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Delhi High Court quashes Red Bull ‘energy drink’ label ban

The Delhi High Court on Tuesday quashed a food regulator’s order directing Red Bull to stop using the term “energy drink” on its cans. The court said the regulator had acted without giving the company a chance to present its case.

In June, the Food Safety and Standards Authority of India had ordered makers of high-caffeine drinks to drop the description. The regulator argued that high levels of caffeine, sugar and taurine could mislead consumers about health benefits.

Red Bull told the court that the abrupt ban, with no change to the underlying product standard, created regulatory uncertainty and could hurt its existing and planned investments in India. The court agreed that natural justice had been ignored.

The ruling also eases concerns for Pepsi, Monster Beverage and Reliance, which had privately opposed the move but did not go to court. The energy drinks market is expected to be worth $1.6 billion by 2028.

The reprieve may be temporary. A government official said FSSAI plans to appeal the decision on public-health grounds.

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