had created awareness among the public

July 21: Health Minister Nadda says samples of food items will continue to be drawn by the
state food safety officers and sent for analysis at FSSAI-authorised laboratories, Maggi being
one of them

July 3: Canadian food regulator says Maggi safe for consumption

July 1: Britain’s Food Standards Authority says Maggi noodles manufactured in India and
exported to Britain, were safe to consume and contained lead well within permissible levels

June 30: Bombay High Court allows Nestlé to export all varieties of Maggi noodles from India,
though restrictions on domestic marketing would continue

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June 16: Still fighting the Maggi noodles crisis in court, Nestlé India hit by another potential
spot of trouble with a consumer filing a complaint with FSSAI that a packet of baby food
Cerelac was found infested with worms in Coimbatore

June 15: Nestlé India says it is yet to receive FSSAI reports terming Maggi “unsafe”

June 15: Valuing its Maggi stocks at around INR320 crore, Nestlé India says a good part of
this being incinerated at five cement factories across the country into fuel

June 14: Pakistani retailers say Maggi sales unaffected as consumers have not reacted to reports
of lead contamination in Indian manufactured noodles

June 12: Bombay High Court declines interim relief to Nestlé, which sought a judicial review
of the FSSAI ban; plea to be heard on June 30

June 11: Nestlé India moves Bombay High Court for judicial review of FSSAI ban

June 10: Lead and arsenic levels in Maggi samples tested in Bengaluru found within
permissible limits while there is no clarity on monosodium glutamate (MSG)

June 9: FSSAI says there were no issue over the bonafides of the Kolkata facility that tested
Maggi and that prescribed norms were followed

June 9: After banning Maggi, Odisha government decides to test all brands of instant noodles
being sold across the state

June 8: Singapore authorities say India-manufactured Maggi met local food safety standards
and do not pose a risk to consumers

June 7: Noting that the FSSAI has commenced proceedings against Maggi, the Confederation
of All India Traders (CAIT) demand action against its brand ambassadors and the officials who
approved the product

June 7: Bahrain bans Maggi

June 5: FIR in Bihar against Nestlé officials and Bollywood actors Amitabh Bachchan,
Madhuri Dixit and Preity Zinta, the Maggi brand ambassadors, following a court order

June 5: Announcing the withdrawal of Maggi across India after reports of higher-than-
permissible levels of some substances, Nestlé global chief executive Paul Bulcke asserts the
product was “safe”

June 5: FSSAI orders Nestlé to “withdraw and recall” all nine Maggi noodle variants, halt their
production and also stop exports, saying samples were found to be “unsafe and hazardous” for
humans

June 4: Nestlé India releases on its website lab test results of Maggi samples showing that the
lead quantity is below FSSAI-prescribed levels

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June 4: Consumer Affairs Minister Paswan says safety checks on Maggi had been ordered, and
that further action only after test reports were in

June 4: Central government seeks reports from the states on the Maggi controversy

June 3: Government files complaint against Nestlé India with the National Consumer Disputes
Redressal Commission on Maggi

June 3: Delhi government bans Maggi for 15 days, other states order tests

June 3: With consumers wary, Maggi noodles taken off shelves from retail chains like Big
Bazaar.

May 21: Amid concerns over “dangerous levels” of lead and MSG in Maggi, the Uttar Pradesh
food safety body says Nestlé asked to recall the batch collected for testing from Barabanki

Source: Business Standard, August 13th 2015

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