FSSAI Gives Pepsi, Red Bull and Others 90 Days to Drop ‘Energy Drink’ Labels

India’s food regulator has directed high-caffeine beverage makers including Pepsi, Red Bull, Monster, Reliance and Hell Energy to stop using the term “energy drink”, citing the absence of category standards and potentially misleading health claims.

— Source publishedMon, 27 Jul, 2026, 17:55 IST·First seen Mon, 27 Jul, 2026, 18:00 IST·Source Outlook Business

What happened

FSSAI has ordered high-caffeine beverage makers, including Pepsi, Red Bull, Monster, Reliance and Hell Energy, to stop using 'energy drink' labels within 90

Key facts

  • 90-day compliance window
  • India energy-drinks market projected at $1.6 billion by 2028
  • 12.6% expected annual retail-sales growth
  • Sting launched in India in 2017 at ₹20 per bottle
  • Target consumers cited as ages 15 to 19

Why this matters

Any India beverage deal involving high-caffeine products now requires regulatory diligence on label claims, reformulation options and the target’s ability to retain demand under a non-'energy drink' positioning.

What to watch

  • FSSAI clarification on the replacement product descriptor that brands may use and whether existing stock receives a sell-through period.
  • Notices, fines, import holds, or marketplace delistings after the 90-day deadline.
  • Requirements for caffeine limits, per-serving disclosures, pregnancy/child warnings, or restrictions on mixing with alcohol.
  • Whether e-commerce and quick-commerce platforms rename or suppress the “energy drinks” navigation category.
  • Retailer requests for revised planograms, shelf labels, invoices, or product master data.
  • Changes in advertising copy by Pepsi, Red Bull, Monster, Reliance, Hell Energy, and domestic challengers.
  • A formal consultation on creating standards for high-caffeine beverages or functional drinks.
  • Sales velocity changes in urban convenience, gyms, nightlife, and quick-commerce channels during relabeling.
  • Audit every India-facing SKU, import label, multipack, shelf talker, e-commerce image, social asset, and retailer product taxonomy for use of “energy drink” or implied therapeutic-performance claims.
  • Prepare compliant interim nomenclature and front-of-pack architecture that preserves brand recognition without relying on the prohibited category term.
  • Rework retailer and quick-commerce search metadata because removal of the category term may reduce discoverability and alter digital shelf ranking.
  • Use the transition to strengthen permitted occasion-led messaging such as taste, refreshment, sports culture, or caffeine disclosure rather than broad vitality claims.
  • Build separate India packaging runs and inventory depletion plans to avoid stranded stock after the 90-day deadline.
  • Monitor whether competitors reduce promotional intensity; use compliant trade investment to secure refrigerator doors, checkout placement, and convenience-store visibility during the reset.
  • Engage FSSAI and industry bodies on a future category framework, especially caffeine thresholds, serving-size rules, mandatory warnings, and marketing restrictions.